Cash Incentives Continue for 43 Export Sectors Including ICT and Software Until June
The tenure of cash assistance or incentives provided against exports of 43 categories of products and services—including ICT products and software, light engineering, and pharmaceuticals—has been extended until June this year. As a result, exporters will continue to enjoy these benefits throughout the entire 2025–26 fiscal year.
Bangladesh Bank issued a circular in this regard on Monday, January 12.
Previously, the incentive was announced for a six-month period from July to December of the current fiscal year. Considering the prevailing export situation, the central bank has now extended the facility for another six months. As in the previous year, the incentive rates have been kept unchanged.
According to Bangladesh Bank’s directive, exporters will receive cash assistance ranging from a minimum of 0.3 percent to a maximum of 10 percent, depending on the product and sector. A total of 43 product and service sectors fall under this facility.
The circular states that exporters must complete an audit through an external auditor or audit firm appointed by the concerned bank before receiving the cash assistance against exports.
The directive further mentions that during the first six months of the current fiscal year, export-oriented domestic textile sectors will receive a 1.5 percent cash incentive as an alternative to duty bond and duty drawback facilities. Exporters to the Eurozone will continue to receive an additional 0.50 percent special incentive alongside the existing support.
The list of the specified 43 products is extensive and includes items from multiple sectors. Key sectors and notable products and services include:
Agricultural and Processed Agricultural Products:
Potatoes, vegetables, fruits, flowers; processed food items such as snacks, biscuits, jams, jellies, and fruit juices (excluding packaged tea, tobacco, and betel leaf); honey; spices and edible oils (mustard, groundnut).
Leather and Leather Products:
Crust and finished leather; leather footwear, bags, and other leather goods.
Jute and Jute Products:
Raw jute; jute yarn, jute sacks, shopping bags, and other jute goods.
Frozen Fish and Marine Products:
Frozen shrimp (excluding black tiger shrimp); frozen fish (excluding shrimp); crabs.
Handicrafts:
All types of handicraft products.
Light Engineering Products:
Bicycles, automobile parts; batteries, electrical products, transformers; electric bulbs and tube lights.
Shipbuilding:
All types of ships.
ICT and Software Services:
Software and IT-enabled services.
Pharmaceuticals:
Allopathic, Ayurvedic, Unani, and homeopathic medicines.
Ceramic Products:
Ceramic tableware, sanitaryware, and tiles.
Plastic Products:
All types of plastic goods, excluding certain raw materials.
Other Notable Products and Services:
Home textiles and specialty textiles; non-leather footwear; furniture; rubber products; gold and silver jewellery; energy-efficient products; sports goods; agricultural machinery and parts; toiletries; LPG (liquefied petroleum gas); cement; and various cereal-based food products.
The list has been specified in detail in the circular issued by Bangladesh Bank. Incentive rates vary by product and sector and generally range from 1 percent to as high as 20 percent.
DBTech/Press Release/MUM/OR
