Cenbank eases process for e-commerce exports below $500
Effective immediately, such exports will no longer require the previously mandatory Export Permission (EXP) form
The central bank has eased regulations for e-commerce exports of products valued below $500 to promote small-scale exports under Business-to-Consumer (B2C) models.
Effective immediately, such exports will no longer require the previously mandatory Export Permission (EXP) form, according to a circular issued today by the Foreign Exchange Policy Department of the Bangladesh Bank.
Typically, private exports from Bangladesh require the completion of an EXP form, declared by the Authorised Dealer (AD) bank on behalf of the customer.
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The latest circular said that AD banks now shall obtain a declaration from their customers executing the export under B2C models through an e-commerce website.
Courier service providers shall observe formalities with the customs authority and arrange the issuance of a Bill of Export against the relevant shipments.
Inward remittances received prior to shipment through legitimate channels against orders concluded at the website need to be retained in margin accounts in the name of exporters till receipt of the Bill of Export and other relevant documents, the circular stated.
On receipt of the Bill of Export, ADs shall make funds available to customers' accounts in equivalent local currency taka excluding the retention portion which may be credited in Exporters' Retention Quota (ERQ) accounts at the option of exporters.
ADs shall report the transactions to the Bangladesh Bank reporting system under e-commerce with reference to the Bill of Export extracting from the customs electronic system, it added.
In 2018, the Bangladesh Bank introduced the B2C export method under e-commerce with the condition of repatriation of proceeds. In 2019, the electronic submission of the EXP form was implemented for B2C exports.
