How to Obtain Licenses for Environmental Clearance in Bangladesh (Updated in 2025):
How to obtain an environment license in Bangladesh, the necessary paperwork, the time frame, and the cost are frequently asked by various entities and individuals. In accordance with the Bangladesh Environment Conservation Act of 1995 (as revised in 2010), no industrial organization may be established without a certificate of environmental clearance from the Department of Environment (DoE).
This article will discuss how to obtain an environmental license, the whole licensing application procedure, the required paperwork, and the time and expense involved.
To comprehend how to receive environmental clearance certifications in Bangladesh, one must follow to the Bangladesh Environmental Conservation Act of 1995. In this article, we will discuss the Bangladeshi legislation pertaining to environmental clearance certifications and outline the step-by-step process for acquiring such certificates.
As stipulated by the Bangladesh Environmental Conservation Act of 1995, for Environment Clearance License in Bangladesh, environmental approval is required for all forms of industries and projects.
No industrial enterprise may be established without a Department of the Environmental Clearance Certificate (ECC) (DOE). Regarding air, noise, water, odor, and other environmental quality criteria, the industry or project must meet all of the requirements stated by the government of Bangladesh.
Such regulations are in addition to those outlined in the Factories Act of 1965, which regulates the interior atmosphere of factories and enterprises.
For the purpose of the issuance of the Environmental Clearance Certificate in Bangladesh, industrial units and projects shall be listed in the following four categories or types, taking into account their location and environmental impact one need to find out as to how to obtain the environment clearance certificate, the following category shall shed lights on it.
GREEN
ORANGE A
ORANGE B
RED
Time Frame for the relevant categories:
S.L
Category
Site Clearance
Environmental Clearance
01.
Green
N/A
15 days
02.
Orange-A
30 days
15 days
03.
Orange-B
60 days
30 days
04.
Red
60 days
30 days
The Green group consists of projects and industries that have no negative impact on the environment. For this type of project, neither an Initial Environmental Evaluation (IEE) nor an Environmental Impact Assessment (EIA) is required.
The following documents are required for Green Category:
General details regarding the industrial unit or project. Detailed explanation of both the basic components and the final result. No objection certificate (NOC) issued by the local government.
ORANGE A CATEGORY
This category includes initiatives that generate trash that may have minor or severe environmental implications, but could be easily mitigated by taking the necessary steps.
Orange A, Category of Industrial Units Required Documents are as follows:
General details regarding the industrial unit or project.
Detailed explanation of both the basic components and the final result.
No objection certificate (NOC) issued by the local government.
A Process Flow chart
A Design Plan (location of Effluent Treatment Plant).
Effluent disposal system.
Other essential details (if required).
This category of projects and industries are ones that are anticipated to have negative environmental impacts that are not judged too severe and can be addressed without lingering negative effects. Mineral water, soft drinks, fish processing, etc. are examples.
The following documents are required for Orange B, Category of Industrial Units:
A report on the planned industrial unit or project's feasibility study.
Environmental Impact Assessment (EIA) for the planned industrial unit or project.
the process flow diagram, the layout plan (indicating the location of the Effluent Treatment Plant), and the design.
A report on the environmental management plan (EMP) for the existing industrial facility or project.
No objection certificate (NOC) issued by the local government.
Relocation and rehabilitation plan outline.
A contingency plan for pollution reduction and negative environmental impact.
Other essential details (if required).
In the Red Category
This category includes initiatives and industries that have the potential to have a large negative impact on the environment and must be properly managed or monitored.
The following documents are required for the Red Category of Industrial Units:
A report on the planned industrial unit or project's feasibility study.
Environmental Impact Assessment (EIA) for the planned industrial unit or project.
Design of the process flow diagram and layout plan (indicating the location of the Effluent Treatment Plant).
A report on the environmental management plan (EMP) for the existing industrial facility or project.
A report on the environmental impact of the planned industrial unit or project.
No objection certificate (NOC) issued by the local government.
Relocation and rehabilitation plan outline.
A contingency plan for pollution reduction and negative environmental impact.
Procedure for obtaining environment clearance certificate:
Step 1 | Complete the Prescribed Form for Environment Clearance License in Bangladesh
Different industries and manufacturers must determine which category they come under in order to determine which form must be filled out.
Step 2 | Organize the Files
The forms that correspond to your category will include a list of the papers that must be submitted with the application. It is preferable to retain a company attorney in Bangladesh who is up-to-date on the ever-changing document arrangement hierarchy.
Step 3 | Submit application and supplemental materials to the Department of the Environment (DOE).
The application can be submitted upon payment of the registration costs listed below.
Step 4 | Department of Energy Verification of Application and Supporting Documents
Upon submission of the Documents, the DOE must verify them; this may take some time; at this stage of the process, it is essential to maintain communication with the Department of Environment.
Step 5 | After verifying all documentation, an Inspection Officer from the department will conduct additional inspections.
Environmental Clearance Committee will hold a meeting at this stage (only for Orange-B and Red Category).
Step 7 | The authority will make a decision at the meeting.
Step 8 | If DOE is satisfied after completing the preceding stages, it will issue an environmental clearance certificate.
Government Fees for Obtaining a Certificate of Environmental Clearance
Government fees are calculated in accordance with the total project investment. For example, if the project costs between BDT 1 and BDT 50 billion, the projected charge will range between BDT 1,500 and BDT 50,000. If it exceeds 50 billion, the anticipated fee will be BDT 100,000.
Following submission, the average processing period for the issuance of an environmental clearance license is between one and five months.
Renewal of Environment Clearance License in Bangladesh:
The validity time for Green Category Environmental Clearance Certificates shall be three years from the date of issuance, whereas the validity period for Orange A, Orange B, and Red certificates shall be one year. Each Environmental Clearance Certificate must be renewed at least 30 days prior to its expiration date.
To comprehend how to receive environmental clearance certifications in Bangladesh, one must follow to the Bangladesh Environmental Conservation Act of 1995. In this article, we will discuss the Bangladeshi legislation pertaining to environmental clearance certifications and outline the step-by-step process for acquiring such certificates.
Government Fee Schedule for Environment Clearance License in Bangladesh:
The Government fee for filling an application for Environment clearance certificate and its renewal under these Rules shall be deposited with the Bangladesh Bank or a Government Treasury by a Treasury Chalan. Furthermore, Treasury Chalan shall be deposited in favour of the Director General of Department of Environment account being No. 1 – 4541 – 0000 – 2681.
Fee Schedule
S.L
Investment Amount (BDT.)
Environment Clearance Fee.
Renewal Fee.
01.
01 (One) Lac to 5 (Five) Lac
1500
¼ of the Environment Clearance Fee.
02.
5 (Five) Lac to 10 (Ten) Lac
3,000
¼ of the Environment Clearance Fee.
03.
10 (Ten) Lac to 50 (Fifty) Lac
5,000
¼ of the Environment Clearance Fee.
04.
50 (Fifty) Lac to 01 (One)Crore
10,000
¼ of the Environment Clearance Fee.
05.
01 (One) Crore to 05 (Five) Crore
20,000
¼ of the Environment Clearance Fee.
06.
05 (Five) Crore to 20 (Twenty) Crore
40,000
¼ of the Environment Clearance Fee.
07.
20 (Twenty) Crore to 50 (Fifty) Crore
80,000
¼ of the Environment Clearance Fee.
08.
50 (Fifty) Crore to 100 (One Hundred) Crore
1,20,000
¼ of the Environment Clearance Fee.
09.
100 (One Hundred) Crore to 200 (Two Hundred) Crore
2,00,000
¼ of the Environment Clearance Fee.
