Investors again take to streets as DSE dips,

FE report

Part of the evil investors went on the road at Motijheel in the city again Sunday as the Dhaka stock exchange (DSE) was still a more massive securities fall despite announcement via the stock exchange rejuvenation package by the regulator.

The Securities and Exchange Commission (SEC) has introduced package Wednesday rejuvenate the stock market.

"But all positive steps to rejuvenate the capital market, to leave positive impact on the market." Rather the decreasing tendency has many investors, disappointed, "Said broker."

At the end of four-hour trading plunged the DSE general index to close 308.12 points or 5.73 per cent (DGEN) on the day on 5,065.17, while TK the value of turnover amounted 4.51 billion.

The winner, traded from 254 issues, only seven advanced and 247 rejected beats up the losers.

The frustrated investors came from various brokerage firms and at the main gate of the DSU about 14: 00, when the DGEN by more than 200 points fell, collected.

They chanted slogans against the DSE President, the Bangladesh Bank Governor and the Minister of finance for their failure to stability in the market to bring back.

The heads of State and Government of Bangladesh parts investors Unity Council (BSIUC) one demonstration held and brought a procession to protest against the share price reduction.

You threatened also to a large rally on 7 December at the DSE organize, when the Government not to back normalcy in the stock market within 72 hours.

The investors claimed that some large operators and players may be a role behind the falls of share prices and the Government urged, without delay effective measures.

Also called the SEC to investigate whether price reduction involved evil player of the unusual share and save the capital market from the clutches of the vested quarters.

BSIUC President AKM Mizan-ur-Rashid Chowdhury said: "If the Government a 21-point stock market rejuvenation package Stablise the market announced, try a group of vested quarter to make the market volatile and to buy shares at a lower price."

Later, she brought a procession which marched out of the Office of DSE, Shapla place.

Vehicle movement from the Shapla square, Ittefaq crossing was sealed off but normal, such as additional police officers the whole area and brought the situation under control without any unwanted incident.

Yawar Sayeed, managing director and CEO of the objectives of Bangladesh, an asset management company, said the vu, "If the Government some positive has taken, the small investors not patience steps."

Mr Sayeed said "The small investors rational behavior should when the Government took over all positive steps for the Stablise the market".

"The measures taken by the Government will take some time to come into force;" It is a reality. But our investors do not respect, patience and panicked the are is very unfortunate, "commented Mr Sayeed."

AB Mirza Azizul Islam, former Minister of finance adviser to the interim Government, the VU said: "there is no valid reason for market fall as the Government a series of positive measures took the market to Stablise."

Investors should rationally and make their investment in fundamentally strong stocks, Mr. Islam, as a former Chairman of the Board who said SEC.

Institutional investors have been almost inactive before the serving their accounts in the financial statements, which was also a cause of the market fall, he said.

However, he said, can go to the banks for new investments in January and February.

"Easing the different rules in the bailout apparently is greater participation of banks in the market not yet the plunge with the commercial value see TK 5.0 billion, bear", a stockbroker said.

On the contrary, a combination of aggressive profit-taking and tendency of traders in the safe zone in the midst of uncertainty surrounding the country's macroeconomic condition led to to remain massive fall, he added.

Source: thedailystar.net

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PMO castigates civil servants for flouting govt Rules of Business

Nazmul Ahsan

Top bureaucrats of the government in many cases are found to violate the Rules of Business of the administration including the areas pertaining to financial matters, noted the Prime Minister's Office (PMO).

Principal Secretary to the PMO Sheikh Md Wahid-uz-Zaman sent an instruction last week to all ministries and divisions of the government asking them to follow the Rules of Business strictly in order to establish good governance and financial accountability.

The directive from the PMO categorically mentioned the areas and proposals which require mandatory approval of the Prime Minister, the Ministry of Finance and the inter-ministerial meetings.

"In some cases, responsible high officials do not comply with the regulations of Rules of Business. The officials concerned sometimes create an unwarranted situation by violating the principles of financial guidelines causing serious problems for the overall governance," reads the directive of the PMO.

The instruction observed the practice could create both financial and administrative disorder in the country.

Sources at the Cabinet Division said a good number of top civil servants of many ministries are not aware of the rules and regulations included in the Rules of Business of the government.

They said matters relating to international organisations, world bodies, agreements and treaties, have to be dealt with only by the Ministry of Foreign Affairs (MoFA) as stipulated in the Rules of Business, but a number of ministries and divisions are directly maintaining contacts with foreign sources bypassing the MoFA.

On the other hand, when it comes to the issues of transit, transshipment and the use of Chittagong port by a number of sub-regional countries, some ministries of the government have made communications with the regional countries concerned, sources said.

Besides, a number of ministries, including the Ministry of Communications, often send lists of projects to multilateral lending agencies and bilateral donors for assistance. According to Rules of Business, the Economic Relations Division, under the Finance Ministry, is supposed to make communications with the donors.

A high official at the Cabinet Division said even many secretaries of the government are not aware of the regulations of financial authority resulting in a situation that lacks transparency in public procurement.

"The high officials including secretaries of the government should be imparted training in the government's Rules of Business, Public Procurement Rules and details of regulations of the government concerning financial authority," a government secretary told the FE.

He said a serious absence of concentration on the part of the bureaucrats has led to a grave situation when it comes to governance.

Source: thedailystar.net

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SEC order on directors recalls mixed reaction participation in listed cos

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Siddique Islam and Mohammad Mufazzal

Directors of most listed companies have expressed their mixed views on an order of the securities regulator relating to the holding of minimum 30 per cent stakes of any listed company by its sponsors/directors.

A section of directors of the listed companies have termed the order 'impractical and illogical,' saying that a good number of directors, particularly those of banks and financial institutions, may lose their directorship because of the order.

Others have, however, welcomed the order and said that it would help boost the country's flagging stock market.

On November 22 last, the Securities and Exchange Commission (SEC) issued an order making the holding of 30 per cent of shares of a listed company by its sponsors/directors mandatory. The acquisition of such shares would have to be completed within next six months. The order has been sent to the Bangladesh Government Printing Press for publication as a Gazette notification.

According to the order, individually each of the directors, other than independent ones, of any listed company must hold a minimum of 2.0 per cent shares of the company's total paid-up capital, and in total the directors will have to own, at least, 30 per cent stake.

The SEC's latest move was a part of a series of measures announced by the SEC last Wednesday to help revamp the stock market.

Directors of different listed companies welcomed the SEC's latest move, saying that it would help bring back the much-needed stability in the country's stock market.

"Raising the quota of directors' holding will help prop up the stock market by increasing the demand for specific companies shares," former Chairman of the Bangladesh Insurance Association (BIA) AKM Rafiqul Islam told the FE.

He also said the SEC should have introduced such rules much earlier to ensure stability in the country's stock market.

"Directorship is not a permanent thing. It's a transferable phenomenon," Mr. Islam said while replying to a query.

Welcoming the decision, some market observers said this requirement on the part of the sponsors/directors to hold a minimum of 30% of paid-up capital of a company to plug the holes that create the scope for hybrid types of "insider trading" and "share-price manipulations". However, some other observers said that the SEC should make a detailed probe into the matter and legal actions should be taken against such wheeler-dealers if such cases of irregularities, flouting the laws of the land, are unearthed on a substantive basis.

The secretary of a leading listed company considers the SEC move a right one to bring a positive impact on the market in the near future. But he also said most of the listed companies will face difficulties in implementing the order within such a short period.

"It will be very tough to comply with the SEC order within six months," the company secretary said, adding that the directors particularly of companies having large paid-up capital might fail to comply with the order.

"The sponsors/promoters and directors holding less than 30 per cent shares must acquire the rest amount with six months of issuance of this notification," the SEC has said.

Besides, each director other than independent ones of any listed company will hold a minimum 2.0 per cent shares of the paid-up capital, otherwise there will be a casual vacancy of director, it warned.

Some of the directors of different companies have however opposed the move, saying that the SEC move will create an adverse impact on the overall financial sector.

They also raised questions about the legal authority of the SEC regarding issuance of a notification relating to the imposition of stake-holding quota on the listed company directors.

"The SEC should issue a clarification specifying the positions of sponsor-directors, sponsor-shareholders and directors of a listed company," former president of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Abdul Awal Mintoo told the FE.

Mr Mintoo, who is holding directorship in a number of listed companies, also said the percentage of holding shares will be determined in line with the existing company act.

Talking to the FE, Chairman of the Social Islami Bank Limited (SIBL) Kamaluddin Ahmed said the SEC rules will cause a negative impact on the financial sector through losing of directorship.

"The rule is impractical. It will not be possible to implement by listed companies, particularly the big ones in term of paid-up capital, including commercial banks and non-banking financial institutions," Mr Kamaluddin said.

He also said more than 50 per cent of the directors of banks and financial institutions may lose their directorship because of a large huge financial involvement will be needed to implement such rules.

In a bank having not less than Tk 5.0 billion in paid-up capital, a director will need to have shares worth of Tk 100 million at face value to retain his or her directorship, he said, adding that the market value of the 2.0 per cent shares would be around Tk 400 million or more.

"In most cases, it will be impossible on the part of directors," the SIBL chairman noted.

"We'll comply with the SEC order as well as we will look into the existing bank company act. If there exists any conflict than we will seek legal opinion," Chairman of the City Bank Limited Aziz Al Kaiser told the FE without elaborating.

The SEC has issued the directive against the backdrop of offloading of bulk of their holding by a section of directors without caring about the market.

"We've imposed restriction on selling shares by sponsor directors on September 21 last to avoid such situation in the market," a SEC senior official told the FE.

