Market Digest

Transport documents needed for export incentives

Staff Correspondent

31 March, 2021 12:00 AM printer

Bangladesh Bank (BB) has said that the transportation related documents will be required to receive export incentives.

The central bank issued a circular effective from July 1, 2020 which stated that any sector including readymade garments must submit goods transportation documents for incentives or cash assistance against exports.

The incentive recipients against exports this fiscal year would need to attach five types of document along with the applications, said the circular issued on Monday by the Foreign Exchange Policy Department of Bangladesh Bank.

It said the documents issued by the freight forwarding company with the letter of credit opened for exports should be acceptable to the banks.

A freight forwarding company is one through which the export process is completed.

The freight forwarding company must have an updated license, copy of which needs to be attached with the application.

The application must contain all information related to the shipping of products.

Before processing the application, the respective bank will have to confirm the shipment of the export goods in a locally or internationally recognised tracking system.

The bank also has to attach the documents of confirmation.

According to the circular, to receive cash assistance or incentives against exports, it is important to ensure that the payments against the exports are received.

For this, the documents related to the specific business relationship of the exporter with the issuer of the export order should be attached.