Mobile phone importers demand import duty cut
May 27, 2009
The country’s mobile phone importers demanded reduction of specific duty on import of mobile phone sets to Tk 100 from Tk 300 so that the country’s people could buy mobile handsets cheaply. “If the government reduces the duty to Tk 100, the number of mobile phone users will increase significantly. This will also help people from the lower income group to buy mobile phone sets because they are the main customers of these,” Mostafa Rafiqul Islam, acting president of Bangladesh Mobile Phone Importers Association (BMPIA), said.
He said the import of mobile phone sets declined by 13 per cent in the 2007-08 fiscal year (FY) compared to the previous FY after the government had increased specific duty on its import to Tk 300 from Tk 200.
According to their statistics, the mobile importers imported 31,68,783 handsets in 2005-06 FY when the duty was Tk 300. The number increased to 60,81,307 in 2006-07, a rise of 92 per cent from the previous FY, as the duty was lowered to Tk 200. But in 2007-08, the number declined to 53,07,536 when the duty was again raised to Tk 300 per set.
Mr Mostafa Rafiqul Islam alleged that dishonest businessmen smuggled into the country a huge quantity of mobile handsets each year by evading tax. “If specific duty on its import is reduced such businessmen will be discouraged to do so and the import will increase to 20 million in 2008-09 FY,” he expressed the hope.
He also said they are giving the government Tk 17 billion as VAT every year.
Source: Financial Express
Comments
Got something to say?
You must be logged in to post a comment.