10.
200 (Two Hundred) Crore to 500 (Five Hundred) Crore
3,00,000
¼ of the Environment Clearance Fee.
11.
500 (Five Hundred) Crore to 1000 (One Thousand) Crore
4,00,000
¼ of the Environment Clearance Fee.
12.
1000 (One Thousand) Crore to Above
5,00,000
¼ of the Environment Clearance Fee.
Government Fee Schedule for Environment Clearance License in Bangladesh:
Are you intending to get a Environment Clearance License in Bangladesh?
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The legal team of Tahmidur Rahman, The Law Firm in Bangladesh: TRW, The Law Firm in Bangladesh are highly experienced in providing all kinds of services related to acquiring a Environment Clearance License in Bangladesh. For queries or legal assistance, please reach us at:
LICENSING PROCESS for Garments Business in Bangladesh:
Generally, establishing a garment factory or Garments Business in Bangladesh begins with registering a business with the Registrar of Joint Stock Companies, often known as RJSC. A public or private limited company is available. Private limited corporations have a fixed list of shareholders, but public limited Garments Business in Bangladesh can sell shares to the public to raise capital.
List of licenses for Garments Business in Bangladesh:
Once a firm has been established, the next necessary steps involve acquiring factory licenses. The following is an approximate list of the licenses that may be required for a garment factory to operate, depending on the type of operations. This list is not conclusive or determinative:
Registration Certificate for Export (E.R.C)
Import Registration Certificate (I.R.C)
Approval of Factory Layout Plan.
Fire License.
Factory Permit
Environment Certificate. Chamber of Commerce membership 7. Membership and certification of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Certificate of Value Added Tax Registration
Identification number for taxes (TIN) Bank Solvency Certificate No. 13.
BOND License & General BOND (where applicable) etc.
Purchasing houses play a significant role in the apparel business. Some of the world's largest brands place orders with local businesses and manufacturers via buying houses. Purchasing real estate can be organized as a Sole Proprietorship, Partnership, or Corporation.
The sole proprietorship for Garments Business in Bangladesh is the simplest type of ownership in which the owner is liable for all liabilities, including earnings, dues, and taxes. It can be established by acquiring a Trade License, which must be renewed annually. Bangladesh requires a minimum of Two and a maximum of Twenty partners for partnerships. It can be done through a registered partnership agreement with the RJSC.
BIDA authority and Garments Business in Bangladesh:
There is also the possibility of establishing a buying house as a subsidiary company whose shares are held by the parent company. The majority of foreign owners, however, prefer to have a branch office or liaison office dedicated to this business. This branch/liaison office is required to receive authorisation to conduct business from the Bangladesh Investment Development Authority (BIDA).
Aside from these exceptions, all foreigners who wish to work in Bangladesh must possess a Work Permit. The procedure begins with a request to BIDA for an E-visa recommendation, accompanied by all documentation requested by BIDA.
The expatriate is then required to apply to the respective Bangladesh Embassy or High Commission in their country, along with the prescribed documents, in order to receive the initial E-visa that will be used for travel to Bangladesh. The duration of this visa is often between Three and Six months.
After entering Bangladesh, the expatriate will have fourteen days to submit a Work Permit application to BIDA with the required documentation. The Work Permit is typically granted for one year by an inter-ministerial meeting at BIDA. The National Security Intelligence and the Special Branch of the Police conduct the Security Clearance process once the Work Permit is authorized.
LEGAL ISSUES in regards to Garments Business in Bangladesh:
As stated previously, the entire procedure is fraught with legal concerns from beginning to end. Aside from registration and licenses, there are challenges pertaining to land acquisition, which include acquiring the necessary land with the appropriate papers for the establishment of factories. Typically, establishing factories takes a substantial amount of land.
The ownership and title of the land must be appropriately transferred to factory owners who wish to establish factories on their own land. In accordance with Bangladeshi law, it is important to undertake a land search in order to verify the title and interest of the land's legal owners.
According to Bangladeshi law, in order to transfer land ownership, it is essential to execute and register the sale of deed and modify the records to the name of the new owner (known as Mutation).
Banking law and Garments Business in Bangladesh:
As the clothing sector involves numerous international transactions, the execution of banking legislation raises legal concerns. When the materials for a garment are purchased from a foreign country, for instance, the company must obtain a Letter of Credit, and therefore the banking restrictions regarding foreign exchange come into play. Similarly, when a ready-to-wear item is shipped to its clients, the foreign cash must enter the country securely. Bangladesh Bank plays a significant role in regulating these transactions in accordance with Bangladesh's foreign exchange legislation.
Contract law and Garments Business in Bangladesh:
There are legal complications resulting from the contracts. There are several bilateral agreements between nations, and disagreements are prevalent when deadlines are missed. Claims originate from parties in Bangladesh, for instance, against a party that was obligated to supply specific materials on time but did not.
Similarly, international corporations may file claims against Bangladeshi manufacturing for late deliveries. Since the majority of garments materials and garments themselves are carried by ship and by air cargo, these consignments can have legal consequences regarding the transfer of products via cargo. The majority of legal disputes involve breaches of international economic contracts, which are typically addressed by international arbitration.
Numerous legal difficulties surrounding termination, unfair dismissal, leaves, remuneration, etc. develop frequently due to the enormous number of workers in the industry. In recent years, workers and compliance departments have placed a premium on the working environment. The Bangladesh Labour laws require compliance with working hours, number of leaves, all employment perks, termination benefits, trade union issues, workers' welfare issues, etc. The Department of Inspection for Factories and Establishments (DIFE) is the government agency charged with overseeing all labor-related matters.
Environmental Clarence certificate for Garments Business in Bangladesh:
Due to the size of the business in Bangladesh and the fact that the RMG sector is deeply anchored in the textile industry, its operations have environmental repercussions. Even though Environment Clearance Certificates are required to establish a plant, it is fairly uncommon for legal ramifications to result.
Description of the Tahmidur Rahman Remura Wahid TRW and its services
Tahmidur Rahman Remura Wahid TRW is one of the leading law firms in Bangladesh, with vast expertise representing foreign and domestic clients in the garments business. Over the course of its existence, Tahmidur Rahman Remura Wahid TRW's work has earned an incredibly dependable reputation.
As a full-service law practice, Tahmidur Rahman Remura Wahid TRW is able to provide legal support in practically all sectors of the RMG industry, beginning with the name clearing, company articles and memorandum of association drafting, and RJSC registration. Tahmidur Rahman Remura Wahid TRW also offers assistance in acquiring various licenses, such as I.R.C, E.R.C, VAT, TIN, Trade License, etc.
Tahmidur Rahman Remura Wahid TRW specializes in all types of immigration concerns pertaining to expatriates and offers assistance in acquiring E-visas, FE visas, and work permits.
Regarding their expats, Tahmidur Rahman Remura Wahid TRW collaborates with some of the largest companies, both domestic and abroad. Additionally, account opening support and assistance with acquiring encashment certificates are provided. Tahmidur Rahman Remura Wahid TRW offers an entire division dedicated to financial and tax matters that can handle all tax matters, payroll, etc.
Tahmidur Rahman Remura Wahid TRW's expertise in labor issues is unmatched, and the organization often offers guidance on all types of labor difficulties, including termination, payments, etc. Tahmidur Rahman Remura Wahid TRW's legal team is comprised of exceptional attorneys who can effectively represent any RMG industry-related labor, contract, or pertinent matter in the Bangladeshi judicial system.