He also said the SEC lifted the restriction after issuing on November 22, the latest notification relating to holding of shares by the directors.

"In India, the sponsors and directors hold a minimum 20 per cent of the total equity of their respective shares for three years from the date of their listing with the stock exchanges," the SEC official said.

"We've taken the latest move aiming to make the directors much more accountable to their companies," he said, adding that it will also help to ensure discipline in the country's corporate sector including, those relating to, among others, banks, NBFIs and insurance companies.

The notification also said any individual, holding shares amounting to five per cent or more of the company's paid-up capital, will be eligible for becoming a director in its next annual general meeting (AGM) in case of, what the notification said, casual vacancy of director(s) for non-holding of the required amount of shares.

"If the sponsors/directors of any listed company fail to hold the aforesaid amount of shares, the respective company would not be able to declare right shares and raise capital through repeat public offering (RPO)," the notification noted.

Currently, the sponsors/directors of 54 listed companies including six state-owned enterprises and eight commercial banks, out of a total of 232 listed companies in the bourses, own less than 30 per cent of shares of their respective paid-up capital.

According to available DSE data, the sponsor-directors of In Tech Online own 2.56 per cent shares, Beximco Pharma, 3.48 per cent, Fu Wang, 5.04 per cent, Apex Adelchi Footwear, 5.19 per cent, Kay and Que, 5.22 per cent, Agni System, 5.29 per cent, Eastern Bank, 6.73 per cent, Dulamia Cotton, 7.68 per cent, Uttara Bank, 8.19 per cent, Fine Foods, 8.40 per cent, Apex Tannery 8.84 per cent and Meghna Life Insurance 9.61 per cent as of October, 2011.

The sponsors/directors of such companies owned between 19 and 50 per cent stakes in the paid-up of their companies in 2006, reflecting, what the analysts pointed out, the off-loading of a considerable amount of their shares until now. Most such off-loading of shares did take place during the bull period of the market in 2010, according to some market insiders.

Besides, the sponsors/directors of Aziz Pipes own 10.86 per cent, Pubali Bank, 10.98 per cent, Bangladesh Industries, 12.18 per cent, United Airways, 12.44 per cent, City Bank, 12.88 per cent, Beximco, 13.45 per cent, Monno Ceramic, 15.52 per cent, BGIC, 17.29 per cent, Green Delta Insurance, 17.77 per cent, AB Bank, 13.90 per cent, First Lease Finance and Investment, 17.85 per cent, BD Thai Aluminium, 17.92 per cent, Active Fine Chemicals, 18.23 per cent, Fu Wang Ceramic, 19.20 per cent, Monno Jute Stafflers, 19.39 per cent, Karnaphuli Insurance, 19.52 per cent, Information Services, 19.54 per cent, Monno Jutex, 20.29 per cent, BDcom Online, 21.29 per cent, Salvo Chemical Industries, 22.69 per cent, National Polymer, 22.73 per cent, Social Islami Bank, 22.96 per cent, Confidence Cement, 23.47 per cent, Al-Haj Textile, 24.02 per cent, Mercantile Insurance, 24.79 per cent, Fareast Islami Life, 24.98 per cent, Deshbandhu Polymer, 25.00 per cent, Makson Spinning, 25.44 per cent, Sinobangla Industries, 25.98 per cent, Metro Spinning, 26.21 per cent, Southeast Bank, 27.22 per cent, Beacon Pharma, 27.27 per cent, National Bank, 29.20 per cent and Continental Insurance, 29.96 per cent, according to the DSE data.

Currently, the listed companies whose sponsors/directors own maximum stakes in paid-up capital include, among others, Berger Paints (95%) in miscellaneous sector, National Housing Finance and Investment (90.38%) in financial institution sector, Grameenphopne (90%) in telecommunication sector, Marico Bangladesh (90%) in pharmaceuticals and chemicals sector, Gemini Sea Food (83.08%) in food and allied product sector, Glaxo SmithKline (81.98%) in pharmaceuticals and chemicals sector, RAK Ceramics (80.65%) in ceramic sector, Rahim Textile (80.17%) in textile sector, Summit Alliance Port (80%) in service and real state sector, Malek Spinning (75%) in textile sector, Khulna Power (75%) in fuel and power sector, Singer Bangladesh (75%) in engineering sector, RN Spinning Mills (66.14%) in textile sector, BSRM Steels (65.52%) in engineering sector, Bangladesh Lamps (61.03%) in engineering sector and BOC Bangladesh (60%) in power and fuel sector, according to data available from the DSE.

According to a rough reckoning of market sources, the fulfillment of the minimum requirement on the part of sponsors/directors of the listed companies to hold 30 per cent of the paid-up capital to retain their sponsorship/directorship will involve, at least, an aggregate amount of Tk 50 billion at current market prices.

However, this amount may rise or fall, depending upon the ups-and-downs of stock prices in the market. All such shares by the sponsors/directors will have to be bought from the secondary market to comply with the terms and conditions of the SEC's notification to retain the statues quo about their present position in the listed companies concerned.

The involvement of the funds for such directors/sponsors will be larger for big cap companies than that of small cap ones.

Source: thedailystar.net

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Dhaka-Berlin relations Dynamics

FE report

Dhaka-Berlin economic relations are expected to provide new dynamism with a three-day visit by German President Christian Wulff to Bangladesh beginning from today (Monday), traders and officials said.

Although no particular thing during the visit signed is, have a favourable impact on bilateral economic and political relations between the two countries, the diplomats said.

It (visit) a visible positive sign of the deepening of the strong political and economic partnership between two friendly countries, said a source at the German Embassy in Dhaka the vu.

As far back as 1986, even before the fall of the Berlin wall, the second German President to visit Bangladesh after from Weizsucker, will be President Christian Wulff.

"By visiting Bangladesh have a fresh positive exposure not only in Europe but also in the rest of the world", an official of the Foreign Ministry said.

The President will get Zillur Rahman, President of the Federal Republic of Germany at the airport of Hazrat Shahjalal, if he will arrive by a specific flight.

The two Presidents have a meeting on Tuesday.

Prime Minister Sheikh Hasina and Foreign Minister Dipu Moni will call the Federal Republic of Germany (Germany) on the President before he delivers a lecture at the University of Dhaka on the same day.

In addition meeting have President of the Federal Republic of Germany with representatives of civil society and the different religions in the Goethe Insititut, Germany cultural institution.

Of the total bilateral trade, as in value between Germany and Bangladesh Euro 2.8 billion in 2010 calendar year. The balance of trade is largely for Bangladesh which exports mostly finished garments to Germany.

German exports, particularly chemicals and capital machinery, Bangladesh grow also.

The country's companies say that Bangladesh exports continue to be rise to Germany in the coming days, as have started various German shipping companies buy into Bangladesh shipyards built ships.

As a leading member of the European Union (EU), offers customs and quota-free access for Bangladesh were from the EU 'Everything but arms' is policy for the least developed countries (LDCs).

German machinery exports to Bangladesh experienced a 100 per cent over the preceding financial year. Germany is the largest export market for Bangladesh, business was called.

Source: thedailystar.net

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Energy coop to dominate Dhaka-Yangon talks

 Nizam Ahmed

Cooperation in energy sector is likely to dominate bilateral talks between the prime ministers of Bangladesh and Myanmar during their meeting in Yangon early next month, officials said on Saturday.

Sheikh Hasina will visit Yangon from December 5 to 7 on an invitation from her Myanmar counterpart U Thein Sein, to strengthen bilateral cooperation in all possible fields and remove irritants between the two close Asian neighbours.

"The visit is also important as the International Tribunal for the Law of the Sea (ITLOS) of the UN is set to give a ruling in the middle of the next year on a maritime boundary dispute between the two countries," a senior official of the foreign ministry told the FE.

The ITLOS heard both the countries in September last on their respective claims on certain gas-blocks in the Bay of Bengal, he said. When its ruling comes, it will also be effective on a similar maritime-boundary dispute between Bangladesh and India.

However, ITLOS may also accept any sort of amicable settlement among the disputing countries, if there is any, senior diplomats said citing previous settlements of disputes between other countries.

"Every subject of possible cooperation in all fields and removal of all disputes would be discussed between the two prime ministers," Abul Kalam Azad, press secretary to PM Hasina told the FE.

"Shopping for natural gas seems to be the first priority of the visit though no formal agreement is likely to be signed now," said an executive of an international energy firm in Dhaka.

Bangladesh expects to put forward its intention to buy natural gas at the market price from Myanmar, which recently started tapping the natural resource from a large gas field in Rakhine state (formerly Arakan), near Bangladesh, an official of the ministry of power, energy and mineral resources said.

Bangladesh has been running short of 500 million cubic feet (mmcft) of gas against its requirement for 2.5 billion cubic feet.

The shortage keeps several gas-fired power plants out of generation, leading to, at least, 2,000 mega watt deficit during the peak-hours, when the demand shoots up to 7,000 mw, officials of the Bangladesh Power Development Board (PDB) said.

Bangladesh will assess the possibilities for setting up a power plant there and taking lease of arable land for cultivation, another government official said.

However, Myanmar did not reply to such a proposal about leasing out land to any foreign country for cultivation in Arakan. Such a proposal was earlier put forward by the immediate past army-backed caretaker government of Bangladesh.

Setting up of direct air and shipping links, easing procedures for issuing business visas of the respective countries and introduction of other facilities for banking and financial transactions will also be discussed, foreign ministry officials said.

On political issues, Dhaka will also request Yangon to repatriate all of its registered and unregistered Rohingya Muslim refugees from the country where they have been languishing for decades.

