FBCCI wants corporate tax rate cut to 10-15%

The country’s apex trade body has demanded that the government lower corporate tax rate to 10-15%, in order to help the backward linkage industry flourish.

Since most of the backward-linkage industries in the country are small and medium-sized enterprises, corporate tax rate in this sector should be less, it further said.

The Standing Committee of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) on Backward Linkage Industries came up with the proposal at its first meeting at FBCCI Icon in the capital on February 10.

Chairman of the committee Abul Kalam Bhuiyan said lowering the corporate tax rate to 10-15% would help develop the backward linkage industry. He also suggested that the entrepreneurs should get plots at affordable prices for expansion of the industry.

Speaking as the chief guest at the meeting, FBCCI Vice President M A Momen said that most of the giant companies today started their journey as backward linkage industries. “Therefore, the role of this sector in the overall development of the country is undeniable,” he said.

Mr. Momen said industrialisation was not possible without development of the backward linkage industry. If there is no such industry, the supply chain will break down, said the FBCCI leader, putting emphasis on the development of this industry for greater good.

At the same time, he called upon the government to give due importance to this sector while adopting policies.

Director-in-charge of the FBCCI standing committee Joshoda Jibon Debnath called upon the entrepreneurs of the backward linkage industry to take concerted initiatives to establish a separate industrial zone for the sector. He assured them of cooperation in accessing necessary bank loans in this regard.

Mr. Debnath said the expansion of the backward linkage industry was essential to meet the challenges of post-LDC industrialisation.

The Financial Express