Importantly, in the RMG industry, where conflicts frequently arise between companies from various countries and time to resolve them is typically limited, parties typically choose for alternative dispute resolution.
Tahmidur Rahman Remura Wahid TRW has a very qualified staff for arbitration, mediation, and negotiation counsel. Overall, Tahmidur Rahman Remura Wahid TRW is a comprehensive service provider for all types of legal matters.
The labor laws of Bangladesh give a great deal of protection for workers against wrongful termination, as well as regulations governing layoff situations and the type of compensation workers can receive in these instances.
In the event of a layoff, employees with at least one year of service are entitled to compensation equal to one-half of their entire basic pay plus the full amount of housing allowances they would have received if they had not been laid off. The Employer has the option of retrenchment after the initial 45-day period of layoff. Redundancy is a permissible reason for retrenchment, which allows the owner to claim that there is no work available for the employees, who may then be laid off.
In conclusion, it is extremely difficult to predict the future state of the RMG industry in light of the current unanticipated crisis caused by the Novel Corona Virus. It has already cost the economy billions. Work must resume as soon as possible to recuperate the sector's losses, but because this is a labor-intensive business, the struggle is currently more for survival than for the economy.
Taxation for Garments Business in Bangladesh:
The current general tax rate in Bangladesh is 32.5 percent, as stipulated by its legislation. Locally created limited liability companies are required to submit a variety of reports to the National Board of Revenue (NBR), including: opening a Tax Identification Number (TIN), submitting an annual return, and submitting an annual return for the previous year.
Monthly Tax Deduction Statement, Semi-Annual Withholding Tax Statement, Annual Statement Relating to Employee Tax Return Filing, Annual Statement Relating to Salary Paid by the Company to Employees. Quarterly Advance tax deposit, Annual tax return submission, representing the company at appeal/hearing sessions, Monthly VAT return, etc. Tahmidur Rahman Remura Wahid TRW may provide guidance and assistance to ensure that all regulatory compliances are met, allowing the business to operate without difficulty.
In conclusion, the RMG industry remains one of the most dynamic industries in the country. The Bangladesh government has declared the creation of new export processing zones due to its strong support for this industry. In addition, the government has authorized the construction of a deep-sea port and a second airport, as well as a substantial investment in the nation's internal infrastructure, which will facilitate trade in the near future. The government of Bangladesh also encourages international investors to invest in the country. Considering the state of the industry, this may not be such a bad idea.
Bangladesh's Top 10 Textiles Exports By Countries
Sr No
Country Name
Export Value (in Million $)
Exporter Share Percentage (%)
1
United States
5847.26
20.65
2
Germany
4450.47
15.72
3
United Kingdom
3294.19
11.63
4
Spain
1755.12
6.2
5
France
1688.27
5.96
6
Italy
1255.53
4.43
7
Canada
1031.78
3.64
8
Belgium
787.34
2.78
9
Japan
720.87
2.55
10
Netherlands
665.31
2.35
Total Textile Export Market Size of Bangladesh :
USD $ 28.31 (in Billion)
Future of RMG investment in Bangladesh and Garments Business in Bangladesh:
The Ready-Made Garments (RMG) industry is the leading exporter in Bangladesh. The sector has grown steadily over the past few years and continues to do so. The RMG sector is a labor-intensive industry with manufacturers located throughout the nation. In this industry, both domestic and international investors have made substantial investments.
It is not the most difficult industry to enter, particularly in Bangladesh, where the government has shown a great deal of foresight towards this area. The government has established export processing zones outside the ordinary industrial zones to help boost the productivity of this business. The establishment of factories requires a variety of permits from several government departments to protect the health, safety, and excellent working environment of the workforce and the business as a whole. Textiles and buying houses also play significant roles in the RMG business, with the former giving companies orders and the latter supplying raw materials. Numerous businesses, including import/export, labor, and finance, among others, have a direct impact on the RMG industry's performance. In light of this, the legal concerns surrounding the RMG industry have also been substantial. From the formation of a corporation to the establishment of a factory, which is the minimal amount of groundwork any entity must do to thrive in this sector, there are a multitude of legal services to be supplied, particularly in terms of licenses, such as trade license, TIN, VAT, I.R.C, E.R.C, etc. The presence of expatriates, who require a work permit to work in the country, is also a result of the large number of foreign investors investing in this particular sector.
Tahmidur Rahman Remura Wahid TRW is one of the best full-service law firms in Bangladesh, competent to provide any legal industry solutions for the RMG industry. Tahmidur Rahman Remura Wahid TRW has extensive experience in company formation and license acquisition, as necessary in this instance. Tahmidur Rahman Remura Wahid TRW also has departments dedicated to expats' immigration issues and the financial department, which handles issues such as taxation, payroll, etc.
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Garments Business in Bangladesh with Tahmidur Rahman Remura: TRW: The Law Firm in Bangladesh:
The legal team of Tahmidur Rahman, The Law Firm in Bangladesh: TRW, The Law Firm in Bangladesh are highly experienced in providing all kinds of services related to forming and incorporating a Garments Business in Bangladesh. For queries or legal assistance, please reach us at:
Fish is one of the essential sources of protein for all people in the globe, regardless of their economic status. According to the Food and Agriculture Organization of the United Nations, around 820 million people worldwide derive income from marine and inland fishing. Bangladesh is one of the world's leading producers of farmed fish due to its geographical location and other resources. According to the Department of Fisheries, Bangladesh, the fisheries sector contributed 3.57 percent to the national GDP, 25.30 percent to the agricultural GDP, and 1.5 percent to foreign exchange profits in 2017-18.
How to Establish a Fisheries business in Bangladesh
Fish and fisheries have a vital role in Bangladesh's cultural heritage and economy. The sector is prominent in the country since it provides a significant source of foreign exchange earnings, generates employment opportunities, and contributes to economic growth.
According to a Food and Agriculture Organization assessment, Bangladesh has one of the most ideal zones for fisheries in the world, with the largest flooded wetland in the world and the third highest marine biodiversity among Asian countries (FAO). The availability of inexpensive labor, resources, and rising demand have made the fishing industry one of the most lucrative commercial sectors.
Bangladesh has numerous rules and regulations governing the fisheries industry and Fisheries business in Bangladesh. The Tanks Improvement Act of 1939, the Protection and Conservation of Fish Act of 1950, the Fish and Fish Products (inspection and quality control) Ordinance of 1983, the Fish and Fish Products (inspection and quality control) Rules of 1997, the Reservoir Protection Act of 2000, the Fish Feed and Animal Feed Act of 2010, the Fish Feed Rules of 2011, the Fish Hatchery Act of 2010, the Fish Hatchery Rules of 2011, and the Fisheries Quarantine Act of 2018 all play an important role In addition, The Marine Fisheries Ordinance of 1983 provides laws pertinent to the management, conservation, and development of Bangladesh's marine fisheries. Other relevant regulations are the Fishery Policy of 1918, the Jal-Mahal Management Policy of 2009, the National Shrimp Policy of 2014, and the Establishment of Fishery in the Bhavadeh Area Policy of 2019.
Under the Ministry of Fisheries and Livestock, the Department of Fisheries (DoF) is the official department having administrative control over aquaculture in Bangladesh including the regulations of Fisheries business in Bangladesh. This department is led by the Director General and is comprised of two primary divisions: inland and maritime. It focuses on both regulatory and development activities by formulating schemes and coordinating national policy regarding fisheries, the prevention of fish illness, the conservation, management, and development of fisheries resources, the management of fish farms, and training.
