SRO 384/2025—A Legal Perspective on Temporary Import Facilities for Exporters

The Government of Bangladesh has introduced a new benefit for exporters in certain industries who do not have a warehouse license. This new rule, detailed in S.R.O. No. 384-Law/2025/106/Customs, allows these businesses to import raw materials for export production without paying taxes upfront.

Instead of paying import duty, VAT, and other taxes in cash, eligible companies can now provide a bank guarantee for the same amount to the customs authorities. This helps businesses manage their cash flow better, since their money won’t be tied up waiting for a tax refund.

This special facility is available for specific sectors, including:

• Ready-made garments
• Leather goods
• Furniture
• Plastics
• Electronics
• Food processing
• Light engineering
• Steel products

To use this benefit, a company must have a foreign purchase order and be a VAT-compliant manufacturer. After importing the materials, the company has nine months to produce and export the final goods. This deadline can be extended by three months if needed.

Once the export is successfully completed and proven to the authorities, the bank guarantee will be released. However, if the company fails to export within the given time, the government will cash the bank guarantee to collect the taxes.