Bhomra port faces Tk253cr revenue deficit in H1 FY23

The Bhomra Land Port in Satkhira failed to meet its revenue collection target in the first six months of fiscal year 2022-23 with a deficit of Tk253.21 crore.

According to sources, the National Board of Revenue (NBR) set a target to collect Tk1,026.22 crore in the port for FY23. The target for the first six months was Tk530.51 crore.

However, the port collected Tk277.30 crore in revenue in the July-December period of the fiscal, which is Tk253.21 crore lower than the target.

People concerned said the distance of the Bhomra port from India's Kolkata is only 75km. Traders in the country used to prefer to use the port as it takes less time to import or export products through the port.

But lack of benefits, infrastructural problems and negligence of authorities in Bhomra are pushing away the traders to use the Benapole port to transport products to and from India.

Currently, the port is being used for importing onion, garlic, ginger, dried chillies, turmeric, stone, ceramic products, cumin etc from India. On the other hand, Bangladeshi traders export jute, luggage, garments products, various food products etc to India through the port.

Traders said that there is a huge interest in importing fruits, fish, motor parts, machinery, and different types of spices through this port because of its short distance from Kolkata. However, the port collects 100% tax on fruits, fish and frozen fish items.

Although there is a provision of a 10% duty exemption on perishable goods in the customs policy, the port does not follow it. As a result, many traders are now using the Benapole Land Port to import these products, they said.

On the other hand, the import of motor parts, and machinery is a problem as the warehouse at the Bhomra port is dysfunctional.

Mizanur Rahman, owner of Azad Klia Port Agencies, told The Business Standard, "Traders will use go where they will get some benefits. We do not get any concession to import products through the Bhomra port."

He added, "On the other hand, the Benapole port gives us special benefits in importing raw materials. For example, we get duty exemption for one to three tonnes of products per truck in Benapole."

Maksudur Rahman, general secretary of the Bhomra Land Port C&F Agent Association, said, "Although there is an opportunity to import 75 products through the port, only 25-30 products are being imported through it now."

This business leader blamed dual policy, slow infrastructural development and negligence of the local political leaders for the revenue deficit in the port.

He said, "Earlier, raw materials and fruits were not imported through the Benapole port. Traders used to import these products through Bhomra. But now, Benapole allows traders to import them."

Maksudur Rahman further said, "There is a customs house in Benapole under a customs commissioner that ensures accountability in revenue collection. But the Bhomra port does not have any customs house. It is run by a deputy commissioner."

Neyamul Hasan, deputy commissioner of customs at Bhomra Land Port, said, "Traders have decreased imports through the Bhomra port. Besides, the global recession triggered by the Russia-Ukraine war has also affected the port's revenue collection."