This department's efforts are backed by the Bangladesh Fisheries Research Institute (BFRI), which is responsible for performing fisheries research and training entrepreneurs and anyone interested in the fishing sector or Fisheries business in Bangladesh. Moreover, the Bangladesh Fisheries Development Corporation (BFDC) assists the Department of Fisheries (DoF) in advancing the fishing business. Establishing fishing units for the gathering, processing, distribution, and sale of fish and fisheries products is one of the functions of BFDC.
Process of Obtaining a License and Registering a Business In Bangladesh, Fisheries business in Bangladesh can be conducted in one of the following ways:
I. Single-Ownership;
II. Partnership;
III. Company.
I. Single-Ownership:
A sole proprietorship or sole trader is an unincorporated form of business in which one shareholder pays personal income tax on the business's profits. It is the simplest form of business organization and is suitable only for small businesses operating in a limited geographical area. This business category is unavailable to foreign investors seeking to establish a company in Bangladesh.
The following actions must be taken to form a sole proprietorship for Fisheries business in Bangladesh:
First Step: A name must be selected for the business.
Second Step: rent or lease a commercial facility to conduct business operations.
Third Step: Submit the completed Trade License Application Form to the appropriate local government entity (i.e., City Corporation/Municipal Corporation/Union Parishad.
Fourth Step: Pay the required government fees.
Fifth Step: Acquire the License
Documents Required for Forming a Sole Proprietorship:
Copy of the rental or lease agreement.
b) Copy of the owner's National ID card
b) A passport-sized image of the owner.
d) Receipt of the government fees' payment.
II. Partnership for Fisheries business in Bangladesh:
In a partnership, two or more persons share ownership of the business. In this business structure, the Partners will have a legal agreement outlining the many rules governing the partnership operation. It is a common practice to launch a business with a limited number of shareholders. However, each partner is jointly and severally liable for any firm acts conducted while he is a partner, even if the incorrect act or omission was committed by another partner in the normal course of business.
The following procedures must be taken to establish a partnership business:
Second, rent or lease a commercial facility to conduct business operations.
Developing a Partnership Agreement containing all necessary terms and conditions.
Complete the Application Form
Submit Form I and supporting documentation to the Registrar's Office.
Pay the required government fees.
Obtain the Certificate of Registration.
Required Documents for Forming a Business Partnership:
a) Name Approval for the Partnership Enterprise.
b) Form I Application Completely Filled Out
c) An appropriately notarized partnership agreement
c) Personal Information of the business's Partners
e) The residences of the Partners.
f) Percentage of each partner's profit share in the business.
g) A copy of the rental or lease agreement for the registered address of the partnership.
h) a copy of each partner's government-issued identification card
I A passport-sized photo of each partner
j) Receipt of the government fees' payment.
III. Business:
A Fisheries business in Bangladesh that is lawfully registered may participate in any business activity permitted under its Object Clause, as stated in its Articles of Association. A firm in Bangladesh may be either public or private. For the formation of a public company, a minimum of seven shareholders are necessary. Alternatively, a minimum of two shareholders is required to incorporate a private corporation. A private corporation cannot invite the public to subscribe for its shares, but a public firm can offer its shares to the general public. In actuality, private companies are the most preferred business structure for both foreign and domestic entrepreneurs.
There are no restrictions on foreign equity involvement for foreign direct investment, hence 100 percent foreign equity is permitted. In regards to Fisheries business in Bangladesh, Foreign investment gets the same level of protection and security as domestic investment in Bangladesh. The laws of Bangladesh guarantee non-discrimination between international and domestic investment, as well as the repatriation of share sales revenues and profits.
The following actions must be taken to establish a Fisheries business in Bangladesh:
The prospective company must get a Name Clearance from the Registrar of Joint Stock and Companies.
2. Creating and signing the following documents:
• The company's Memorandum and Articles of Incorporation;
In addition, for Fisheries business in Bangladesh, it should be mentioned that in Bangladesh there is an abundance of tanks, ponds, and reservoirs, and interested parties can lease the needed tanks, ponds, and reservoirs by entering into a lease agreement with the owner.
Additional Licenses
The additional license required for each format of business has been listed below:
Sole Proprietorship
Partnership
Company
1. Personal TIN Certificate for the proprietor; 2. Import Registration Certificate (applicable for Import Business) 3. Export Registration Certificate (applicable for Export Business) 4. Warehouse setup license (applicable for fish storing business) 5. Supplier License (applicable for fish supplying business) 6. Fish Exporter Permit (applicable for exporting fish) 7. License for Conducting and Setting up Hatchery
1. Trade License 2. TIN Certificate 3. VAT Registration Certificate; 4. Membership Certificate; 5. Import Registration Certificate (applicable for Import Business) 6. Export Registration Certificate (applicable for Export Business) 7. Fish Processing Factory License (applicable for fish processing business) 8. Warehouse setup license (applicable for fish storing business) 9. Supplier License (applicable for fish supplying business) 10. Ice factory License (applicable for setting up ice factory) 11. Fish Exporter Permit (applicable for exporting fish)12. License for Conducting and Setting up Hatchery13. Environment Clearance Certificate
1. Trade License 2. TIN Certificate 3. VAT Registration Certificate 4. Membership Certificate; 5. Import Registration Certificate (applicable for Import Business) 6. Export Registration Certificate (applicable for Export Business) 7. Fish Processing Factory License (applicable for fish processing business) 8. Warehouse setup license (applicable for fish storing business) 9. Supplier License (applicable for fish supplying business) 10. Ice factory License (applicable for setting up ice factory) 11. Fish Exporter Permit (applicable for exporting fish) 12. License for Conducting and Setting up Hatchery 13. Environment Clearance Certificate
The procedure for acquiring extra licenses is outlined below:
Trade License for Fisheries business in Bangladesh:
Acquiring a trade license is the most crucial prerequisite for launching a business in Bangladesh. Every business entity is required to get a Trade License from the appropriate local government body. To obtain a Trade License, a complete application must be submitted to the appropriate local governmental entity (i.e., City Corporation/Municipal Corporation/Union Parishad) along with the required documentation.
TIN Certificate: The Government of Bangladesh issues a TIN Certificate to individuals and businesses in order to monitor tax payments. The National Board of Revenue (NBR) is the only organization authorized to issue TIN Certificates. For Fisheries business in Bangladesh, to receive the TIN Certificate, one must submit an online application to the NBR.
VAT Certificate: Every business must have a Business Identification Number in order to function (BIN). A BIN can be obtained through the National Board of Revenue's VAT registration process. Every business organization must get a certificate of VAT registration. To obtain the VAT Certificate, the NBR must receive an online application along with the required supporting documentation.
After establishing the related business, the entrepreneur must become a member of a local Chamber of Commerce and Industry or pertinent Trade Association. The membership application is accessible at the office of the respective Chamber of Commerce or Trade Association.
Import Registration Certificate and Export Registration Certificate The Office of the Chief Controller of Imports and Exports (CCI&E) provides applicants for Fisheries business in Bangladesh with Import Registration Certificates and Export Registration Certificates. To obtain the IRC or ERC, an online application and supporting documentation must be submitted to CCI&E.
Fish Processing Factory License, Warehouse Establishment License, Supplier License, Ice Factory License, and Fish Exporter Permit.
The Department of Fisheries issues licenses for Fish Processing Factory License / Warehouse Setup License / Supplier License / Ice Factory License / Fish Exporter Permit. To receive the requisite license, a license application and supporting documentation must be submitted to the Deputy Director of Fish Inspection and Quality Control within the Department of Fisheries.
