Raise export incentive to 10pc

Bangladesh's plastic goods and toy industries have great potentials as the sector is eyeing US$1.0 billion worth of export earnings by 2030.

To tap the potentials, the local industry leaders have demanded that the government raise the export incentive to 10 per cent from the existing 6.0 per cent.

The demand was placed at a press conference, organised by the Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA) at the Economic Reporters Forum (ERF) Auditorium in the city on Tuesday.

It was announced at the press conference that a 'Showcasing and Sourcing Show on Plastic Toy Industries of Bangladesh (Toy Expo 2025)' will be held from May 22 to 23 at the Hotel Intercontinental in the city.

BPGMEA in collaboration with the Export Competitiveness for Jobs (EC4J) Project under the Ministry of Commerce will organise the expo.

The expo aims to facilitate greater interactions among professional buyers, industry leaders and investors for the sake of the sector's further growth, said BPGMEA president Shamim Ahmed.

He said more than 147 plastic toy factories in the country will take part in the expo, showcasing over 1,000 types of toys, including educational sets, dolls, tricycles, remote-control cars, wall panels, musical toys, and animal figurines.

The BPGMEA leader said gradual shrinkage of China's toy industry has created a great opportunity for Bangladesh.

"To make Bangladeshi toys more competitive in the global market, the rate of export incentives should be increased to the previous level of 10 per cent, which is now 6.0 per cent," said Mr. Shamim.

He said local companies are exporting plastic goods and toys worth $36 million annually, of which a good portion is shipped to India, Nepal and Bhutan.

He, however, said Indian's imports ban on Bangladeshi products through land port would affect the bilateral trades between Bangladesh and India.

BPGMEA secretary general Narayan Chandra Dey said all toys are made in the Export processing zones (EPZs) for export markets, but government's policy changes may soon allow domestic sales as well.

Despite having China's dominance in the global market, Bangladeshi toys are getting its share due to some advantages like duty-free access, competitive labor costs, and improved production quality, though high import duties on raw materials remain a key challenge, he said.

Senior vice president of BPGMEA K M Iqbal Hossain, Vice President Quazi Anwarul Haque, Expo Accessories Ltd Managing Director Md Enamul Haque also spoke, among others.

According to BPGMEA, the plastic toy industry in Bangladesh is rapidly expanding, with investments of approximately Tk 45 billion while its present market size is estimated at Tk 70 billion.

The industry now meets around 80 per cent of domestic demand, it was learnt.

Export-oriented toy factories are mainly located at Kamrangirchar, Lalbagh, Gazipur, and inside Export Processing Zones (EPZs) and Economic Zones (EZs).

Bangladeshi toys are being exported to India's northeastern states, Nepal, Bhutan, and developed markets including the USA, Japan, Singapore, Spain, and France. Expansion plans target Latin America, the Middle East, and Africa.

Locally-made toys alone can fetch $466 million worth of export receipts by 2030.

The industry currently employs around 20,000 people, 80 per cent of whom are women.

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