PM unveils mega duty cuts on tech raw materials

In a major move to turn Bangladesh into a global technology manufacturing hub, Prime Minister Tarique Rahman announced on Wednesday that the government has introduced sweeping duty incentives on raw material imports for producing and assembling international-standard digital devices.

The premier disclosed the landmark policy during a parliamentary session while responding to a query from reserved-seat lawmaker Sultana Ahmed.

The newly updated incentive package covers a comprehensive lineup of tech products, including desktop computers, laptops, all-in-one PCs, notebooks, notepads, tablets, servers, printers, scanners, routers, network devices, monitors, digital watches, and mobile phones.

Under the revised framework, the government has significantly slashed tariff barriers to give local manufacturers a competitive edge over imported finished goods. For core manufacturing operations, raw material imports will now attract a nominal 1 per cent customs duty.

Crucially, the government has fully waived all supplementary duties, regulatory duties, and value-added tax (VAT) on these imports, marking a massive relief for heavy industrial investors in the tech sector.

Meanwhile, for enterprises engaged in the assembly of these digital devices, the government has fixed the additional customs duty at 5 percent. Similar to the manufacturing category, assemblers will enjoy total exemptions from all supplementary duties, regulatory duties, and VAT on their imported raw materials.

Prime Minister Tarique Rahman expressed strong optimism that these timely policy interventions would drastically accelerate the trajectory of the country’s information and communication technology (ICT) industry.

The move is strategically designed to solidify and elevate the “Made in Bangladesh” brand across highly competitive global markets.

Furthermore, the premier emphasized that these aggressive fiscal incentives are expected to play a pivotal role in drawing high-value foreign direct investment (FDI) into the country’s tech ecosystem.

Highlighting the macro-level socio-economic impacts of this initiative, the prime minister stated that the extensive duty concessions would translate into lower production costs, making consumer technology products significantly more affordable within the domestic market.

Ultimately, this policy drive is poised to unlock unprecedented employment opportunities for the nation’s massive youth demographic, fostering rapid growth across vital forward-looking sectors including education, tech startups, freelancing networks, and small and medium-sized enterprises (SMEs).