Big players pushing SMEs out of market: NBR chairman

It is difficult for small and medium enterprises (SMEs) to survive now as products manufactured by big industrial companies are pushing them out of the market, National Board of Revenue Chairman Abu Hena Md Rahmatul Muneem said today (18 February).

"Small and medium enterprises are not able to move forward as their market has been surrounded by big players," said the NBR chairman at a pre-budget discussion held at the NBR conference room in the capital's Agargaon.

He said, "There is a point here that big players produce quality products at low costs and also export to international markets. 

"But SMEs in other countries still thrive in such circumstances and make quality products. We need to find out why SMEs in Bangladesh cannot flourish."

At the event, SME Foundation Managing Director (Additional Charge) Salahuddin Mahmud presented various proposals from the foundation for the budget in the next fiscal year.

The proposals include formulating separate VAT, income tax and customs regulations for the development of this sector. For this purpose, a preferential tax regime (PTR) can be arranged for SMEs.

It was also proposed to lower the rate of advance tax on import of raw materials from 3% to 1.5% for the SMEs whose annual import value does not exceed Tk5 crore.