NBR cuts import tariff for onion, raw sugar

The customs authority today reduced import tariff for onion and raw sugar in order to cut import costs of businesses and contain spiralling prices of the two popular items.

The National Board of Revenue (NBR) removed 5 per cent customs duty on import of onion while keeping 5 per cent regulatory duty on the popular cooking ingredient unchanged.

In case of raw sugar, the tax administrator reduced regulatory duty to 20 per cent from 30 per cent, according to notifications by the NBR.

However, import duty on raw sugar now at Tk 3,000 per tonne along with a 15 per cent VAT and 3 per cent advance tax remains unchanged, said an official of the NBR.

The NBR move followed a commerce ministry request for import tariff cut in the wake of soaring prices of onion and sugar.

Prices of onion used mainly for preparing foods shot up by as much as 49 per cent over the last one month influenced by soaring prices in India, the main source for Bangladesh to meet its domestic requirement for the bulbs.

Locally grown onion was traded at Tk 60-70 per kilogramme in Dhaka markets, up 49 per cent from Tk 42-45 a month ago, according to market data compiled by the Trading Corporation of Bangladesh (TCB).

Imported onions were sold at 47 per cent higher prices to Tk 56-60 per kg yesterday from Tk 38-40 a month ago, according to TCB data.

Sugar prices edged up 4 per cent to Tk 79-80 a kg yesterday from Tk 75-78 a month ago, TCB data showed.