First centralised C&F licence exam tomorrow amid industry concerns over fresh approvals

The Customs, Excise and VAT Training Academy is set to hold the country's first centrally administered examination for customs clearing and forwarding (C&F) agent licences tomorrow (16 May), despite continued opposition from existing operators over the issuance of new licences.

According to officials at Chattogram Custom House, around 3,000 candidates from different parts of the country are expected to take part in the written exam, scheduled to begin at 10am at Ispahani Public School and College in Chattogram.

Chattogram Custom House Additional Commissioner AAM Amimul Ehsan Khan told The Business Standard, "Previously, examinations were conducted in a scattered manner. This is the first time a centralised examination is being organised nationwide."

Candidates who qualify in the written test will later face oral examinations as part of the licensing process, he added.

Responding to objections raised by customs agents, the official said authorities received the federation's letter after the examination process had already progressed significantly.

He said the issuance of customs agent licences is a routine process that had remained stalled for several years. 

Following the formulation of new rules in January, the authorities resumed the process to create opportunities for new entrants, Amimul said.

Existing C&F operators argue that new licences should be issued only after assessing actual market demand and operational requirements at customs stations.

Obaidul Haque Alamgir, first joint secretary general of the Chattogram Customs Agents Association, said the association does not oppose new licences outright.

"Getting a licence is a legitimate right. But licences should be issued on a rational basis, considering actual demand," he told TBS.

According to him, nearly 4,000 licences already exist under Chattogram Custom House, although the operational requirement is around 3,000.

"If more licences are issued without assessment, unhealthy business competition may emerge," he said.

He added that the association has no objection to issuing fresh licences at customs stations where the number of operators remains inadequate.

Earlier, on 6 May, the Federation of Bangladesh Customs Clearing and Forwarding Agents Association wrote to the National Board of Revenue requesting an immediate suspension of the process of issuing new C&F licences.

The federation alleged that licences are being approved without evaluating market demand, customs operational capacity and the sustainability of existing businesses.

It warned that excessive licensing could trigger unhealthy competition, commission undercutting and operational instability in the customs sector, while also increasing the risk of misdeclaration, fraud and revenue leakage.

The organisation also expressed concern that an uncontrolled rise in licence holders could weaken customs oversight and discourage long-term investment by existing operators.

To address the issue, the federation proposed introducing a transparent licensing framework based on import-export volumes, customs station workload, business sustainability and compliance performance.

Business leaders, however, said the licensing process should continue in a balanced and evidence-based manner.

Mahfuzul Hoque Shah, former director of the Chittagong Chamber of Commerce and Industry, said new customs agent licences should be issued based on scientific assessment and accurate data.

"The new rules also have some flaws. The entire system needs reform. The NBR should issue new licences, but the process must be justified," he said.

He said Bangladesh's import and export volumes continue to grow every year, creating demand for additional customs agents.

"There is certainly a need for new operators. But before issuing licences, there should be proper analysis," he added.