License for Operating and Establishing Hatchery for Fisheries business in Bangladesh
The term "hatchery" refers to a facility where fish fry and fingerlings suitable for stocking in growing ponds are produced artificially using the induced breeding method. In order to create a Hatchery, a request must be made to the appropriate District Fisheries Officer within the Department of Fisheries along with the required documentation.
Environment Clearance Certificate for Fisheries business in Bangladesh:
In Bangladesh, the Environment Clearance Certificate (ECC) is one of the essential permits required to launch an industrial unit or project. To get this Certificate, the owner of the industrial unit or project must submit an application to the Department of Environment along with the required documentation.
Legal Issues in regards to Fisheries business in Bangladesh:
Foreign Investment Law: Under Bangladesh's liberalized Industrial Policy and export-oriented, private sector-led economic plan, foreign entities and people who are interested in investing in Bangladesh have ample investment options. Except for a few regulated industries, Bangladesh welcomes private investment in all areas. The fishing industry is completely open to international investment. The government's objective is to facilitate the increase of domestic and international private investment by fostering an enabling environment. The policy framework for foreign investment in Bangladesh is based on the Foreign Private Investment (Promotion & Protection) Act of 1980, which provides legal protection against nationalization and expropriation for foreign investment in Bangladesh. This also provides a non-discriminatory handling of international and local investments, as well as the repatriation of capital gains and income.
The Foreign Exchange Regulations Act of 1947, the Bangladesh Export Processing Zones Authority Act of 1980, the Bangladesh Private Export Processing Zone Act of 1996, the Bangladesh Economic Zone Act of 2010 and the Bangladesh Investment Development Authority Act of 2016 also address foreign investment.
Relevant Employment Law for Fisheries business in Bangladesh:
The Labour Act of 2006 primarily governs employment law in Bangladesh. In addition to this Statute, the Labour Rules 2015, the National Labour Policy 2012, the Bangladesh Labour Welfare Foundation Act 2006, the Bangladesh Labour Welfare Foundation Rules 2010, the National Occupational Health and Safety Policy 2013, the Domestic Workers Protection and Welfare Policy 2015, and the National Child Labour Elimination Policy 2010 all contain rules and regulations pertaining to this issue.
The Labour Act of 2006 addresses employment of labor, employer-employee relations, payment of wages and compensation for injuries to workers, leaves, benefits, formation of trade unions, resolution of industrial disputes, welfare, health, safety, and working conditions in the establishment, amongst other matters. Additionally, maternity benefits are provided to female employees.
Contract Law for Fisheries business in Bangladesh:
The center of the economic world is contractual agreement. It specifies the obligations and responsibilities of the parties on the subject of the contract. A contract binds both parties to its agreed-upon and stipulated conditions, such as the party's liability in the event of a breach of contract and the extent to which it would reimburse the other party's damages. It is advisable to take the utmost care while drafting the contract's terms and conditions so that they accurately reflect the parties' intentions. The Contract Act of 1872 governs all contracts in Bangladesh.
A force majeure event is an extraordinary occurrence or scenario beyond the parties' control, such as an act of God, war, or natural disaster. Generally, a successful use of the force majeure clause releases the parties from their respective contractual responsibilities and/or liability. A force majeure clause does not totally excuse a faction's failure to comply, but merely suspends it for a period of time. Section 56 of the Contract Act of 1872 of Bangladesh outlines the notion of frustration. According to this doctrine, a contract is null and void if its performance becomes impossible owing to the occurrence of an event or if it becomes unlawful after it has been entered into.
Compliances of the business entities - The entities must comply with the annual filing requirements, such as updating trade license at the respective city corporation, renewal of chamber membership, renewal of IRC & ERC, filing taxes, updating the annual filings at the RJSC, reporting to Bangladesh Bank, NBR, etc.
Property Law in regards to Fisheries business in Bangladesh:
In order to finalize the registration of the lease or purchase of the land, property laws must also be applied. The Land Reform Act of 2014, the East Bengal Tenancy Rules of 1954, the Survey Act of 1875, the Non-Agricultural Tenancy Act of 1949, the Registration Act of 1908, and the Transfer of Property Act of 1882 are the major statutes in these sectors.
Tahmidur Rahman Remura Wahid TRW Associates and Its Services Introduced
Tahmidur Rahman Remura Wahid TRW Associates (Tahmidur Rahman Remura Wahid TRW) is a full-service corporate law firm that attempts to provide customers with a wide range of legal services rather than specializing on a single field of law. It is one of the largest and most reputable law companies in Bangladesh, providing domestic and international customers with legal counsel that fulfills their needs and expectations. Tahmidur Rahman Remura Wahid TRW provides all services associated with Company Incorporation, Sole Proprietorship, Partnership, and Foreign Company Registration, among others. Tahmidur Rahman Remura Wahid TRW has legal specialists that can guarantee a smooth legal process and aid in getting Certificates or Permits required for establishing a business, such as a VAT Certificate, IRC/ERC, TIN, Trade License, and other licenses.
In order to establish a Fisheries business in Bangladesh, Tahmidur Rahman Remura Wahid TRW can give the following services:
The Tahmidur Rahman Remura Wahid TRW has an exceptional and capable workforce that can set up a fisheries business smoothly and efficiently. The legal counsel of Tahmidur Rahman Remura Wahid TRW can assist clients through consultations and meetings, as well as providing them with incorporation guidelines.
In order to incorporate any form of business, a number of deeds, contracts, and other documents must be created. The legal staff at Tahmidur Rahman Remura Wahid TRW can assist customers with the preparation and drafting of these documents.
Prior to establishing a Fish Hatchery or a business, it is necessary to find an appropriate piece of property. Tahmidur Rahman Remura Wahid TRW can give a service to the client by searching for an ideal location for the client's business establishment. In addition, Tahmidur Rahman Remura Wahid TRW can assist with the preparation of lease agreements, the inspection of land by the appropriate land registry office, and the registration of lease or transfer of ownership paperwork, among other things.
Tahmidur Rahman Remura Wahid TRW can also assist with making payments of government fees to the proper authorities, such as BIDA or RJSC, and liaising with them to get incorporation documentation. Tahmidur Rahman Remura Wahid TRW, legal professionals have excellent working relationships with government authorities, making it simpler to obtain any certificate/license.
Tahmidur Rahman Remura Wahid TRW also offers services for getting or renewing any form of license; for doing fisheries-related business, many licenses are required. The legal staff at Tahmidur Rahman Remura Wahid TRW can help obtain these licenses and, if necessary, renew them on time.
Tahmidur Rahman Remura Wahid TRW provides clients with labor-related services, such as preparing employment agreements, resolving labor-related issues, and rendering legal opinions on labour legislation, etc.
Taxation for Fisheries business in Bangladesh
The current general tax rate in Bangladesh is 32.5 percent, as stipulated by its legislation. Locally formed limited liability companies are required to submit a number of reports to the National Board of Revenue (NBR), such as a Tax Identification Number (TIN) application, a monthly tax deduction statement, a half-yearly withholding tax statement, a yearly statement related to the tax return submission of its employees, and a yearly statement related to the salary paid by the company to its employees. Quarterly Advance tax deposit, Annual tax return submission, representing the company at appeal/hearing sessions, Monthly VAT return, etc. Tahmidur Rahman Remura Wahid TRW may provide guidance and assistance to ensure that all regulatory compliances are met, allowing the business to operate without difficulty.
In summary, the combination of export and robust domestic demand has enhanced the development and productivity of fishing activities. Bangladesh's fishing industry has generated a substantial amount of foreign currency in recent decades. However, Bangladesh's fisheries industry has considerable room for growth to bolster the country's economy. Due to Bangladesh's geographical location, climate, inexpensive labor force, and abundant resources, the fishing industry has a bright future as a developing industry.
