Published :
Updated :
For all latest news, follow The Financial Express Google News channel.
Liquefied petroleum gas (LPG) import is eased by a latest measure allowing industries not belonging to a project or under industry-based customs stations for bringing the fuel.
The National Board of Revenue (NBR) relaxed its condition on the LPG import -- at a time when demand for fuels in the country has been on the rise.
As per the Customs Act 1969, import of LPG is only allowed through the customs stations based on project or dedicated to a company.
In a recent clarification, signed by Second Secretary, Customs, international trade and agreement, Omar Mobin, the NBR says: "Importers can unload LPG if they have agreement with the companies linked with the Land Customs Station (LCS)."
As per condition, importers will have to obtain approval from the Customs, Excise and VAT Commissionerate to import the liquid petroleum gas.
However, importers who have obtained approval from the NBR would not require obtaining approval from the commissinerates.
According to LPG-facility providers, in 2019, the Bangladesh government had given licences to 53 more companies to operate in the LPG industry to cater a growing need.
Currently, a total of 30 companies are operating on the LPG market of Bangladesh, and more than 15 new companies are going to board the bandwagon.
The present market size of LPG industry in Bangladesh is 3.2 billion dollars, half of which is held by the top 3 bottling companies in the country.
Bangladesh has a total demand for 1.2 million tons of LPG, where the country's top 10 companies are dominating more than 70 percent of this market cake.
According to a source from Apprentice Consulting, Bashundhara LP Gas is currently leading the industry with a market share of 24 percent. On the other hand, Omera LPG holds 19 percent, Jamuna holds 10 percent, Totalgaz holds 6 percent, Laugfs Gas holds 4 percent, BM Energy holds 3 percent, and Beximco, Navana, Petromax, and JMI LPG each hold 2 percent of the LPG market.