Developers of hi-tech parks get duty waiver

The National Board of Revenue has provided a zero-duty privilege to the developers of hi-tech parks for importing materials needed to build the zones.

But the benefit will be applicable only for the items that are approved by Bangladesh Hi-Tech Park Authority.

Also, construction materials that are easily available in the country -- such as mild steel rod/bar, iron/steel sheets and materials for setting up prefabricated buildings -- will remain beyond the purview.

The products that are not directly connected with the development of the parks, like office equipment, air-conditioners, refrigerators, passenger vehicles and home appliances, will also be kept out of the list of the privileged items. The NBR made the announcement last week. The duty benefit comes after the tax administrator offered a similar privilege to the investors in the hi-tech parks in an effort to attract investments and create jobs for youths.

Work at two of the six such projects so far approved by the hi-tech park authority is going on in Kaliakoir and Jessore. The government also plans to build 13 more parks in several districts to promote development of IT and IT-enabled services industries.

Stakeholders said IT services industry, which employs more than 20,000 people, holds great potential owing to the vast pool of young, trained and English-speaking workforce.

The zones are expected to create around 10 lakh jobs and increase export earnings manifold. Bangladesh currently earns $132 million from exports of IT and IT-enabled services, according to government data. The government says exports of IT services may reach $1 billion by 2018.