The Bangladesh Cement Manufacturers Association (BCMA) has called upon the Chattogram Custom House to lower the assessment values of three key raw materials following declining prices in international markets.
Cement producers have faced increased production costs due to the assessment values of cement clinker, granulated slag, and gypsum, which are currently higher than their respective prices in the global market.
In a recent letter to the Chattogram Custom House, the BCMA demanded a reduction in the assessment value of cement clinker from $60 to $50 per tonne, granulated slag from $30 to $26, and gypsum from $35 to $30.
The country’s cement industry relies entirely on imports for raw materials, sourcing clinker, granulated slag, limestone flux, gypsum, and fly ash from Thailand, Vietnam, and China to manufacture finished products.
According to the National Board of Revenue (NBR), in the last fiscal year of 2022-23, Bangladesh imported 24.15 million tonnes of cement raw materials worth Tk 13,878 crore.
Similarly, 22.47 million tonnes of raw materials worth Tk 10,760 crore were purchased from global markets in 2021-22.
Cement manufacturers also expressed concerns about delays in limestone release from ports, requiring additional time for collecting chemical reports.
They urged the commissioner to expedite the release process with importers providing undertakings to pay duty and penalties for any mis-declarations.
Bangladesh is home to 37 active cement factories, collectively investing approximately Tk 35,000 crore and providing employment for around 60,000 individuals.
The sector’s combined annual production capacity has reached 65 million tonnes, surpassing the domestic demand of 35 million tonnes, with annual sales worth more than Tk 30,000 crore.
