They also demanded withdrawal of 15 percent VAT on the locally made compressors and the reduction of imbalanced duties structure between the imported finished compressors and the raw materials of the locally made compressors.
Mohammad Shahabuddin, general secretary of Bangladesh Refrigerator Manufacturers and Exporters Association, said earlier the government announced VAT exemption benefit for the local refrigerator, freezer and air conditioner manufacturers till the current fiscal year 2018-19.
The local entrepreneurs demanded the continuation of the present VAT exemption for the next couple of fiscal years, said a press release.
Shahabudding also informed that the local compressors manufacturers have to pay 5 to 25 percent duties on the import of necessary raw materials while the finished compressors importers pay 5 percent duties. In addition, the government imposed 15 percent VAT on the locally made compressors.
The local compressors manufacturers urged the government for withdrawing the present VAT and imposing lower import duties for the necessary raw materials comparing to the duties of imported finished compressors.
Dr. Saleh Ahmed, former governor of Bangladesh Bank, said, the local entrepreneurs made a tremendous progress in the high-tech appliances manufacturing industry of Bangladesh.
The fastest growth of the local appliances manufacturing industry will also allure foreign investment in this sector. To ensure the sustainable boost of this sort of industry in Bangladesh, the government should continue the present industry-friendly policy supports.