The Bangladesh Trade and Tariff Commission (BTTC) has proposed to the government a reduction in tariffs on onions, potatoes, and eggs to enhance the availability of these critical food items through imports. The BTTC has recommended the National Board of Revenue (NBR) to eliminate the import duty on onions and lower the tariffs on potatoes to 5 percent from the existing rate of 33 percent.
In a communication to the NBR last week, the BTTC highlighted that decreasing tariffs temporarily would foster imports, potentially mitigating inflation. The suggestion comes against the backdrop of a 12 lakh tonnes drop in potato production, which has kept the prices of this commonly consumed vegetable elevated.
The cost of onions, a fundamental component of Bangladeshi meals, remains high, partly due to India imposing a 40 percent export duty and a minimum export price of $550 per tonne to protect its domestic market. In light of these factors, the BTTC has stressed the immediate need to adjust import duties to stabilize the supply and cost of these vital commodities.
Source: TheDailyStar