Future of Fisheries business in Bangladesh
Bangladesh's fish business is noteworthy because it provides a significant source of foreign currency earnings, generates employment opportunities, and contributes to the country's economic progress. According to the statistics from the Department of Fisheries, Bangladesh's total fish production in 2016-17 was 41.34 million metric tons, with 56.44 percent coming from aquaculture. The contribution of fisheries to the national GDP is 3.69 percent, whereas the contribution of agriculture to the GDP is 23.12 percent, making fisheries the second most significant crop in Bangladesh.
The Department of Fisheries is the only body within the Ministry of Fisheries and Livestock having administrative authority for aquaculture in Bangladesh. This department is led by the Director General and is comprised of two primary divisions: inland and maritime. The DOF is primarily responsible for planning, expansion, and training and development.
In order to do fisheries business in Bangladesh, approval from the relevant Department of Fisheries is required. In order to conduct fishing business in Bangladesh, a license is also required. A fishing enterprise could be operated as a sole proprietorship, a corporation, or a partnership. Prior to acquiring these licenses or certificates, however, registration is required for all business structures other than sole proprietorships, including partnerships and corporations. ERC, IRC, Trade License, VAT, License for Cured Fish Plant, Ice Plant, etc. are among the licenses needed to launch a fisheries business.
Employment legislation in Bangladesh The 2006 Labor Act and the 2015 Labor Rules govern the fishing industry. The Act of 2006 addresses employment of labor, employer-employee relations, minimum wage determination, payment of wages, etc.
In Bangladesh, the growth of the fishing industry can play a significant role in improving the country's economy as a whole. In order to develop Fisheries businesses and industries, the Tahmidur Rahman Remura Wahid TRW legal team offers a variety of incorporation-related services. Tahmidur Rahman Remura Wahid TRW has an exceptional and professional team that can quickly establish a fisheries business in Bangladesh.
Due to border restrictions, travel prohibitions, restaurant closures, community quarantines, supply chain disruptions, and other factors, the recent covid 19 outbreak has slowed the growth of the fishing industry. Nonetheless, the Bangladeshi government has made steps to limit the economic impact of the coronavirus.
Due to Bangladesh's geographical location, climate, inexpensive labor force, and abundant resources, the fishing industry has a bright future as a developing industry. To make fishing a more profitable business Concerned government departments, development partners, researchers, and non-government groups can play a significant role in advancing the fishing sectors and minimizing the economic impact of covid 19 through their efforts.
Are you planning to do Fisheries business in Bangladesh?
Fisheries business in Bangladesh with Tahmidur Rahman Remura: TRW: The Law Firm in Bangladesh:
The legal team of Tahmidur Rahman, The Law Firm in Bangladesh: TRW, The Law Firm in Bangladesh are highly experienced in providing all kinds of services related to forming and incorporating a Fisheries business in Bangladesh. For queries or legal assistance, please reach us at:
There are numerous investment opportunities in the restaurant sector, including sole proprietorship, partnership, and private limited liability company. Foreign investors are not eligible for the first two alternatives. In this post we will explain the procedure of Restaurant Business registration in Bangladesh.
SOLE PROPRIETARY RIGHTS
In Bangladesh, a Sole Proprietorship is not a separate legal entity, hence it is not distinct from its owner/proprietor. In the event that any liability occurs during the course of business, the owner will be held personally liable. Any Bangladeshi citizen at least 18 years old may establish a sole proprietorship.
Method of Restaurant Business registration in Bangladesh:
In order to establish a single proprietorship in Bangladesh, the following actions must be taken:
Step 1: Business name proposal.
Step 2: Obtaining a Business License
General Licenses
Trade License - This is the fundamental need for business ownership. This can be obtained by submitting an application to the appropriate City Corporation or local government together with the office lease or rental agreement. Entities that will operate in the commercial sector must apply for a commercial trade license, while those that will operate in the industrial sector must apply for an industrial trade license.
The Registrar of Joint Stock Companies And Firms must grant a Name Clearance for the proposed name of the Partnership Business (RJSC).
STEP 2 – PREPARE A PARTNERSHIP DEED
In compliance with the Stamp Act, the Partnership Deed must be prepared on stamp paper, and all partners must sign it before having it notarized.
STEP 3- REGISTER PARTNERSHIP DEED WITH RJSC
The partnership agreement and a completed Form I must be submitted to RJSC. The RJSC officials will analyze the submitted documents and issue a Certificate of Registration.
TIN Certificate ———- The application must be submitted using the National Board of Revenue's online portal (NBR).
Trade License for Restaurant Business registration in Bangladesh -
The application, along with the applicable government fees, must be submitted to the relevant municipal corporation office/local government office, along with the business paperwork and the lease/rent deed of the Business's office space. Entities that will operate in the commercial sector must apply for a commercial trade license, while those that will operate in the industrial sector must apply for an industrial trade license.
VAT certificate —— The application must be submitted using the National Board of Revenue's online portal (NBR).
PRIVATE LIMITED COMPANY for Restaurant Business registration in Bangladesh:
It typically takes three to four weeks for RJSC to issue the certifications following the submission of the required documents in Step 5.
General Licenses:
TIN certificate ——— After the company has been properly created, an online application must be submitted to get the certificate. In addition, the application requires a local phone number and a registered office address.
Trade License —- The application, along with the applicable government fees, must be sent to the relevant city corporation office, along with the company's documentation and the lease/rent deed for its office space. Entities that will operate in the commercial sector must apply for a commercial trade license, while those that will operate in the industrial sector must apply for an industrial trade license.
VAT certificate after Restaurant Business registration in Bangladesh :
The application must be submitted via an online portal alongside Company documentation.
Certain licenses and/or approvals for Restaurant Business registration in Bangladesh:
The restaurants create commercial food goods and beverages that are offered to a large number of people; as a result, they must adhere to particular health standards and need special authorization and license from the Bangladeshi government in order to conduct business there.
Restaurant License for Restaurant Business registration in Bangladesh:
Step 1:
To operate a restaurant, an application with the required fee and procedure must be submitted to the appropriate registrar.
Step 2:
Upon receipt of the application, the registrar will examine the given information. If the registrar is satisfied, he will provide a certificate of registration to the applicant, specifying the time, procedure, and criteria on the application form.
Step 3:
Initiate the restaurant business and receive a license within one year of the date the registration certificate was issued.
Step 4:
The business owner must next submit an application to the respective controller with the necessary fee and paperwork to receive a license.
Step 5:
If the inspector is satisfied, the controller will issue the license.
After three years, the license will expire and be renewed.
Import Registration Certificate (IRC) for Restaurant Business registration in Bangladesh-
Entities who wish to import food or restaurant equipment are required to get the IRC.
The IRC application must be submitted to the Office of the Chief Controller of Imports along with the entity's incorporation paperwork, TIN certificate, trade license, bank solvency certificate, chamber of commerce membership certificate, and applicable government fees. The certificate must be renewed each year.
Fire License for Restaurant Business registration in Bangladesh:
Buildings and commercial organizations are required to obtain a fire license in consideration of the surrounding environment and to protect the safety of the firm and its personnel. It is issued by the Fire Service and Civil Defense (FSCD) body functioning under Bangladesh's Ministry of Interior.
The following documents must be provided in order to receive a fire license: -
7. Memorandum and Articles of Association; 8. Certificate of no objection from the local authority; 9. Certificate of clearance from the FSCD office; 10. Deposit slip/treasury challan.