There are some 28,500 registered refugees in two camps, run jointly by the government of Bangladesh and the United Nations High Commission for Refugees (UNHCR).

They are remnants of some 250,000 Rohingyas who fled Myanmar, alleging persecution by the then ruling military junta there in 1992.

Most of them were repatriated under the management of UNHCR. Meanwhile, some 300,000 Rohingyas -- mostly economic refugees -- intruded into Bangladesh and are living in scattered groups, causing multi-faceted socio-economic problems in the country.

Source: thedailystar.net

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25 hurt in DCC staff-police clash

 
Ein Gesetz-Enforcer schleuderte ein Stück Ziegel, Dhaka City Corporation (DCC) Mitarbeiter der Nagar Bhaban während eines Kampfes Sonntag zu zerstreuen. ? Banglar Chokh FE Bericht

Beamte und Bedienstete der Dhaka City Corporation (DCC) beobachteten dreistündigen Stift nach unten schlagen Sonntag zu protestieren, dass die Regierung Verschieben zur Spaltung der lokalen Regierungsbehörde.

Außerdem wurden mindestens 25 Personen, darunter Polizisten, bei einem Zusammenstoß zwischen der DCC-Mitarbeiter und die Ordnungshüter während des Streiks verletzt.

Polizei und Zeugen, sagte, dass das Problem bei über 11:05 brach als die DCC-Beamten und Bediensteten versuchte, die Nagar Bhaban mit einer Prozession, ihre Solidarität mit den Demonstranten eingeben.

Ein Mitarbeiter war angeblich von der Polizei geschlagen. Wie die Nachricht zu verbreiten, die verärgerte Mitarbeiter beteiligt Chase und Zähler Jagd mit der Polizei und auch ausgetauscht Hut, so drehen das Gebiet in ein Schlachtfeld.

Gejagt von den Aufruhr Polizisten, die wütend DCC-Mitarbeiter angegriffen die Ordnungshüter, nahm Position vor dem Haupteingang des Nagar Bhaban. Das Personal warf Hut, das Vorgehen der Polizei zu protestieren.

Der Verwundeten DCC Mitarbeiter und Polizisten wurden nach Dhaka Medical College Hospital (DMCH), Rajarbagh Polizei Linien Krankenhaus und andere medizinischen Zentren für die Behandlung gebracht.

Die Straße vor der Nagar Bhaban wurde für eine Weile, geschlossen, als der Kampf für etwa 15-20 Minuten. Der Eingang zu den Bhaban wurde durch die Demonstranten geschlossen.

Die Demonstranten behauptet, dass die Polizei sie alle auf einer plötzlichen angegriffen, während sie friedlich der drei Stunden Arbeit Enthaltung einhielten.

"Die Polizisten waren nur an unsere angemessenen Bewegung Folie gesendet. Mindestens 20 unserer Kollegen wurden in die Aggressionen Polizei verletzt", sagte Abdul Latif, Mitglied Sekretär der DCC Beamten und Mitarbeitern Einheit des Rates, die Organisation, die den Protest aufgerufen hat.

Der Gewerkschaftsführer warnte die Regierung härtere Bewegung in den kommenden Tagen zu starten, wenn der Plan der Aufteilung der DCC in zwei Teile nicht gehobelt ist.

"Die Regierung bewegen überhaupt nicht akzeptabel ist," sagte er, anspruchsvolle Sofortmaßnahmen gegen die Polizisten für die Gewalt verantwortlich.

Jedoch sagte stellvertretender Commissioner of Police (Ramna Bereich) Krishnapada Roy der Kampf brach aus, wenn die Demonstranten versucht, Barrikade auf der Straße. Als die Polizei abgefangen die Demonstranten geschleudert Hut auf sie, Verletzungen, 10-12 Polizisten.

Assistent für Kommissar Ramna Zone S M Shibli Noman sagte, dass die Demonstranten gewalttätigen und begann die Ordnungshüter Hut werfen, dass diese Vergeltung wurde.

Der Beamte hat hinzugefügt, dass sie solche Unruhe in der Stadt nicht erlauben würde.

Inzwischen haben die DCC-Räte verurteilt das Vorgehen der Polizei und verlangte sofortige Bestrafung der Verantwortlichen Polizisten. Die meisten von ihnen haben ihre Solidarität mit den betroffenen Mitarbeitern auch zum Ausdruck gebracht.

Source: thedailystar.net

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MoF rejects fund proposal to repair Bangabandhu Bridge

The Ministry of Finance (MoF) has rejected a proposal of the Ministry of Communications to make an allocation of Tk 2.42 billion for the purpose of repairing the Bangabandhu Bridge due to fund constraints, official sources said.

As an alternative, the finance ministry has asked the communications ministry to increase the rate of existing tolls collected from the users of the Bridge to mobilise required fund for repairing the cracks developed on the bridge, constructed in 1998.

Finance Minister AMA Muhith rejected the proposal on Wednesday last and asked the communications ministry to devise a strategy to enhance the rate of existing toll by at least 40 per cent.

"Our minister (Muhith) has refused to sanction Tk 2.42 billion as sought by the communications ministry to repair Bangabandhu Bridge as the government cannot afford to provide extra amount of money now to any government agency from the revenue budget," a high official in the MoF told the FE.

He said the communications ministry has in the meanwhile spent almost full amount of money earmarked for them in the revenue budget. Besides, no disbursement can be made against any project from the development budget if it is not included in the Annual Development Programme (ADP), he added.

The communications ministry in mid October sought the fund from the MoF out of the revenue budget of the government.

Officials in the finance ministry said, the bank borrowing of the government is on the rise and if the trend continues the borrowing of the government would overshoot the annual target by next month.

"We will communicate our decision to communications ministry soon asking them to arrange fund on its own," another finance official said.

"We are in favour of enhancing the existing rates of toll by 40 per cent to help the ministry arrange the required fund itself," he added.

Meanwhile, a high official in communications ministry said, the Bangabandhu Bridge is in a poor shape now. A good number of cracks are visible on the bridge and the cracks might widen, making the Bridge risky for movement of vehicles if the same are not repaired immediately.

On increasing tolls, the official said the rates of toll were revised upward in last September and any further increase is not possible now.

According to the new rates, the toll ranges between Tk 40 and Tk 1400 per vehicle, depending on the types of vehicles using the Bangabandhu Bridge.

Source: thedailystar.net

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Sales picking up in city, Ctg cattle markets

Transactions in the city's cattle markets started picking up Saturday with traders and buyers expressing their mixed opinions over the prices of sacrificial animals.

Customers turn up in the makeshift cattle markets in large number and sacrificial animals were also plenty this year in comparison to that of last year. Last year the cattle market faced a debacle due to Anthrax scare.

Many traders did not sell their cows until afternoon on Saturday with the hope of getting better price during nighttime or last moment sale while buyers were also keeping on bargaining over prices to win over the traders.

"I have been trying to sell my cows for the last two days but I could not as the possible profit is not up to my expectation level", said Anwarul Alam who brought seven cattle from Chuadanga- his home district.

While talking to the FE at Gabtoli cattle market, Anwarul said he was hopeful that he would be able to sell all the cattle on Friday. But it did not happen. The customers were moving from one corner to another to survey the price.

He said one more day in the market means wastage of at least Tk 1000 for per cattle.

He said the cost of cattle rearing had considerably increased over the last few years keeping pace with the inflation as well as high price of fodder. But the prices of cattle head quoted by the city dwellers are not satisfactory", said Anwarul with his utter frustration.

Malek Bepari, who came from Kurigram with 20 sacrificial animals, said he bought the cattle 6 months back and spent about Tk 15,000 per cattle for fattening up those with the hope of gaining a good frofit.

He said the prices of wheat-bran, oil-cake, molasses, pulses and broken rice and straws are very high this year.

A medium-sized cow was hiked Tk 50,000 on Saturday which was also sold at Tk 50,000 last year, said Alauddin Mia, who brought five medium -sized cows in the market and sold three of them. "Though prices of fodder and other things went up, cattle prices remained the same as of last year." he said.

Meanwhile, buyers, who have been visiting the city's different markets for the last several days, claimed that the cattle price is very high this year.

On a visit to city's Taltola, Gabtoli and Nayabazar cattle markets it was found that middle class people were cautious in buying sacrificial animals for budget constraints.

Humayun Kabir, a paper businessman of Nayabazar told the FE that this year traders are hiking price much higher than that of the previous year. "The price of a cattle head which is hiked Tk 40,000 this year was not more than Tk 30,000 last year." he said.

The price of goats is, however, not so high this year. The quoted price of a big -sized goat was between Tk 20,000 and Tk 40,000. Last year goats had very high demand due to Anthrax disease.

"I am charging Tk 50,000 for my goat as I have already got Tk 35,000 for the same -sized goat in Pabna," said Asadullah who came from Pabna with 10 goats at Gabtoli market.

Meanwhile, it is learnt that a lot of trucks loaded with cattle head are still on way to Dhaka. The trucks are delayed for the gridlock on Dhaka-Tangail and Dhaka-Mawa highways.

Samad Ali, a hassil (Toll) collector, said the new arrival will influence price in the cattle market.

A good number of law enforcers including elite force Rapid Action Battalion (RAB) were seen in the cattle market to safeguard the traders.

Our Chittagong correspondent adds: Cattle markets in the city found an aggressive sale as the sellers eased prices of cows primarily from North Bengal districts after several days of declining demand without expected number of buyers.

All major cattle markets including Bibirhat, Sagorika and Alangkar, Pahartali, Karnafuli third bridge markets saw heavy rush of buyers and their brokers today with only one day left for Eid-ul-Azha.

"More than fifty per cent of sacrificial cows and goats were sold on a single day today at all markets in the city," said Jalal Ahmed, an employee of Chittagong City Corporation, responsible for overlooking the markets.

Until Friday the sale of sacrificial animals was very poor as the buyers resorted to 'wait and see' for a chance to avail the reasonable price, sellers said.

Much to the woes of traders the cows were selling at prices of Tk 10-15 thousand lower than expected. A medium-large cow from Kushtia that was expected to draw Tk 75,000 Friday afternoon at the Alangkar cattle market was sold at Tk 62,000 Saturday morning, a trader said.

Big size bulls sold at Tk 65,000 while medium-size ones at Tk 40,000 today. Some buyers bought cows from Rangunia, Raozan and Fatikchhari in north Chitagong and Satkania and Banshkhali of the south at much favourable prices. Local varieties are selling cheaper than those from north Bengal, they said.

Traders said they are facing loss in the business this year primarily due to high cost of cattle feeds and excessive transport cost and traffic jam on the highways from north Bengal to Chittagong.

Security measures by the law enforcement agencies have been taken in all major markets with sufficient number of cops in temporary police control rooms.

Bangladesh Bank, district administration and the City Corporation authority and almost all private and state-owned scheduled banks have set up fake note detection booths at the cattle markets.

Both buyers and sellers have expressed satisfaction at deployment of police forces and fake notes detection counters in a great number.

Apart from major cattle markets there are so many street markets set up temporarily this year which also have drawn a number of buyers to avoid paying prescribed tolls.

Chittagong City Corporation is conducting all major cattle markets in the city and has fixed toll on sale at the rate of 5 per cent or Tk 50 against Tk 1000.

"All five markets on both sides of the Alangkar Road and two markets at the adjacent Sagorika area under Pahartali in the city experienced a dull day with virtually no sale Friday," said Ashraful Islam, a trader from Kushtia.

Islam said he brought 20 big-sized cows from Kushtia on November 1 but sold only three until Friday and 11 Saturday conceding loss of around Tk 10,000 on each.

According to his estimate the number of sacrificial cows at those seven markets was not less than 0.15 million and 70 per cent of those were from Kushtia and the rest were brought from Natore, Faridpur, Chapainababganj, Faridpur, Sirajganj and a few from India.

Smaller varieties from Kushtia and a bit larger varieties from India found a good demand, they said. The bulls from northern districts attracted buyers but they failed to purchase as the sellers demanded exorbitantly high price until Friday.

Indian bulls of the same size sold out at 20 per cent less than those of Kushtia but some buyers said they took less interest in Indian varieties because the bulls from Kushtia and Natore were more handsome and fit for sacrifice.

"Colour and health of most of the Indian cows are not that attractive compared to those from Kushtia. But they cost too high. We will see until today (Sunday) as there is an adequate supply of cows from those areas," local buyer Fazal Ahmed told this correspondent Friday afternoon.

Source: thedailystar.net

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Will the 17th SAARC summit in Maldives be action-oriented?

The 17th SAARC summit in the Maldives beginning next Thursday is expected to take up a number of issues like the "climate change" which are critically important for the eight-member regional forum. It is expected that the member-countries of the South Asian Association for Regional Cooperation (SAARC) will spare no efforts to turn the 26-year-old forum more action-oriented towards the avowed goal of collective cooperation. Leaders of all the member-nations are scheduled to attend the two-day conference. It will review the progress made since the last summit in Bhutan and seek to explore new areas of cooperation while strengthening the fields where cooperation is delivering the benefits.

The Indian ocean island state of the Maldives, although small in size and population, has hosted the SAARC summit twice before; but it is for the first time that the nation is organising the event under a democratic government. President Mohammad Nasheed is the first democratically elected leader of the country under the multi-party system. He has pledged to make the summit an effective gathering that would help accelerate the pace of cooperation in the region. Several member-countries including Bangladesh are assisting the Maldives in hosting the big event and some "Observers" of the SAARC have also extended their hands of cooperation for the successful staging of the next SAARC summit.

Indeed, it is praiseworthy since the smallest member of the forum is holding the summit with great interest, despite its manifold limitations. The Maldives had done fairly well earlier in staging the SAARC summit when Mamoon Abdul Ghyaoom was the president as he took immense interest in the growth and development of the regional forum, even though his nature of governance lacked democratic practices. While that is an internal matter of a member-state, it is expected that the 17th summit under a democratic dispensation in the Maldives will be more vibrant and action-oriented.

True, the SAARC since its inception at the first summit in Dhaka in 1985, has come a long way in a region bedeviled by political divides, on one hand, and resource constraints, on the other. But cynics say the forum has largely failed to accomplish the desired objectives mainly for the reason that it has not been able to function smoothly, mainly again for the political problems among the member states. Such views are not entirely baseless as problems between its two players at the centre of the regional spectrum -- India and Pakistan -- have often adversely affected the forum. Besides, political differences among other member nations also played a negative role at times -- albeit on a much smaller scale.

But it will be unkind to ignore the achievements of the SAARC that has identified and developed cooperation in diverse fields ranging from food security to sports and culture. These feats may not be very remarkable, but not small either when considered that south Asia is also known internationally for political and other crises that clearly impede the progress and development. Of course, paucity of fund has always been a retarding factor -- impeding the process of the expected growth of the forum. Nonetheless, the SAARC has delivered benefits to its member states in a variety of areas, apart from instilling an aroma of fellowship and fraternity -- the differences notwithstanding.

It is also true that many important areas like the trade and commerce could not make desirable progress in a spirit of cooperation since some member states looked askance at each other's "intentions" or at times driven by self-interest. But this is a positive sign that such contentious issues could also largely be thrashed out, even though the process took time and somewhat unnecessarily. One notable aspect about the SAARC is that the spirit of collective spirit has so far triumphed, mostly belying the negativities.

For instance, Pakistan, just on the eve of the coming SAARC summit, has announced "most favoured nation" treatment to India in trade and commerce and this has come as a pleasant surprise to many. This has come close on the heels of Islamabad's election as a member of the United Nations Security Council (UNSC) when New Delhi, already a member of the UNSC, extended support to its arch traditional rival. This development also raised eye-brows in some quarters. But the bottom line is that all these are done in a commendable spirit. Probably, the SAARC ambience is contributing to the healthy conditions. Unquestionably, this attitude is praiseworthy.

Needless to say, much of the SAARC success is contingent upon the cooperation and cordial ties among the these two members of the forum. Their major problems are too vexed and defies on easy resolution, but broad friendly relations would definitely help the SAARC.

The summit in the Maldives will take up some very critically important issues like the "Climate Change" that are inextricably linked with the vital interests of several members including the host itself. The Maldives faces the threat of most -- its most parts may go under the sea at one stage because of this dangerous climate change. Other matters aimed at socio-economic uplift of the nearly 1.5 billion people living in south Asia should also receive greater attention of the summit.

Undeniably, the millions in this region are mired in abject poverty. Hopefully, the SAARC would be more dynamic cutting across the political and other divides and come, at least, close to fulfilling the goals of the forum that has been so assiduously grown and nurtured despite myriad obstacles and limitations. Let us wait for the emergence of a more action-oriented SAARC from the coming summit.

E-mail: zaglulbss@yahoo.com

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Eid-ul-Azha tomorrow

The holy Eid-ul-Azha, the second biggest religious festival of the Muslims, will be celebrated across the country tomorrow (Monday) with due solemnity and religious fervour, reports BSS.

On this day, the 10th of Zilhajj some 4,000 years ago, Prophet Hazrat Ibrahim (AS) offered to sacrifice his beloved son Hazrat Ismail (AS) who willingly submitted to the will of his father to please Allah. But the Almighty in His benign mercy spared Ismail (AS) and instead sent a ram to be sacrificed.

To commemorate this historic event, the Muslims all over the world slaughter sacrificial animals and draw inspiration from the unique example of sacrifice to please Allah as shown by two great prophets-Hazrat Ibrahim (AS) and Hazrat Ismail (AS).

All preparations have been completed for celebrating the festival in a befitting manner.

The day's programme will begin with the offering of Eid prayers by millions of Muslims at mosques and eidgahs throughout the country.

They will seek divine blessings of Almighty Allah for peace, progress and prosperity of the country and welfare of the Muslim Ummah. They will also visit the graves of their near and dear ones to pray for eternal peace of the departed souls.

The prayers will be followed by sacrificing of animals.

On the occasion, President Zillur Rahman and Prime Minister Sheikh Hasina greeted the countrymen and the Muslim Ummah through separate messages.

Leader of the Opposition Khaleda Zia, leaders of different political parties and sociocultural organisations also greeted the people on the occasion.

In his message, President Zillur Rahman called upon all to follow the teachings and ideals of the holy Eid-ul-Azha in daily life.

"The future generations would have to be inspired with these teachings and ideals," he added. The President said the profound obedience and boundless adoration shown by Prophet Hazrat Ibrahim (AS) to Almighty Allah in fulfilling His desire is unique in the world.

He wished the holy Eid-ul Azha to bring welfare for all.

The Prime Minister in her message said the grand instance set by Hazrat Ibrahim (AS) by sacrificing his dearest thing for satisfaction of Allah will be imitated and followed for ever.

"Through the festival, the capable Muslims ensure equality for all and practise compassion by distributing meats of the sacrificial animals among relatives and neighbours," she said.

The Prime Minister called upon the countrymen to build a discrimination-free happy and prosperous Bangladesh by participating in people-oriented activities as well as realising the essence of Eid-ul- Azha.

Source: thedailystar.net

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Terrible gridlocks cause untold sufferings to home-goers

A terrible gridlock brought immense sufferings for the home-goers who were going by buses to their village homes to celebrate the Eid-ul-Azha with their near and dear ones in northern and southern districts of the country.

Train accidents that occurred due to travelling of passengers on roofs led to death of eight home-goers, sources said.

Md Hossain Rana, a private bank official, had been waiting since Saturday morning for his fixed bus of National Paribahan to go to his village home in Rajshahi.

Talking to the FE Saturday at 5.0pm he said that in his eight years of Dhaka life, he never experienced a hassle like this.

He was passing an awful time along with his wife and infant child.

Most of the home goers who began journey to their villages and hometowns to celebrate the festival with families faced an immense suffering caused by a gridlock of nearly 75 kilometres.

The worst sufferers were those who were on the way towards north-Bengal and south-Bengal -- Rangpur-Rajshahi divisions and Khulna division.

Shortage of food, water and sanitation facilities made their journey terrible, especifically for women.

Our Tangail correspondent writes: Since Saturday morning hundreds of passenger buses and cattle carrying trucks remained inert on both sides of the highway starting from Nandan Park at Kaliakoir of Gazipur to Elenga of Tangail.

The 75 kilometres traffic jam on the busy Dhaka-Tangail highway has been causing immense suffering to homebound people two days ahead of the festival, he said.

He said many women and children were forced to leave their buses and go to nearby houses beside the highway for sanitation.

Thousands of homebound people were suffering from lack of water and food.

Considering the movement of the vehicles, which were almost stand-still, the inhabitants whose houses were in Tangail, left the buses and began to go on foot even though the distance was 10 kilometres to 15 kilometres.

According to the Bus-Truck, Motor Owners Association, nearly 22,000 vehicles in 21 routes ply on Dhaka-North-Bengal and Dhaka South-Bengal highways, but during the Eid festival, the number of vehicles increases three to four times.

That causes the gridlock, the Association office said.

Bangladesh Railway (BR) officials said they were facing hardship to carry the large numbers of extra passengers during Eid.

Our sources at Bogra and Tangail said, at least eight people died after falling off the roofs of two trains in Bogra and Tangail on Friday night and Saturday.

They were going to their village homes to observe the festival with their families. After failing to collect tickets they were forced to climb on the train roof.

In Bogra, four passengers riding on the roof of Ekota Express (Dhaka-Dinajpur) were hit by an iron structure of Halhaliya Bridge at Adamdighi in Santahar upazila of Bogra district Saturday noon, they said.

Four people died and three were injured after falling off the roof of a moving train in Mirzapur upazila in Tangail district Friday night, sources said.

Officials at Kamalapur rail station told the FE that against its capacity of issuing around 12,000 tickets a day, the station faced demand for several thousand tickets every hour nowadays.

According to BR, 278 trains run throughout the country carrying about 30,000 passengers daily and every year it carries three to four times more passengers during the Eid period using its maximum capacity.

On visiting the Sadarghat (Dhaka launch terminal) area the FE correspondent found every launch was overloaded with a large number of passengers.

The launches were delaying for hours to leave towards the costal regions, passengers claimed.

Rashedul Karim and his family had been waiting for nearly six hours at Sadarghat to go to his home in Barguna district by MV Salauddin Launch on Saturday.

Talking to the FE he said, the authority was not responding to their query on the time when the launch would leave.

He said the launches are carrying three to four times more passengers than usual.

He said he had been waiting for five hours but his fixed launch was yet to come.

A high official of Bangladesh Inland Water Transport Authority (BIWTA) said the capacity of the water transports for Barisal and other coastal regions is nearly 40000 passengers per day.

But nearly 0.2 million people are thronging the launch terminals before Eid and launch numbers have also been increased, he said.

Source: thedailystar.net

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Hasina-Manmohan talks at Male Nov 10

Prime Minister Sheikh Hasina and Indian Prime Minister Manmohan Singh will hold bilateral meeting on the sidelines of the 17th South Asian Association for Regional Cooperation (SAARC) summit at Addu, Male on November 10, report agencies.

The meeting will be held at Shangri-La's Villingi Resort, nearly three hours ahead of the formal inauguration of the summit of the eight South Asian nations.

This will be the second top level interaction between the two leaders of Bangladesh and India within three months.

Meanwhile, Indian foreign secretary Ranjan Mathai Saturday confirmed that the meeting would take place on the sidelines of SAARC summit.

He told journalists in New Delhi that the two prime ministers would review the bilateral relations and discuss ways to boost regional cooperation.

Asked if the two prime ministers could touch upon the thorny bilateral issues like sharing of water of common river Teesta and transit links between mainland India and its northeastern states through Bangladesh, Mathai said that Hasina and Singh could hold discussions on the tasks left 'unfinished' during the latter's tour to Dhaka on Sep 6 and 7.

According to the joint statement issued after the meeting between Singh and Hasina in Dhaka, the two neighbours agreed to work together to further strengthen SAARC, including expanding areas of cooperation, and as partners in achieving the full implementation of all existing projects and agreements of the bloc.

New Delhi and Dhaka had long been negotiating a deal on Teesta and the two countries were about to sign an interim agreement during Singh's visit to Bangladesh.

But West Bengal chief minister Mamata Banerjee's decision not to accompany Singh to Dhaka held the issue back as she differed with India's central government on the Teesta issue, forcing New Delhi to postpone the signing.

Banerjee is understood to have conveyed to the Congress-led United Progressive Alliance government in New Delhi that she would not endorse a deal that would hurt the interests of the people of West Bengal, which is largely dependent on the common river for power generation and irrigation.

Meanwhile, officials with knowledge of the proceedings said that the conclave, which would be attended by the leaders of the eight South Asian nations, would culminate in signing of four agreements covering establishment of a SAARC seed bank, multilateral arrangement on recognition of conformity assessment, rapid response to natural disaster and implementation of regional standards.

The SAARC member states are also expected to adopt a charter of democracy in the summit.

Source: thedailystar.net

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Govt invites applications for selecting int�l investors

The government has invited applications for investors' prequalification with a view to selecting potential international investors to finance the second Padma Multipurpose Bridge at Paturia-Daulatdia point, reports UNB.

Bangladesh Bridge Authority (BBA) under the Communications Ministry issued the international notice on November 3.

The proposed bridge will be constructed on public-private partnership (PPP) basis with an estimated cost of Tk US$ 2 billion, according to the Communications Ministry officials.

The second Padma Bridge project, if implemented, will establish direct road communications from capital city to western and southwestern part of the country as well as with Benapole land port.

The government thinks the bridge will boost commercial and trading activities between east and southwest regions of the country, and will create additional employment opportunities in agriculture, traditional crafts, small scale industries and commerce to help attain higher economic growth.

According to the notice, the project investors will be selected through an International Competitive Bidding process from a pool of applications who meet the criteria.

The interested investors will have to submit their application for prequalification by January 10, 2012.

Source: thedailystar.net

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2m Muslims perform Hajj

AppId is over the quota
AppId is over the quota

MOUNT ARAFAT: Muslim Hajj pilgrims say Asr prayers at the Nemra mosque near Mount Arafat Saturday. ? AFP photo MOUNT ARAFAT, Nov 5 (AFP) : More than two million Muslims gathered Saturday on Saudi Arabia's Mount Arafat and its surrounding plain, marking the peak day of the hajj, the world's largest annual pilgrimage.

Dressed in white garments, the pilgrims filled the Namera Mosque in Arafat and the nearby streets and camps for collective prayer, led by Saudi Arabia's top cleric, Sheikh Abdul Aziz al-Sheikh.

"Islam is the solution for the problems" of Muslims, he said in a speech before the prayer began, warning the faithful of "a media and cultural invasion that seeks to weaken (their) faith."

He urged Muslims to solve their problems "without interference from their enemies," condemning those who want to "provoke hostility between you and your leaders."

This year's hajj coincides with the Arab Spring democracy protests that have swept many nations in the region and led to the ouster of the autocratic leaders of Tunisia, Egypt and Libya.

Saudi Arabia has been spared the unrest despite small-scale, sporadic Shiite-led protests that took place in its Eastern Province, which the Sunni-majority kingdom quickly controlled.

Source: thedailystar.net

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WB-BD spat other aid from Japan, influence is not Muhith says

Finance Minister Abul Maal Abdul Muhith Sunday said that "any other assistance" from Japan would not affect the complications created with the World Bank (WB) on the financing of the Padma multi-purpose bridge.

AMA Muhith "Ambassador of Japan in Bangladesh Shiro Sadoshima has assured me that the Japanese support for other projects in the country due to the last position on financing Padma WB bridge is not affected,", told reporters after a meeting with Shiro Sadoshima hold office at his secretariat.

He said, the Government of the decision of the WB to Padma financing know bridge was waiting.

The Finance Minister said that Japan now the new orientation of the route for the Metro Rail project in the capital was reviewed.

He said that in Japan as well as in Bangladesh now companies would efforts to increase bilateral trade and investment, which is now at a low level.

Before the meeting with the Japanese Ambassador, Mr. Muhith was a discussion with the officials of the power Division at conference room of the Treasury, the draft of agreement with India to be signed, coal-based power plant complete manufacture a 1300 megawatt joint venture.

The Minister said, "Bangladesh of power Development Board (PDB) and Indian national thermal power company joint venture initiative for the 1300mw based on coal fired power station in the country take."

Source: thedailystar.net

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Banks deposit growth witnesses rising trend

SIDDIQUE Islam

The growth of total deposits with the land banking system experienced an upward trend in recent months mainly due to the higher inflow of remittances, reducing the net savings certificates and sluggish stock market.

Bank Deposit increased to around 14 per cent to TK 4238.88 billion on October 6, 2011 against TK 4140.53 billion on June 30 this year as the annual growth rate of the deposit to 11.22%, as the Central Bank statistics.

"Deposit growth rate relatively higher than the credit growth in the banking sector the normal economic activities in the country, has in recent months," said a senior official of Bangladesh Bank (BB) the FE Sunday.

Credit growth, especially in the private sector, increased 3444.49 billion in the period under review of TK by 8.80% to TK 3362.23 billion on June 30 last when the annual growth rate was 6.20 per cent.

He also said that the Central Bank has calculated growth rates with a benchmark, that in view of the situation on 30 December in money and stock markets.

"We the growth of bank deposits and loans have calculated in the light of the volatile situation in money and stock markets on 30 December last,", said the central bankers, added that the BB wants a convergence between growth of loans and increase of the deposit.

"The Central Bank set relationship between credit deposits (CDR) with 85 percent for conventional banks has already during sharia-based Islamic banks, it is 90 percent as a secure border," the BB official noted.

Have at least 16 banks, by a total 47, their CDR for credit payments on October 06, exceeded the BB data showed.

"We are exactly that watching any risk to avoid CDR positions of commercial banks a total", said the central bankers, added that the BB issues Letters, turn off your CDR within a secure questions the banks down.

Conversation with the vu, said senior private banker, higher inflow of remittance to increased bank deposit has contributed in recent months.

Bangladesh received 2.96 billion $ transfers July-September of the current fiscal year (FY), register period a 11.35 percent as growth in the corresponding period of last fiscal year the BB data showed.

About credit flow, he also said, that most banks selective banks, instead of 'Mass banking' followed statement (MPS) in the period under review in accordance with the BBs latest monetary policy.

In its latest half-yearly report of m/S, the Central Bank said that it would aim, with inflationary pressures by discouraging credit flow to unproductive sectors and for speculative purposes, including real estate and investment in the stock market, affordable limits.

"We are now to discourage investments in less productive sectors including consumer credit," said a leading private bank of commercial an other senior officials.

Net sales of the national savings Directorate (NSD) certificates fell drastisch-- more than 69%-TK 3,37 billion in July-August period of FY-12 against TK 10.98 billion during the same period of FY 11.

"Some depositors their funds with the banks savings deposited after redemption at maturity of their testimony,", said the private banker, adding that investors have their money with banks even after the share market debacle have deposited.

Stock exchange of the country lost in the market capitalisation of all listed issues, leading to a decline in the index, in the last few months.

The benchmark index of the Dhaka stock exchange (DSE), best exchange of country-commonly known as DGEN--8918.51 point on December 05, showing DSE data came Sunday from the highest to 5077.13 point.

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Make public core Committee report on transit to India

Leading businesses and experts suggested Sunday the use of entre-pot and re-export facility as an alternative to transit or transshipment to help grow local entrepreneurship.

They expressed the view that the alternative would protect the best interests of the country.

They were speaking at dialogue on Transshipment or Transit for India?, organised jointly by International Chamber of Commerce-Bangladesh (ICC-B) and Daily Star at a city hotel.

A number of participants at the dialogue wanted the government to make public immediately. The 'Core Committee' report on transit and transshipment to remove confusion over the issue.

Commerce minister Muhammed Faruk Khan joined the dialogue as chief guest while prime minister's advisor on international affairs Dr Gowher Rizvi and another advisor on economic affairs Dr Mashiur Rahman attended it as special guests.

President of SAARC Chamber of Commerce and Industry Annisul Huq said re-export will ensure 10 per cent value addition for the local entrepreneurship.

Mr Annis also a former FBCCI president said entre-pot facility will help grow entrepreneurship in the country.

He said: "We can earn at least 5.0 per cent from the entre pot facility and it will also help improve the infrastructure."

Mr Annis said use of the entre-pot and re-export facility might help eliminate the misunderstanding between the two major political parties as both while in government had ratified the entre-pot and re-export facility.

Former commerce secretary Sohel Ahmed Chowdhury narrated the background of the options saying: The option until now has remained ineffective."

Speaking at the function he said transshipment is preferable for the country.

"After 5-7 years, we will be able to provide transit facility efficiently," Mr Sohel added.

The speakers comprising businesses and economists said the recommendations of the government-formed 'Core Committee' should be made public immediately to ensure transparency in the much-talked about the transit issue.

They also underscored the need for making a detailed cost-benefit analysis by internationally reputed consultants prior to providing such facility to the neighbouring country.

They felt that domestic manufacturers would loose their competitive edge if transshipment facility is allowed.

While delivering the welcome address, ICC-B president Mahbubur Rahman said granting of transshipment or transit facility to India is not a simple issue.

"Before providing such facility, a detailed and serious study must be undertaken by internationally reputed professionals, appointed through international bidding," the ICC-B chief said.

He said: "Consignments coming from India are being given preference in crossing to Agartola over export consignments from Bangladesh which is rather worrying for us.

Mr Mahbubur Rahman said the concept of transit should be re-visited and Bangladesh should go for a transshipment agreement to help India gain access to their seven north-eastern states.

He said methods could be developed for seamless movement from one truck to another directly, at the borders.

"If needed Bangladeshi trucks could go into the warehouses in India, and then deliver goods to another Indian point after traversing the territory of Bangladesh," the ICC-B chief added.

He also said the same procedures could be adopted for the railway as well.

He said in the case of transit to India, it is not known who will pay for the development of massive infrastructure involving investments worth billion of dollar and for its regular maintenance when Indian cargoes start rolling on them.

Former FBCCI president Annisul Huq said the government must clear its stance on the transit issue.

He said the core committee report in relation to transit fees and charges should be unveiled immediately.

Mr Annis said Bangladesh might explore the alternative options like entre- pot trade and re-export facilities. This will help grow entrepreneurship, he added.

He said the entire nation is confused over the transit issue.

Former caretaker government advisor Dr AB Mirza Md Azizul Islam said Bangladesh needs to think about its subsidized fuels.

"Bangladesh provides subsidised fuels to the transport and agriculture sector. Who will bear the cost of re-fuelling of Indian lorries from Bangladesh,? he asked.

Mr Mirza said the issue should be addressed immediately.

Mirza wanted to know whether or not the government has any choice relating to transit and transshipment?

Addressing the dialogue another former caretaker government advisor M Hafiz Uddin Khan regretted that there was no focal point to deal the issue.

"We don't know which ministry is the focal point, we're hearing different comment from different ministries on the issue," he added.

Mr Hafiz said government has talked about regional connectivity. Is Bangladesh invited Myanmar or China for taking part in the transit facility?

He said, "Have China and Myanmar shown any interest in transit issue?

Taking part in the dialogue distinguished fellow of the Centre for Policy Dialogue (CPD) Debapriya Bhattacharya said Bangladesh and India are now using the old river transit protocol. There is no need for a modern and comprehensive treaty for this facility.

He, however, said the existing protocol does not cover scanning of goods and dispute resolutions.

Bhattacharya felt that the highest level of transparency needed to be maintained in the case of transit or transshipment as this is an important national issue.

He said four critical factors -- legal framework, regulatory framework, infrastructure and financial charges -- should be taken into consideration while granting transit to India.

Mr Rahmatullah said Bangladesh's road infrastructure right at this moment is not capable of taking the load of heavy duty trucks.

Mr Rahmatullah advocated for granting limited transit facility to India.

Bangladesh tariff commission chairman Md Mozibor Rahman said the core committee has recommended charges and fees taking into cognisance the best practices followed in other countries.

Metropolitan Chamber of Commerce and Industry president Amjad Khan Chowdhury said Bangladesh needs trade expansion and the transit and transshipment will create opportunities for the country.

He said local exporters face many non-tariff and para-tariff barriers while exporting to India.

He said Bangladesh should negotiate with the Indian government in this connection.

Dr Toufiq Ali said: "I don't know what he means when one of the advisors say there is no need for transit agreement."

Dr Jafar Ullah said: "We cannot trust India. It had failed to keep its promises on several occasions earlier."

Prime minister's advisor on international affairs Dr Gowher Rizvi said Bangladesh has studied the world's best practices.

"The committee has also recommended the best one," Mr Rizvi added.

Mr Rizvi said corridor and transit are not the same.

Mashiur Rahman said the transit regime should provide opportunity for adjustments of tariff periodically say after 2-3 years.

He also underscored the need for mobilisation of resources for efficient maintenance of railway and river routes and investment for capacity expansion, particularly of Chittagong and Mongla port.

Commerce minister Faruk Khan said the core committee has submitted its report on the transit issue.

"We're now actively considering it and we will announce it," Faruk added.

He said the government wants regional connectivity.

"We think that there will be a win-win situation in the transit," he added.

"We will protect the interest of Bangladesh. We will not compromise on the issue," the commerce minister asserted.

He also said Bangladesh has prepared a list of 16 new items for duty free access to Indian market.

Source: thedailystar.net

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Ivy at the top in NCC surveys with distance

Dr. Selina Hayat Ivy wave Centre on the Deovog in Narayanganj Sunday after attending a query. -Focus BanglaNARAYANGANJ, Oct 30 (agencies): Unofficial results of Narayanganj City Corporation (NCC) elections show that candidate Mayor Selina Hayat Ivy Awami League with huge majority Shamim Osman over their nearest rivals, supported by AL Central leaders.

Until our want votes press on respondents in 132 centers of 163, 10-33 Ivy 1,50,319 while Shamim received 59.900 votes.

Previous report: long before the official results of Ivy claimed their race for Mayor Narayanganj.

Victory claimed renegade candidate based on the early results from 20 centres of the 163, the announced her ahead by about 20,000 votes, 8.43 p.m. the Awami League.

This win against the blackmailer and land-grabbers faced, Ivy at 19: 45 Sunday just under four hours after the polls close press.

Ivy's main rival, ruling Awami League backed Shamim Osman got 6.268 votes in 20 centers, where Ivy queried 26.505 votes. The City Council has something more than 400,000 voters.

Happy putting up her index finger and middle finger in 'V', Ivy, said, "I knew it." "I won, because the people with me." Ivy wearing a pink Sari, looked confident and satisfied.

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NCC goes to the polls today under tight security

FE report

All eyes are now on Narayanganj, City Corporation as the newly-formed to the vote today (Sunday) goes under tight security.

The Election Commission (EC) has all kinds of preparation, necessary equipment such as ballot boxes and electronic voting machines (EVMs) send the polling centres.

The elections the country get a mayor and Councillors of his seventh City Corporation. A total of six candidates will be contested for the mayoral post and 250 other contenders for the post of town councils.

After a last-minute drama about deployment of the army,.

Police and rapid action battalion (RAB) have been around 163 retrieve centres implemented in Narayanganj City Corporation (NCC) to smooth and fair elections to ensure.

More than 430,000 people are to their voice, by more than 1,500 booths set up by the European Commission in 27 NCC stations to choose administrators of the City Corporation.

Ballot boxes, EVMs and other materials were that sent points each vote in the morning, while several teams of Bill patrol areas of the NCC were seen, maintain peace and order before the quoted elections.

In the meantime the campaign for the polls midnight arrived officially to end of Friday after an air of uncertainty the EC announced, that provided no troops for the elections.

Voters have tried foolproof panic precautions of the authorities so that they can directly peacefully exercise their right to vote.

The EC has identified 126 polling centres as prone to violence, which have been taken in the tight security measures, the returning officer who said Narayanganj Biswas Lutfur Rahman, adding that the voters their choice franchise through EVMs in 58 centres.

"Posts already check Elf was set up at various strategic points, and the police officers led also seek in various key areas to the elections free and fair", he added.

Commander of RAB legal & media wing M Sohail said that some of the 1,400 RAB men in the areas of NCC, to back the confidence of the people in the polls have been provided.

"This is to force the largest to cover every single election ever deployment of the elite." We the polls peacefully at all costs will hold, "he said, her voice without fear urged voters."

Dog squad and bomb disposal units of RAB reached also NCC to check any possible criminal activity, as feared by a key participant of the polls.

Taimur remain

in the race

UNB adds: their candidate Taimur Alam Khan Dacian asked BNP in the race to stay, for the mayoral, although the party will not vote feels free and fair in the absence of the army post in the elections.

Addressing a press conference at party headquarters Saturday morning, BNP Deputy Abdullah Al Noman asked me, is why the EC keeps the choice of Chief Election Commissioner (CEC), which supposedly the Government violated the Constitution no cooperation with them in the deployment of the army.

He mentioned that the CEC that the Commission is not responsible has said if problems break out during the elections. "If so, why the Commission considers that the choice?" he asked.

Noman said that the Commission has used a letter to the Government, the deployment of the army.

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Record oil import in the first quarter

The country's total payments import of more than 23% in the first quarter (Q1) of current fiscal year (FY), especially on more than 100 percent increase in the oil import bill grew, officials said.

"The total imports payment that Bill almost as fuel import the roof in the first quarter hit a significant growth marked," a senior official of Bangladesh Bank (BB) said the FE Saturday.

Letters of credit (LCs) against imports worth of 8.53 billion were settled according to period, the Central Bank Statistics July-September the value FY 12 compared with $6.92 billion over the corresponding period of the last financial year.

Separately-comparative table of the opening

and settlement during the import of L/C?s

July 2011 - September 2011

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Trading companies against criminal provisions in VAT

Local businesses Saturday sought exclusion of criminal provisions in the proposed value added tax (VAT) act to make it more tax-friendly.

They suggested for formation of a core group comprising relevant ministries and trade bodies in a bid to prepare the draft of the act business-friendly.

Some of the business leaders, however, said the existing VAT act should be amended incorporating suggestions from the business bodies instead of enacting a new law.

The business leaders were addressing a meeting on proposed VAT act organised by apex trade body - - - the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) - - - held at city hotel.

Chairman of National Board of Revenue (NBR) joined the meeting as chief guest. Acting FBCCI president Md Jashim Uddin was moderator of the programme.

Executive chairman of local think tank Policy Research Institute of Bangladesh Ahsan H Mansur, commissioner of large taxpayers unit Barrister Jahangir Hossain, professor of Lund University Dr Ben Terra presented key note papers on the issue.

Addressing the meeting, NBR chief Nasiruddin Ahmed said they would not propose enactment of any law incorporating criminal provisions in it.

The proposed VAT act will be more liberal in terms of imposing penal charges, NBR chief added.

He said his office will not bow down to any pressures from the World Bank and IMF (International Monetary Fund) while finalising the draft of the act.

"We've to mobilise resources from the domestic sources, then why will we bow down to foreign pressures?" he asked.

He said the NBR is working to mobilise internal resources and thus cut dependence on World Bank and other donor agencies.

He said: "We want a win-win situation while preparing the proposed act"

NBR chief who sought chapter-wise suggestions from the FBCCI said: "We should work together to make it more business and tax friendly."

"We need more inputs for the proposed act and we need assistance form the business circles," he added.

He said: "We'll give you a modality and you will contribute to enrich the act."

Mr Nasir said the proposed VAT act will take adequate care of the small and cottage industries.

"We've planned to incorporate a second threshold for the small business houses," Mr Nasir who is also in-charge of internal resources division added.

He said impact assessment should be conducted to prepare the proposed act.

Mr Nasir stressed the need for automation of all tax offices to ensure efficient tax services.

He said the tax office lacks skilled manpower for long due to legal complexities to appoint new personnel.

"We've already recruited 90 assistant revenue officers. I think this will help improve the situation."

PRI Executive chairman Ahsan H Mansur said the current trend of growth in the VAT mobilisation must be ensured for the next 20 years.

We need a big reform in the tax system to retain the present growth trend in VAT", he added.

He said Bangladesh is the worst performer in case of tax-GDP ratio in the region.

"Our tax-GDP ratio is simply over 9 per cent. This the worst in the region," Mr Mansur added.

He said, "we must attain 13 per cent tax-GDP ratio as per the fifth five year plan".

He observed that less than one per cent of the total population is paying taxes.

Mr Mansur said it is necessary for improvement of tax payers' services.

He said electronic filing of tax returns and automation are designed to improve the services.

He said: "We need a good VAT act as a good act can ensure good mobilisation of taxes."

Mr Mansur said over Tk 200 billion now remain pending due to filing of cases by tax payers and the NBR.

"We should release such big amount immediately through alternative dispute arrangement," Mr Mansur added.

Addressing the meeting, FBCCI vice president Mustafa Azad Chowdhury Babu said the NBR should prepare the proposed act after thorough discussions at seven divisional levels.

Mr Babu said the VAT act should be made simple.

"We need a core group for analyzing each provision of draft act and make it efficiently," Mr Babu added.

He said the criminal provisions in the draft act should be scrapped. "Awarding imprisonment or imposing tough penalties will not ensure sound earnings of VAT by the NBR," he hinted.

Mr Babu also stressed the need for enhancing public services throughout the country.

"We're paying taxes and VAT, but in exchange of this, we're not getting proper services," he added.

Mr Babu said the communications network has failed. "We need at least 12 hours to go to Chittagong against six hours earlier," he added.

Addressing the meeting, FBCCI acting president Md Jashim Uddin alleged that many business firms are paying double taxes due to the existing act.

"Small business firms who cannot import directly and buy from the importers, have been paying double taxes," he added.

Mr Jashim said the new act will remove many such hurdles.

He urged the NBR to refrain from formulating VAT act by copying acts of developed nations.

"You will not enact such a law which we will not be able to abide by," Mr Jashim added.

Referring to the proposed VAT act, commissioner of large tax payers unit of the NBR Barrister Jahangir Hossain said the new act will reduce the cost of doing business in the country.

"It will be a hassle-free and tax friendly," he claimed.

Mr Jahangir said business firms will require only one registration despite the fact that they may have separate factories across the country.

Currently, business firms need separate VAT registrations for their different plants.

He also said transfer of raw materials from one factory to another factory under the same entrepreneur will not require to pay 1. 5 per cent taxes now.

Mr Jahangir said business houses will be able to announce discounts they wish which are barred in the existing VAT act.

He said the new act will ensure the competitive edge.

He said: "We want the provisions of tax exemption in the tax system."

Citing a study conducted by IMF, Mr Jahangir said actually exemption goes to the influential people.

Professor Ben Terra said VAT is as interesting as a new execution techniques for somebody waiting in death-row.

He said VAT should be clear, simple and having single rates.

He said VAT is self policing and clear audit-trail.

Amin Hossain Khan, president of Bangladesh Dokan Malik Somity said there is no necessity of new act. "Rather you should amend the existing VAT act."

He said nobody can realise taxes forcibly. "You can't force me to pray five-times a day, showing the extreme punishment of hell."

"The punishment provisions should go from the proposed VAT act," Mr Khan who is also a member of FBCCI standing committee on VAT and taxes, said.

