BARVIDA Bats for Broader Access to Hybrid Vehicles

The Bangladesh Reconditioned Vehicles Importers and Dealers Association (BARVIDA) has recommended reducing the supplementary duty on hybrid vehicles to bring them within the purchasing capacity of the middle class. The association believes that a reduction in duty would not only expand the market but also increase government revenue.

These recommendations for the upcoming 2025–26 fiscal year budget were presented by BARVIDA President Abdul Haque at a press conference held at a hotel in the capital on Saturday, April 26.

Abdul Haque stated, "The import and sale of reconditioned vehicles in the country have declined significantly in recent years as they have gone beyond the affordability of middle- and lower-middle-income buyers."

He pointed out that currently, depending on cylinder capacity, hybrid vehicles are subject to supplementary duties ranging from 20% to 350%. However, BARVIDA did not propose a specific rate reduction.

The association also recommended the complete withdrawal of supplementary duties on microbus imports. Presently, microbuses with engine capacities exceeding 1,801cc are subject to supplementary duties between 30% and 60%.

Additionally, BARVIDA called for the removal of duties and the 15% Value Added Tax (VAT) on the import of ambulances, emphasizing that imposing heavy taxes on life-saving vehicles is unjustifiable from a humanitarian perspective.

The press conference further highlighted the need for a comprehensive and acceptable policy regarding the import and use of electric vehicles, hybrid vehicles, plug-in hybrid vehicles, and hydrogen-powered vehicles in the country. It also urged the removal of disparities between the taxation of new and reconditioned vehicles.

BARVIDA claimed that there is currently a notable difference in registration fees between reconditioned and new vehicles. Due to the cylinder-capacity-based structure, registration fees for reconditioned vehicles are between BDT 27,508 and BDT 53,958 higher than those for new vehicles. The association called for an end to this disparity.

Present at the press conference were the association's Secretary General Riaz Rahman, Vice President-1 Md. Saiful Islam (Samrat), Vice President-3 Farid Ahmed, Joint Secretary General Syed Jaglul Hossain, Treasurer Md. Saiful Alam, Joint Treasurer Hafiz Al Asad, Organizing Secretary Zobayer Rahman, Publication and Publicity Secretary Md. Abdul Awal, Planning and Development Secretary S. M. Monsurul Karim (Lincoln), and Cultural Secretary Md. Golam Rabbani (Shanto).

Also in attendance were Executive Committee members A. B. Siddiq (Abu), Akhtar Hossain Majumdar, Poonam Sharmin Jhilimili, Md. Humayun Kabir Bhuiyan, and Mr. Dibakar Barua.