Declare rubber as agricultural commodity

The Bangladesh Rubber Garden Owners Association yesterday presented an 11-point demand, which includes recognising rubber as an agricultural product, in a bid to help expand the local industry by removing existing hurdles.

The BRGOA raised its demands at a press conference held at the Jatiya Press Club, where Syed Moazzam Hossain, an advisor of the association and director of the Federation of Bangladesh Chambers of Commerce and Industry, presented the keynote speech.

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The event was moderated by BRGOA President Muhammad Haroon, who presented the 11-point demand. Other than calling for the declaration of rubber as an agricultural commodity, the association also urged for the withdrawal of value-added tax on locally produced rubber products.

Additionally, it asked the relevant authorities to increase the import duty on rubber to protect the local industry, stop arbitrary use of headman reports, illegal encroachment, land transfer and registration, and to establish a Rubber Research Institute.

In his speech, Hossain said that rubber is known as the white gold of Bangladesh as the domestic demand for rubber products is increasing in industries such as those that make tires, tubes, shoes, hoses, sporting goods and so on.

Although other rubber producing countries have recognised it as an agricultural product, the same cannot be said for Bangladesh. As a result, rubber makers in the country are being deprived of all the incentives provided for agro-produce, he added.

With this backdrop, the BRGOA demanded that rubber be recognised as an agricultural product and also called for technical assistance and financial incentives for the development of the sector.

Hossain then pointed out that the local rubber industry is facing extinction due to land robbers and other unlawful forces that have claimed several plantations along the Chittagong Hill Tracts. As such, he called for strict surveillance and more assistance from the authorities concerned in this regard.

The government should take initiatives in order to sustain the rubber industry.

"Our production activities are currently being conducted with seedlings imported in the 60s, but due to the low yield capacity of such seeds, our entrepreneurs are facing financial losses," he said.

Considering the situation, Hossain urged for cooperation from the relevant authorities, especially the agriculture ministry, in importing high-yield seeds from other countries.

He also urged for guaranteeing low interest bank loans for entrepreneurs in the sector and increasing the import duty on rubber from the existing 25 per cent to protect local producers.

Hossain went on to say that a "Rubber Research Institute" with modern facilities should be established to enhance research activities for the development of the sector.

Md Mansoor Alam, secretary general of BRGOA, Mohammad Kamal Uddin, former president, Zahirul Islam, vice president, and other leaders of the organisation were also present at the press conference.