Certification Mark from Bangladesh Standards and Testing Institution (BSTI) -
There are 71 Agricultural and Food Products under the mandatory Certification Marks (CM) scheme of BSTI, which means that the marketing of any of these items requires a Bangladesh Standard conformity certificate from the BSTI. There are 23 imported Food Products that require certification prior to customs clearance. If a restaurant uses a product from these two categories, it must ensure that the product bears the appropriate Certification Marks.
Legal Issues in regards Restaurant Business registration in Bangladesh
Annual General Compliances of Business Entities - Entities are required to comply with annual filing requirements, such as updating trade license at the respective city corporation, renewing chamber membership, renewing IRC, filing taxes, updating annual filings at the RJSC for limited liability companies, and renewing branch office permission at BIDA when it expires.
Implications of Contract Law in Restaurant Business registration in Bangladesh -
The entities' interaction with dealers/vendors who provide products or services to the business is an integral component. When selling items to dealers or receiving goods and/or services from vendors, there should be a dealership/vendor agreement in place.
Vendor Agreements can include a wide range of services, including software, professional services, office supplies, technical services, event organizing, marketing, and consultants.
In the event of a dispute, the agreement, in addition to the applicable laws, plays a crucial part in resolving the dispute; therefore, it is crucial to protect one's interests when drafting agreements.
The franchise agreement is also an essential component of this industry, since numerous businesses bring the products of international bands to market as franchisees.
It is essential that this agreement be drafted with all legal aspects clarified, particularly in accordance with Bangladesh Bank's foreign exchange requirements. This will be useful when remitting royalties to the franchisor via banking channels. Foreign owners may also remit the dividend after deducting the applicable taxes, in addition to the royalty payment.
Requirements Labour regulations for Restaurant Business registration in Bangladesh-
Entities must guarantee that their relationships with employees comply with Bangladesh's labour laws. Employees must have a letter of appointment that specifies their job title, job description, remuneration, benefits and welfare, applicable working hours and leaves, etc. It should be highlighted that an employer cannot, via contract or appointment letter, supply less than what the labor laws require. It is also the responsibility of the employer to ensure a safe and healthy work environment.
Certification Marks from BSTI There are food and agricultural goods from number (Number 1-71 in the product list of BSTI). BSTI also released a list of 55 Imported Products subject to required certification prior to customs clearance, 23 of which are food products (Number 1-23 in the list of imported products)
The Food (Special Courts) Act of 1956 and Restaurant Business registration in Bangladesh:.
The Food (Special Courts) Act of 1956 provides for the establishment of special courts for the rapid trial of food-related offenses. A Special Magistrate may accept jurisdiction over any crime punishable by this Act. If a person commits an offense punishable under this Act, he shall be punished with imprisonment for a term that may not exceed three years or with a fine, or with any one or both of these, and the Court of Special Magistrate trying such an offense may order that any foodstuffs in respect of which it is satisfied that a notified order has been violated shall be forfeited to the government.
1983 Fish and Fish Products (Inspection and Quality Control) Ordinance Application
The Fish and Fish Products (Inspection and Quality Control) Ordinance, 1983 governs fish and fish product inspection and quality control. Fish items that are decomposed, unfit for human consumption, or infected with pathogenic organisms should not be exported, marketed for export, or possessed for export. A person with leprosy, tuberculosis, or any other contagious disease that the government may specify by notification in the official Gazette may not catch, handle, transport, or process fish or fish products, or cause others to do so, nor may they work in fish processing and fish packing plants and establishments. The penalty for violating these laws is imprisonment for up to six months or a fine of up to five thousand Taka, or both.
Implementation of the 2013 Food Safety Act
The Food Safety Act of 2013 addresses a broad range of issues to guarantee the right to access safe food for the protection of human health and life. There are certain restrictions associated with Food Safety Management System.
Examples:
• Use of hazardous materials, substances, or ingredients, pesticides, or intoxicated food coloring or flavoring, or any other intoxicated additions or processing aids that may be harmful to human health;
• Excessive use of radioactive materials, heavy metals, etc., beyond allowable limits.
• Production of a contaminated food item or food additive, etc.
• Applications of food additives and processing aids
• The storage of spent industrial oil, industrial waste, adulterants, and other contaminants in food establishments.
• Expired food items or food ingredients
• The use of growth boosters, insecticides, herbicides, drug residues, microorganisms, etc.
• The sale of diseased or putrefied fish, meat, milk, eggs, etc., as well as any food products manufactured from such substances.
• Maintaining and displaying the name, address, and receipt or challan of the relevant parties.
If a person violates a law and is found guilty and fined by a Food Court, the complainant is entitled to receive 25% of the fine as an incentive: If the complainant is an officer or employee of the Authority, he is ineligible to receive such an incentive.
Application of the 2014 Hotel and Restaurant Ordinance of Bangladesh:
"Restaurant" refers to a business establishment where customers can purchase regular cuisine for a fee that meets the minimum set specifications and has seating for at least thirty people. This law prohibits the operation of a restaurant without a registration certificate and license. The restaurant's owner may transfer ownership by notifying the controller.
The previous owner must return the registration certificate and license to the controller, and the new owner of the restaurant must complete the procedure and pay the costs to obtain a new license. If a person or owner violates any provision of this act, they shall face six months of simple imprisonment or a maximum fine of two lakhs of Bangladeshi taka, or both. If a firm violates the legislation under this act, the individual directly involved in the violation shall be held accountable.
Implementation of the Consumer Protection Act for Restaurant Business registration in Bangladesh:
The Consumers' Right Protection Act, 2009 (Act No. 26 of 2009) [6 th April, 2009] regulates the provisions for the protection of the rights of consumers, the prevention of anti-consumer right practices, and things related thereto. If anyone violates any provision of this legislation, he will be punished.
• The penalty for failing to label goods with their weight, quantity, ingredients, instructions for use, maximum retail price, date of manufacturing, date of packaging, and date of expiration must be imprisonment for a term not exceeding one year or a fine not exceeding fifty thousand taka, or both.
• The penalty for failing to display a price list is imprisonment for a term not to exceed one year or a fine not to exceed fifty thousand taka, or both.
• The penalty for failing to maintain and show pricing lists for services is imprisonment for a term not exceeding one year or a fine not exceeding fifty thousand Taka, or both.
• Mixing forbidden substances into food that is harmful to human life or health is punishable by imprisonment for a term not to exceed three years, a fine not to exceed two lacs of Taka, or both.
• The penalty for misleading consumers by fraudulent advertising is imprisonment for a term not to exceed one year or a fine not to exceed two lacs of Taka, or both.
• The penalty for selling date-expired products is imprisonment for up to one year, a fine of up to fifty thousand taka, or both.
Application-based mobile food delivery service –
There is currently no specific legislation governing restaurants' mobile application-based food delivery services. However, they shall be required to obtain a license from the licensing authority under the Ministry of Posts, Telecommunications and Information Technology in accordance with the Mailing Operator and Courier Service Rules, 2013 as they fall under the definition of courier services according to the aforementioned Rule and the Post Office Act, 1890.
Trademark after Restaurant Business registration in Bangladesh:
After the registration of the entity, it may apply to the Department of Patents, Designs, and Trademarks (DPDT) for registration of its trademarks and/or other Intellectual Property in order to protect trademarks and other IP-related matters. An applicant must submit a trademark registration application to the Trademark Registry Wing of the DPDT.
A trademark registration application must include the following elements:
• the Mark/Logo • the Applicant's Name.
• The applicant's complete address and nationality.
• The applicant's status as merchandisers, manufacturers, or service providers
• Goods Specification and Classification.
