Bangladesh's plastic manufacturers have urged the government to introduce tax concessions for plastic toy exports and provide stronger policy support to help the industry expand its global footprint, warning that the sector could lose competitiveness after the country's graduation from Least Developed Country (LDC) status.
Welcoming the Tk 9.38 lakh crore national budget passed by the Jatiya Sangsad, Shamim Ahmed, President of the Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA), made the appeal at a press conference at the association's Paltan office on Monday.
Describing plastics as one of the country's most important industrial linkage sectors, Ahmed said its contribution extends far beyond household products, supplying raw materials, industrial components and packaging to thousands of manufacturing enterprises.
"The plastic industry is a backbone of Bangladesh's business-to-business (B2B) economy," he said, adding that the sector plays a critical role in supporting export-oriented industries and domestic manufacturing.
According to BPGMEA, around 6,000 industrial units are currently engaged in plastic manufacturing, while between 4,000 and 4,500 enterprises directly supply raw materials, packaging and components to major industries.
Plastic products are widely used in the ready-made garment (RMG), food processing, pharmaceutical, beverage and other manufacturing sectors, serving nearly 30,000 industrial enterprises nationwide.
While appreciating several business-friendly measures included in the new budget, Ahmed questioned whether the government's ambitious revenue target could realistically be achieved.
"The target of collecting nearly Tk 6 lakh crore in taxes is highly ambitious," he said.
"As last year's revenue target remained unmet, businesses are concerned that additional pressure may eventually be shifted onto taxpayers through aggressive enforcement by field-level tax officials."
