MUSCAT: Motorcycle manufacturers and exporters called upon the government to adopt a policy to encourage the emerging manufacturing and exporting sector, says a press statement.
Hailing the government for proposing increased duty on motorcycle imported on both CKD and CBU basis, the leaders of the Motorcycle Manufacturers and Exporters Association Bangladesh (MMEAB) said that this will help the local industry grow by utilising its full potential and thus contribute to the economy.
CBU (Completely Built Unit) is the terminology meaning that an automobile is imported as a fully-assembled complete car. CKD (Completely Knocked Down) automobile is one which is imported in parts and not as one assembled unit and all imported parts are assembled to make one complete vehicle.
After the Liberation War, the then government allowed the traders to import CBU and CKD motorcycles with the condition of establishing a local motorcycle manufacturing industry by phase. But even after 40 years, the CKD and CBU unit importers are yet to make any investment to establish a motorcycle manufacturing industry in the country, the MMEAB at a press statement claimed.
On the other hand, with the support from the government, some entrepreneurs have established motorcycle manufacturing industries, where thousands of people are employed, said the press release.
Centring the motorcycle manufacturing industries, a strong backward linkage industry has also grown to meet the demand for motor parts, it said.
The statement added that the largest paint factory in South Asia had been established in Bangladesh recently, which is able to paint all the motor parts required in manufacturing motorcycle in Bangladesh.
Many developing countries including China and India have imposed 100 per cent duty on the import of CBU/CKD units to protect their local industries, the statement informed.
The association also praised the government to make the imposters compelled to import motor parts without paint under the World Custom Organisation policy.
Signed by the association President Hafizur Rahman Khan, the statement, however, protested the data of Bangladesh Motorcycle Assemblers and Manufacturers Association (BMAMA), saying the local motorcycle manufacturers have already captured 25 per cent local market in the last five years.
The average annual market of motorcycle in Bangladesh is 250,000 to 275000, it said, noting that the motorbike importers were trying to misguide the government by providing incorrect figures.