• Date of use of the mark (whether the mark is in use or proposed to be used in Bangladesh).
• A general or particular power of attorney may be necessary.
• Fee for application
Acceptance or Denial of the Trademark:
Once the application has been filed and the documents have been examined and accepted by the Registrar, the application will be sent to the journal publication to determine whether there are any objections to the mark. In the event of an objection, the Registrar will decide the matter based on the documentation supplied by both parties.
If there is no opposition, however, DPDT will notify the applicant to pay certification fees and then issue the trademark registration certificate. It typically takes between three and five years to receive the final certificate of trademark registration. In the interim, the entity is permitted to begin using the mark. A registered trademark is valid for an initial period of seven (7) years from the date of filing, with subsequent renewals for ten (10) years.
Tahmidur Rahman Remura Wahid TRW law firm in Bangladesh AND ITS SERVICES regarding restaurant business in bangladesh:
According to the BBS survey, hotel and restaurant employment increased from 9 lakh in 2009-10 to 22.8 lakh in 2019-20.
The sector's contribution to the gross domestic product has increased to 0.75 percent. In fiscal 2019-20, the value was Tk 87,926 billion, compared to Tk 11,986 billion in 2009-10.
As a full-service law practice, Tahmidur Rahman Remura Wahid TRW Associates provides all forms of legal and financial services through its knowledgeable and competent employees.
Tahmidur Rahman Remura Wahid TRW Associates provides services for establishing entities, such as sole proprietorships, partnerships, and/or limited liability companies, in Bangladesh and getting the necessary permits from the applicable government authorities. The services include drafting relevant documents, forms, and providing the required document list and procedure, as well as submitting the application with the relevant documents to the appropriate government office, liaising with them throughout the verification process, and obtaining the required certified documents.
Drafting and vetting agreements: As stated previously, the entities require the drafting of various types of agreements, such as vendor, employment, and franchises agreements, which are required to be drafted in accordance with the applicable laws of Bangladesh, while at the same time safeguarding their interests in order to use these agreements to their advantage in the event of future disputes.
Legal Opinion and/or Due Diligence Report:
Tahmidur Rahman Remura Wahid TRW Associates gives legal opinion to clients in regards to the implication of laws and its impact on a variety of matters, allowing them to make informed business decisions by considering the legal aspect.
In addition, Tahmidur Rahman Remura Wahid TRW Associates offers interested customers with a due diligence report for their entities that highlights all the legal criteria that must be met and any non-compliances that must be addressed.
Tahmidur Rahman Remura Wahid TRW Associates offers a formidable litigation team that assists and represents clients in defending/filing disputes before courts or tribunals for all sorts of litigation.
The entire scenario has a negative impact on the income of the majority of individuals. People already struggle to have consistent access to food. People who are still able to buy restaurant meals are concerned about their health, and they eat very little food prepared in restaurants' kitchens.
Companies should plan for the pandemic and for situations in which the outbreak has a negative impact on business in general and on the fulfilment of commercial contracts in particular. Specifically, businesses should assess whether they are permitted to use force majeure under the terms of their contracts and defer the fulfillment of their contractual duties without incurring a penalty.
A force majeure clause does permit a party's complete inability to execute, but only for the length of the force majeure occurrence. If properly prepared, the force majeure clause may indicate that if a force majeure event continues for longer than a specified period, either party may terminate the contract without incurring any financial liability.
Since the theory of force majeure has no clear legislative basis in Bangladeshi law, its reliance is essentially based on the parties' agreement and the respective conditions of the contract entered into between the contracting parties.
The Contract Act of 1872 (the "Act of 1872"), which is governed by Bangladeshi law, governs all contracts. The idea of frustration is codified in Section 56 of the Act of 1872, which states that a contract is null and void if its performance becomes impracticable or if, as a result of some occurrence, it becomes illegal after it has been entered into.
Therefore, if the contract becomes difficult to perform due to Corona, it shall be considered null and void under Bangladeshi law, provided that the defaulting party did not know or could not have reasonably known that the contract would become impossible to perform. A null contract has the effect that it cannot be enforced by law and the parties are released from their respective duties.
To use the doctrine of frustration, the fulfilment of the contract must become totally impossible due to the occurrence of an unanticipated catastrophe, such as a pandemic of the Corona virus.
In the absence of an appropriately worded force majeure clause in a contract, the parties in Bangladesh may be able to rely on existing provisions of Bangladeshi law, specifically Section 56 of the Act of 1872, to excuse themselves from timely performance of their respective obligations under the contract.
In addition, the government of Bangladesh has offered a package worth BDT 500,000,000,000 in an effort to stimulate the economy should a recession result from the pandemic's effects. The business entities are optimistic that if this sector contributes its due share to the aforesaid package, it would be able to stimulate the local economy and help end the recession.
Taxation after Restaurant Business registration in Bangladesh:
The current general tax rate in Bangladesh is 32.5 percent, as stipulated by its legislation. Locally formed limited liability companies are required to submit a number of reports to the National Board of Revenue (NBR), such as a Tax Identification Number (TIN) application, a monthly tax deduction statement, a half-yearly withholding tax statement, a yearly statement related to the tax return submission of its employees, and a yearly statement related to the salary paid by the company to its employees. Quarterly Advance tax deposit, Annual tax return submission, representing the company at appeal/hearing sessions, Monthly VAT return, etc.
Tahmidur Rahman Remura Wahid TRW may provide guidance and assistance to ensure that all regulatory compliances are met, allowing the business to operate without difficulty.
The Bangladeshi restaurant business is expanding exponentially. The business environment is becoming more competitive, and everyone is developing new strategies to remain in this field. The demand from customers is still on the rise, although it has not yet peaked. This rising demand necessitates more investors to be met by the market.
Top Factors that Make Customers Return to a Restaurant in 2023
Quality of food
50%
Attention to cleanliness and safety
43%
Value
31%
Menu options
27%
Desire to support local business
22%
Staff friendliness
21%
Proximity
19%
Order ahead
17%
Delivery speed
16%
Discounts and offers
15%
Presence on delivery apps
12%
Social media or email marketing
10%
Loyalty program
9%
Events
8%
Business Potential Restaurant Business registration in Bangladesh:
Bangladesh's restaurant business has a tremendous amount of untapped potential, as local demand continues to rise. The constant desire to try new cuisines is raising the demand for eateries.
Investors have the option of forming a Sole Proprietorship, Partnership Business, or Private Limited Company in order to participate in the restaurant industry. To promote a business-friendly climate, BIDA has opened a one-stop services center for investors, where services ranging from entity incorporation to post-incorporation licenses are accessible.
As a full-service law practice, Tahmidur Rahman Remura Wahid TRW Associates provides all types of legal and financial help, beginning with entity registration and ending with annual compliance and litigation services. Tahmidur Rahman Remura Wahid TRW Associates is comprised of competent Barristers and Advocates with knowledge in a variety of legal fields, allowing them to perform the required services at a high degree, and allowing customers to acquire all essential and supplementary legal services under one roof.
In spite of this, it is anticipated that as soon as the pandemic begins to decline, business will return and develop steadily.
Are you planning to do Restaurant Business registration in Bangladesh?
Restaurant Business registration in Bangladesh with Tahmidur Rahman Remura: TRW: The Law Firm in Bangladesh:
The legal team of Tahmidur Rahman, The Law Firm in Bangladesh: TRW, The Law Firm in Bangladesh are highly experienced in providing all kinds of services related to forming and incorporating a Restaurant Business registration in Bangladesh. For queries or legal assistance, please reach us at:
