Leather good exporters in Bangladesh are in for some positive development on the back of the Government deciding to allowing them to apply for some additional discounts even as the Foreign Exchange Policy Department of the Bangladesh Bank has issued a circular, as per which exporters from now on can apply to the Discount Committee of Bangladesh Bank for more than 5% discounts against the export of leather and leather goods.
This is as per media reports while adding that going forward, if exporters can show reasonable evidence of offering additional discounts, the Discount Committee will consider it even if the move will help leather and leather goods exporters to offset the loss of export proceeds they often incur by offering buyers discounts of more than 5% prescribed in the Guidelines for Foreign Exchange Transactions.
It may be mentioned here the leather sector is considered the next best after the readymade garment industry, in terms of export earning potential.
