Rice to be imported thru' 3 more customs stations

The National Board of Revenue has allowed rice import through three more land customs (LC) stations.

The move was made to facilitate the entry of the staple from all sides of the country for curbing a price spike through increased supply.

From now on, businesses will be able to import rice through LC stations at Rohanpur of Rajshahi, Akhaura of Brahmanbaria and Bibirbazar of Comilla, reads a notification issued by the NBR last week.

These will function along with the existing nine LC gateways with neighbouring India, including those at Benapole, Sonamasjid and Hilli, it said.

“We think import of rice through more LC stations will not only ensure increased supply in all areas but also will reduce the cost of the importers,” said Mohammad Ehteshamul Hoque, first secretary of customs modernisation and international trade at the NBR.

The NBR's latest move came two months after it allowed rice import through Sheola and Zakiganj LC stations in Sylhet.

The move was made to augment supply to arrest a price hike in the northeastern region that suffered from crop losses due to floods just ahead of the harvest of Boro rice, the principal crop.

Rice prices, which began to rise from April this year, hit a record high of Tk 54 a kilogramme, in mid-September for a host of factors.

These include crop damage owing to recurrent floods, hoarding by a section of millers and traders and low stocks at government warehouses.

Prices declined a bit since the third week of September because of increased imports and duty cuts by the NBR.

Yesterday, retail prices of coarse rice in Dhaka city's markets were Tk 44-46 per kilogramme, down 8 percent from that a month ago. Prices of grain of the same quality were 15 percent higher year-on-year, according to the Trading Corporation of Bangladesh.

Hoque, the NBR official, said rice import through rail route would get a boost on inclusion of the Rohanpur LC station.

A railway route exists connecting Rohanpur in Chapainawabganj and Singabad in West Bengal's Malda.

Officials said the NBR has allowed entry of the commodity through more customs gateways based on proposals from importers and local chambers.

“Inclusion of rail route will be beneficial. The more the avenues, the more supply will be,” said Citta Majumder, managing director of the Majumder Group of Industries, a rice miller and importer.

Yet there is a problem. “The number of engines that Bangladesh Railway has should be increased to pull wagons coming from India. Unloading of products and return of wagons are not done on time because of a shortage of locomotives here,” he said.

He said prices of coarse rice have declined to Tk 36-37 per kilogramme at the border because of increased supply.

From July 1 to October 24 in 2017-18, rice imports stood at 14.13 tonnes, up 10 times the total import of 1.33 lakh tonnes in July-June period of 2016-17, according to food ministry data.

Private traders imported three fourth of the total rice that has arrived so far.