RMG sector gets new cash incentive
Sectors under the readymade garment (RMG) industry, which are presently not enjoying any export benefits, will be getting 1 per cent incentive, under the proposed budget.
Presently, only four sectors of the RMG industry are getting 4 per cent cash incentive for exports to non-traditional markets. To bridge this gap, the budget for the fiscal year 2019-20 proposes the allocation of Tk2,825 crore.
The tax rate for RMG is currently 12 per cent, and it is 10 per cent if there is a Green Building Certification. The tax rate is 15 per cent for the textile sector.
The RMG industry presently contributes to 82 per cent of total export.