The Bangladesh Export Promotion Bureau (EPB) has set a target of earning $1 billion from exports of agro-products and another $550 million from leather, leather goods and handicrafts over the next five years, according to bureau sources. The targets were set after consultation with exporting companies.

In the next fiscal year (2002-2003) projected earnings from agro-products are $684 million, with the figure expected to rise gradually to about one billion dollars in 2006-2007.

The provisional target for leather, leather goods and handicrafts is $425 million for fiscal 2002-2003 - almost double that exported in the first eight months of the current fiscal year ($215 million). The target up to fiscal 2006-2007 is set at $550 million.

During the consultation exercise, leather sector exporters also recommended setting up a water treatment plant, establishing an environment-friendly leather town to relocate tanneries from the city's congested Hazaribagh area, and the formulation of a separate leather policy and the creation of a leather fashion institute.

All exporters consulted by the bureau emphasised the need for bank credit, cash incentives, withdrawal or reduction of value added tax (VAT) and customs duty. Other measures demanded included giving exporters priority for air cargo booking and reducing the freight charges on national railways, ships and airline. They also urged the rapid development of the Chittagong and Mongla ports.