The Bangladeshi government recently lifted restrictions on changing sourcing companies at the request of pesticide manufacturers, allowing domestic companies to import raw materials from any source.
The Bangladesh Agrochemical Manufacturers Association (Bama), an industry body for pesticide manufacturers, thanked the government for the move in a show on Monday.
KSM Mustafizur Rahman, Convenor of the Association and General Manager of National AgriCare Group, said: “Before this, the process of changing purchasing companies was complicated and took 2-3 years. Now, changing suppliers is much easier.”
“After this policy takes effect, we will be able to significantly increase the production of pesticides and the quality of our products will be improved,” adding that companies can also export their products. He explained that the freedom to choose raw material suppliers is important because the quality of the finished product depends on the raw materials.
The Department of Agriculture removed the provision for changing suppliers in a notice dated Dec. 29 last year. These terms have been in effect since 2018.
Local companies are affected by the restriction, but multinational companies with production facilities in Bangladesh are privileged to choose their own suppliers.
According to data provided by Bama, there are currently 22 companies producing pesticides in Bangladesh, and their market share is nearly 90%, while about 600 importers supply only 10% of the pesticides to the market.
Post time: Jan-19-2022