Cabinet to discuss new industrial policy today

The expansion of investment locations however comes tied to a condition of setting up backward linkage industry in the project locality.

Currently, FDI in the readymade garment (RMG) sector in the country is restricted to the six export processing zones.

Tap here to add The Daily Star as a trusted source

The new policy proposes creating several special economic zones (SEZs) in a number of districts across the country.

Every SEZ is envisaged to focus on locally produced goods, such as mango-based industries in the Rajshahi region and tea-based industries in Sylhet, industry ministry sources said.

The new policy also boosts the number of 'thrust sectors' to 33 from 16. Thrust sectors receive government subsidies, tax incentives and special considerations in lending.

The proposed policy for the first time defines the service sector, and marks 19 sectors as fields of a push to encourage the service industry.

The policy allocates special incentives for female entrepreneurs to facilitate their greater participation in business.

The current industrial policy has not received any shake up since its approval in 1999.