He said participation system should be re-introduced to make VAT act more friendly.

He said parliament should pass the main VAT act. "We all should be included while preparing rules of the act."

FBCCI director Abdul Hoque said the small business house should be kept outside from the VAT.

Former FBCCI adviser Manjur Ahmed alleged that the World Bank and IMF are giving misleading idea about our tax-GDP ratio.

"Our ratio is over 12 per cent on 80 per cent productions. We have excluded agriculture form the tax system," he claimed.

He said NBR should begin from bottom lines to know the real situation of small and cottages firms.

General secretary of Bangladesh Re-rolling Mills, Abu Bakar said the rate of VAT should be fixed at 10 per cent.

A director of Bangladesh Chamber of Industries Priti Chakrabarti said the VAT act should be made very easy so that entrepreneurs and VAT officials understand it clearly.

Referring to NBR she said, "You are giving examples of developed nations, but You should know what benefits they are getting from the governments to produce their products."

A former NBR official Shahab Uddin said penalty must be made more liberal.

The former NBR member said the proposed law has been converted into Bengali. "But there is still some issues to make it more clear."

Shahidul Islam Milon, a representative of Jessore Chamber of Commerce and industry said the scope of VAT should be widened further.

Habibur Rahman Raja of Rangpur Chamber of commerce and Industry said distributors have been facing serious harassment by the revenue officers.

Shafiqul Alam Bhuiyan, managing director of Monico Ltd and representative of Bangladesh Association of Construction Industry, Abdul Waded of Chapainawabganj Chamber of Commerce and Industry, Enayet Ullah of BCI, Abdus Salam of Dhaka chamber of Commerce and Industry, Shahidul Hoque of Bangladesh Indenting Agencies also addressed the meeting.

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WB, IMF can not direct our has Mkt: Muhith

The Finance Minister has rejected some comments, in a report of the World Bank and International Monetary Fund (IMF) in connection with a Fund for the provision of assistance of a drooping stock market, reports bdnews24.com.

"Our market are dictated not by World Bank, IMF." She said Finance Minister A M A Muhith own rules run can, "Reporters Saturday."

In view of the market freefall, the Government, Central Bank and the stock regulator took several measures to strengthen the stock exchange. Banks and companies also appeared to stabilize two mutual funds and institutional investing on the market.

Two Bangla national newspapers on 26 October cited the report, which said the second fund, offered by a consortium of banks, would 'Reward failure to control the market'.

"It is not only a mistake, but raises questions about the true intentions to make the Fund", he said.

In the meantime our staff correspondent, FHM Humayan Kabir, adds: in a letter of 19 September, and at the World Bank (WB) President Robert B Zoellick, Finance Minister AMA Muhith sought the support of the World Bank for the release of committed funds for the Padma bridge.

"As long as the claim is shown in the appointment of qualified bidders for the construction of main bridge, we continue to other project works, want to support the World Bank" the Finance Minister said in his letter.

Since the anti-corruption Commission (ACC) investigation of alleged graft the bidding process has begun for the construction of the Padma Bridge 2.9 billion project, "we want to Bank permission continue the project work", Mr. Muhith wrote on the WB President.

He assured the WB President that the Government would allow no wrongdoing in the process of implementing the Padma bridge project in the future.

"In addition", if it is proved the alleged graft by the ACC we punish the culprits, he said WB Chief in his letter to the.

In his letter, the Minister of finance proposes also the Washington-based global lenders can scrap be assigned to the bid by the Canadian company SNC-Lavalin, one of five nominated pre-qualified bidders, the construction work for the supervision of the bridge, and select a company from the other four.

World Bank Vice-President Mrs Isabel M Guerreoro during his visit to Dhaka early September last the position financing keep their dedicated $1.20 billion for the multi billion dollar-Padma bridge-project for corruption.

In his letter Mr Muhith requested the WB authorities also continue to the lenders that support the approach on the MAWA side of the Padma bridge and the river training work for building contractor complete selection.

How the Government the ACC for the production of a probe in the WB triggered accusations in the first process before the bridge construction work and swore that has assigned guilty to punish "The implementation of the project should be stopped", said the Minister.

The State Bangladesh Bridge Authority (BBA) five pre-qualified tenderers for construction of 6.15 miles Padma bridge in a second time tender selected.

Offer in the first period scrapped due to reservations by the lead financier of the World Bank is, and a new round of tender was invited for the selection of a qualified bidders for the longest bridge in Bangladesh.

Mr Muhith wrote to Robert Zoellick: "Since the Government already its transparency of land acquisition and renovation of the product concerned in the Padma bridge has proved its worth, support the country's largest mega project of the World Bank should continue."

Also, the World Bank, the Asian Development Bank (ADB) 615 million, Japan commits $ 420 million and the Islamic Development Bank (IDB) 140 million for the bridge project.

Source: thedailystar.net

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Experts suggest use of entre-pot trade, re-export as alternative to transit

Authorities concerned can facilitate transporting goods to, and from, northeastern states of India via Bangladesh by utilising the still-operational provisions of the country's export policy, before implementation of a massive investment programme for offering full rail, road and riverline transit on a regular basis to India, traders and experts said on Friday.

If such an approach would have been taken earlier, the scope for both India and Bangladesh to go along the provisions of the export policy of the latter, as an alternative to the transit, could be better utilised, they said.

At least, the same mechanism can still be tried for the time being until India is given full-fledged land transit facility, the effective use of which, according to experts, might take, at least, a decade for construction of the required infrastructural facilities that will involve an estimated cost of more than Taka 470 billion.

Had the government implemented the provisions, the political controversy and debates in Bangladesh over the transit issue could be averted, the traders concerned said.

"The provisions incorporated in the export policy in 2003 and retained in the export policy that was recast in 2007, could not be implemented because of unexplained reasons," Syed Toufique Ali, a former vice-president of the Dhaka Chamber of Commerce and Industry (DCCI), told the FE.

But such provisions do still remain legally operative as those have not been scrapped, he added.

The provisions of entre-pot trade and re-export, incorporated in those export policies, clearly authorize intermediaries in Bangladesh to import goods from any foreign country and re-export the same to that or another country, keeping a nominal margin as handling charges.

"There is a fear that such provisions in the Bangladesh export trade policies of 2003 and 2007 about entre-pot trade and re-export will not fulfill the demand of India and as such it might not consider the same as a sustainable alternative to transit in the form that it (India) has been eying on," an economist said.

However, he said until the time the required infrastructural facilities are not ready for regular, full-fledged transit, such provisions, if are implemented, will benefit both the countries.

Under such provisions, Bangladeshi traders can import goods from any part of India or any other country through sea-ports or land-ports and re-export the same back to India or any other country.

However, those provisions have grossly been overlooked while accepting the Indian proposal for allowing movement of goods through Indian states via Bangladesh, Syed Taufique Ali observed.

Prior to giving full-fledged road transit facilities to India, some trial movement of goods has already started, despite mixed reactions among local traders, stake-holders, civil society groups, politicians and the vested interests.

A new land route - between Ashuganj transshipment point to Agartala landport under Tripura state of India - under an existing river protocol of 1980 has meanwhile been incorporated.

Heavy machineries were offloaded from some vessels at Ashuganj river terminal and were carried into India by Bangladeshi trucks and later by Indian ones over the past weeks, officials at Akhaura land-port said.

The opponents of this extension of river protocol, as a covert arrangement, to land route transit, criticized the authorities concerned for allowing movement of heavy lorries, jeopardizing the existing fragile road conditions on the Bangladesh side.

A number of local traders observed that in case of direct road transit, the Indian lorries will require to be loaded in India and unloaded again in India, after traveling across Bangladesh.

"Though Bangladesh may get some 'tips' as transit fees, which are yet to be worked out, it will have no control on the consignments, and will have no rights to know about their contents," Mr. Ali said.

As the owner of Netan, an export-import firm, Mr. Taufique Ali Khan got permission as far back as in 2007 the from Indian state authorities in Tripura and its central government in New Delhi to conduct handling of Indian goods under entre-pot trade and re-export system.

In cases of entre-pot trade or re-export, Bangladeshi handlers (importer and exporter who has to be the same individual, group or firm) will also have a control on the goods and will be responsible for the safety of the consignments.

Under this system, many Bangladeshi traders could be involved in handling the goods between entry- and exit-points on the borders or between ports in India and Bangladesh.

"Under such an arrangement, Bangladesh and India could be in a win-win situation, both sides benefiting in the field of trade and commerce," Mr. Ali said.

Under entre-pot trade arrangement, a trader who imports certain goods from any country can re-export the same to the same country or another one, by keeping a 5.0 per cent margin without opening the consignment and also without changing quality, quantity and size of it.

This entre-pot trade can be done against back-to-back letters of credit (LC) provided by the buyers through "import permit on a returnable basis", obtained from the office of the Chief Controller of Imports and Exports (CCIE) in Bangladesh.

In the case of re-export, the ports of import and export are different and consignments can be transported to the port of export against a 100 per cent bank guarantee equivalent to the amount of duties and taxes that would be returnable on execution of the export order.

Consignments under entre-pot trade are not allowed to be taken out of port boundary, without special authorization.

Under re-export, importers are allowed to change quality and size of consignments in re-processing and re-packing for, at least, 10 per cent value addition, before re-exporting.

This can be done after payment of admissible duty and taxes under 100 per cent duty drawback arrangement, bank guarantee and under the bonded warehouse system against the export LCs, provided by buyers through "import permit on returnable basis" from the office of the CCIE in Bangladesh.

Source: thedailystar.net

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