Salt farmers, millers demand increase in import duty on sodium sulphate
Salt farmers and millers yesterday demanded a three-fold increase in import duty for sodium sulphate, alleging unscrupulous businesspersons use the organic compound as camouflage to bring in sodium chloride to sell in the local market.
Sodium sulphate, which is mainly used in the manufacture of detergents, industrial dyes and paper pulp, has about 31 per cent duty on their imports for industrial use.
Salt millers or marketers are not allowed to import edible salt, or sodium chloride. They only get import permission when annual production fails to meet local demand owing to natural disasters. And they have to pay about 90 per cent import duty.
"Mis-declaration in sodium sulphate import is becoming a serious threat for us. Our business is on the brink of closure," said Motaherul Islam Chowdhury, vice-president of the Bangladesh Labon Mill Malik Samity, the association of private salt mill owners.
As they look alike and are similar in taste, many crooked businessmen are also selling sodium sulphate as salt.
The use of such salt in food poses serious health risks, Chowdhury said while speaking at a public hearing organised by the Bangladesh Trade and Tariff Commission at its office in Dhaka.
The import of sodium sulphate rose 7.45 per cent year-on-year to 563,080 tonnes last fiscal year. In the first six months of the current fiscal year, the import stood at 331,225 tonnes.
Chowdhury blamed the government's import policy that has fixed a lower import duty on crude salt.
"Corrupt businessmen manipulate the rule and import edible salt in disguise and are selling them in the market at a lower price," said Omar Faruk, a salt miller.
Sodium sulphate is a very crucial ingredient for industries like textiles, according to Mustafa Kamal Chowdhury, president of the Bangladesh Labon Chashhi Parishad, a body of salt farmers.
"So, we can't demand the government completely ban its import."
Only the quantity needed should be allowed for import.
"But thousands of tonnes of sodium sulphate are illegally imported through the Chittagong port regularly. This has nearly caused the closure of local salt mills. If the situation continues, farmers would run away from this occupation," he added.
In order to solve the problem, the government needs to estimate the local supply and demand of edible salt first, said Tapan Kanti Ghosh, chairman of BTC.
"For that, we will send a letter to the commerce ministry and the industries ministry requesting them to assess how much salt is needed to import for human consumption and industrial use. Then we could take steps to evaluate the rate of import duty on sodium chloride and sodium sulphate."
The government has restricted the import of salt to protect the interests of local producers, the chairman said.
In the last fiscal year, local farmers produced about 18.24 lakh tonnes of crude salt against the target of 18 lakh tonnes. Salt is mainly produced in the south-eastern coastal region of Cox's Bazar.
Bangladesh's annual demand for edible salt stands at 9 lakh to 10 lakh tonnes.
Md Mahmodul Hasan, assistant chief of the commission, also spoke.
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