The government will reduce the import duty on fire fighting equipment for export-oriented industries, including readymade garments, in the budget for the next fiscal year 2013-2014.
National Board of Revenue officials on Tuesday said that the fire fighting equipment would be considered as capital machinery for which businesses pay lower import duty.
The import duty on fire extinguisher would be reduced to 2 per cent from the existing 23 per cent, they said.
The import duty on other equipment like fire alarm and sprinkler would also be reduced.
The government took the move on the back of frequent incidents of fire at garment factories.
On November 24 last year, 112 people were killed in a fire at Tazreen Fashions at Ashulia.
The Bangladesh Garment Manufacturers and Exporters Association and Bangladesh Knitwear Manufacturers and Exporters and Association recently requested the NBR to reduce duty on fire fighting equipment.
NBR officials also said that finance minister AMA Muhith in his budget speech would also announce the cut in import duty on all capital machinery to 2 per cent from the existing 3 per cent.
The import duty on intermediate raw materials would also be reduced to 10 per cent from 12 per cent.
-With New Age input
