The government of Bangladesh has decided to facilitate new entrepreneurs in four agro sectors with 10 year tax exemptions in an attempt to generate investments and rural jobs. The four sectors are agri processing, fruit processing, milk and dairy production, and farm machinery manufacturing.
According to reports, entrepreneurs who will invest in these four agro sectors from 1 July 2020 to 30 June 2030 are eligible for the 10 year tax exemptions. However, existing agro-based entrepreneurs are not eligible for the facility even if they set up a new unit or merge with another venture.
To qualify for the facility, a number of conditions have to be met. The manufacturers must be registered with Bangladesh Investment Development Authority (BIDa) and invest a minimum amount of Tk1 crore. Furthermore, the raw materials used has to be domestically produced and factory working conditions and hygiene must be maintained.