Commerce Minister Khandaker Abdul Muktadir has said all necessary steps, alongside long-term plans, will be taken to restore the economic capability of the country’s tea sector.
He stressed that the tea industry must be transformed from a purely credit-dependent sector into an effective industry that contributes regularly to the national economy through revenue, tax, and VAT.
He made these observations while presiding over the first meeting of the Advisory Committee formed for the development of Bangladesh’s tea industry, held on Sunday at the conference room of the Ministry of Commerce in the Secretariat.
Highlighting the human aspect of the sector, the minister said the livelihoods of a large number of workers are linked to the tea industry. He warned that if any garden closes down or goes bankrupt, it directly impacts worker families and local society.
Therefore, making this sector sustainable and profitable is essential for the protection of workers, environmental balance, and national economic interests.
Mentioning that Bangladesh once exported tea but could become import-dependent again if production is disrupted, he added that it is possible to overcome the crisis and restore the tea industry to a strong position through concerted efforts.
During the meeting, proposals were put forward to create new revenue sources through solar power projects for a specified duration on uncultivated and unused land – while retaining the core characteristics of tea gardens – along with agriculture, alternative afforestation, and cluster or net metering.
The necessity of policy approval from relevant authorities, including the Ministry of Land, was highlighted to implement these initiatives.
Speakers at the meeting expressed concern over unfair competition faced by legitimate traders and significant government revenue losses caused by the illegal entry of tea across borders and direct sales outside auctions.
While auction prices range between Tk290 and Tk300 per kg, smuggled tea is being sold in the market at Tk200 to Tk220 per kg. To tackle this issue, proposals were made to enhance effective monitoring alongside rationalising VAT and advance income tax.
The meeting also stressed that tea gardens must improve their management efficiency and internal financial capacity rather than relying solely on government incentives, revolving funds, or loans.
The minister assured that providing necessary banking and policy support would be given serious consideration after reviewing garden-specific action plans.
