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Remove hurdles for small, medium businesses

Workshop told

STAR BUSINESS REPORT
Too many hurdles are placed in the way of small and medium sized businesses, discouraging investment and preventing growth, business people told a workshop in . Dhaka yesterday. _ _ _ .
Pointing to the example of the fertiliser industry Abul Kalam Azad, owner of an organic fertiliser unit, said during the workshop, “ It requires between Tk 1-8 lakh for setting up an organic fertiliser unit whereas the government has made it mandatory for a fertiliser unit to set up a laboratory that costs around Tk 30 lakh”.
It is not possible to spend for a small entrepreneur to set up a laboratory' with Tk 30 lakh. That is why this sector is not flourishing.
The workshop was also told that the terms and conditions for setting up an organic fertiliser unit costing Tk 5 lakh and a chemical fertiliser unit of an investment of multi-crore taka are the same.
At the workshop, the SME entrepreneurs also highlighted the regulatory terms and conditions of
different sectors including fisheries, brickfields and Postal Department of the government that are creating bottlenecks for flourishing the sector.
“ According to the preset definition, an SME entity is that which has an investment between Tk I. lakh and 10 crore. For this the big investing companies are usually enjoy the facilities of the sector " Commerce Adviser Hossain Zillur Rahman said.
The authorities have to look into the matters for boosting the neglected small enterprises, which could play a big role for the country’s economic progress, he further said at the policy workshop styled ' Regulatory Reform Needs of the SME Sector' organised by Power and Participation Research Centre (PPRC) in Dhaka yesterday.
Regulatory Reform Commission (RRC) Chairman Dr Akbar Ali Khan spoke at the function, participated also by SME entrepreneurs, researchers, NGO workers and banking professionals.
The commerce adviser said there are many emerging enterprises in the country, which are
unrecognized despite their huge contribution to the economy.
Showing the example of the shipping industry, he said, “ In the past ship breaking industry worked for local needs, but now it has opted for meeting global needs by _ .makingships ”.
Akbar Ali Khan classified the countries in the world in two categories: one is over-regulated and the other under-regulated.
“But Bangladesh is a country that is ill regulated.” he pointed out
Showing an example, he added, “ According to the postal law, any kind of commercial distribution of letters and other things by any organisation except the government authorities concerned is an offence. But we all know that there are many courier services operating in the country".
Akbar, also a former finance adviser, said his commission would consider the environmental aspects, labour issues as well as duty and tax issues before submitting the reform proposals to the government
He also urged all sector people to write letters to the RRC describing the regulatory problems they face.