The New Nation - Internet Edition

Staff Reporter

Leading steel miller Bangladesh Steel Re-Rolling Mills (BSRM) has proposed the government to exempt import of scrap and billets from Pre Shipment Inspection (PSI) to free the sector from difficulties.

"Currently duty of, melting scrap and billets has been fixed at Tk 1,500 and Tk 2,500 per ton respectively, considering fixed duty structure, importance of PSI has become redundant and unnecessarily we will have to bear extra 1 per cent charge," BSRM said in a letter to the Commerce Secretary recently.

The BSRM in a proposal titled "long term policies for steel sector in Bangladesh", signed by General Manager Kazi Anwar Ahmed also said lot of sellers worldwide are not interested to sell scrap and billet to Bangladesh because of the bureaucratic attitudes of PSI companies abroad.

The BSRM said, " PSI procedures make very difficult for us to purchase materials and whatever we purchase, we end up buying at higher price due to this extra hassle of suppliers."

It proposed the National Board of Revenue (NBR) to issue a general order to the effect that the importer of scraps as well as billets are required to submit a PSI inspection certificate issued by an internationally reported surveyor duly attested by the LC opening bank to check unwanted import. The BSRM said if the government immediately give gas and power to the new steel mills, shortage of the steel goods will automatically be overcome. It said allowing tax holiday for scrap based billets mills will save huge foreign exchanges.

It proposed the government to increase import duty on rods to 12 per cent to save the local industries. It asked Chittagong port for allowing truck from outside to carry more than 6 tones cargo in each truck.

"The Chittagong port owners association is so strong in the port that we cannot hire trucks to carry more than 6 tones cargo in each truck. This is a biggest deterrent for scraps and billets import business. This must be broken," the BSRM said.

Citing dilly dally practice of government department like BOI, PDB, PGCB and PWD BSRM said it must be made mandatory for these government departments to reply and take action on applications immediately. "They behave with our members as if they are doing a favour to us."

For the boost of Bangladesh's steel industry the BSRM also asked settlement of visa procedures for foreign national and experts within short period, establishment of a deep sea port and offering polytechnic institutes curriculum on steel sector.