During the initial three months of the current fiscal year, the misuse of bond facilities, which offer import duty concessions for raw materials used in export-oriented sectors, has witnessed a 50 per cent decrease.
This reduction in misuse has translated to a noteworthy savings of US $ 1.45 billion in the first quarter of the ongoing financial year.
The Government granted tax concessions of approximately Taka 1 lakh crore on raw material imports under the bond facility in FY 2022-23, as reported by the National Board of Revenue (NBR).
Customs data reveals that the gap between the importation of raw materials and the export of goods manufactured from these materials has contracted to 22 per cent in the first three months (July-September) of FY ’24.
This represents a considerable improvement compared to the 40 per cent gap observed in the corresponding period of FY ’23 and an even more substantial 45 per cent two years ago.
This positive trend is credited to the successful implementation of digital technologies, which have enhanced the trade data collection and analysis capabilities of the NBR.
The integration of the Customs Department’s software, ASYCUDAWorld, with various institutions, including banks engaged in import and export activities, has empowered the revenue board to effectively monitor and regulate the utilization of bonds.
