Eating fruit has become a luxury in Bangladesh

Fruit prices in Bangladesh have risen year after year, putting them beyond the reach of low-income people.

Oranges are in high demand as part of the diet recommended for dengue patients. In July 2020, a kilogram of oranges cost Tk 120–150 in markets in the capital. The same oranges now sell for Tk 350–380 per kg. Prices were even higher on September, reaching Tk 420–450 per kg.

A report by the Bangladesh Trade and Tariff Commission (BTTC), an agency under the Ministry of Commerce, says the government has increased duties and taxes on oranges, apples, pears and grapes year after year. As a result, government revenue has risen, but these fruits have become unaffordable for many people.

Market analysts say that while imported fruits have become more expensive, locally grown fruits have not remained cheap either. Prices of domestic fruits have also increased.

For example, four bananas cost Tk 20–25 in July 2020, compared with Tk 40–50 now. Smaller bananas are available at slightly lower prices. However, buying a single banana from a tea stall costs Tk 15.

On 21 September, Prothom Alo published a report on fruit prices under the headline “Why does an orange now cost Tk 100 and a green coconut Tk 150–220?”

Following its publication, the Ministry of Commerce held a meeting with fruit traders on 3 October. The ministry then instructed the Tariff Commission to prepare a report with recommendations on the tax burden and prices of fruit.

The commission submitted its report to the Ministry of Commerce on Tuesday. According to the report obtained from ministry sources, an examination of the duty and tax structure for fresh fruit imports shows that Bangladesh classifies fresh fruit as a luxury item. In other words, eating fruit has now become a luxury.

Asked whether the government plans to reduce duties and taxes on fruit, Commerce Minister Khandaker Abdul Muktadir told Prothom Alo on Wednesday evening, “Work is under way at the government level on this issue (reducing taxes on fruit). I cannot say anything more for the time being.”

Why eating fruit is essential

Fish, meat, milk, eggs and fruit are essential for meeting the body's nutritional needs. Generally, as people's per capita income rises, they consume fewer carbohydrate-rich foods, such as rice, and eat more fish, meat, milk, eggs and fruit.

According to the Bangladesh Bureau of Statistics' (BBS) Household Income and Expenditure Survey 2010, the average daily fruit consumption per person in the country stood at 45 grams at the time.

The 2016 survey recorded a decline to 36 grams. The 2022 survey showed that fruit consumption had risen to 95.4 grams, although questions remain about the BBS survey findings.

The latest picture of fruit consumption remains unclear because the BBS has not conducted another Household Income and Expenditure Survey since 2022. However, many believe that rising prices have reduced fruit consumption.

Professor SK Roy, a nutritionist and chairperson of the Bangladesh Breastfeeding Foundation, told Prothom Alo, “Low-income people are eating less fish, meat and eggs, which means they are not meeting their vitamin and mineral requirements. International standards recommend that a person consume 400 grams of fruit a day. However, people in Bangladesh get to eat far less fruit than that.”

Government revenue rises as fruit becomes unaffordable

The Tariff Commission’s report shows that the total tax burden on apples, oranges, grapes, pears, pomegranates and other fruits stood at 89 per cent in the 2020–21 fiscal year, including import duty, supplementary duty, regulatory duty and value-added tax (VAT).

In other words, the government collected Tk 89 in duties and taxes on fruit worth Tk 100. The rate has since risen steadily, reaching 122 per cent in the current 2026–27 fiscal year. This means the government collects Tk 122 in duties and taxes on fruit worth Tk 100.

Bangladesh imposes a higher tax burden on fruit than neighbouring countries. The combined duties and taxes on apples and pears range from 60 to 61 per cent in India, 60 to 80 per cent in Pakistan, 25 to 35 per cent in Nepal and 50 to 60 per cent in Sri Lanka.

A report presented at a meeting at the Ministry of Commerce on 3 October stated that apples, oranges, tangerines and grapes were more expensive in Bangladesh than in India, Pakistan and Nepal. At the time, apples cost Tk 150–220 per kg in India, Tk 110–170 in Pakistan and Tk 160–240 in Nepal. In Bangladesh, the price ranged from Tk 380 to Tk 480 per kg.

The Tariff Commission’s report also shows that the government earned Tk 25.70 billion in revenue from fruit in the 2020–21 fiscal year. This figure rose to Tk 59.38 billion in the latest fiscal year, 2025–26.

Although government revenue has increased, fruit imports have declined. Bangladesh imported 800,000 tonnes of fruit in the 2020–21 fiscal year. By 2025–26, the volume had fallen to 571,000 tonnes.

Despite lower imports, the government’s revenue increased as higher prices raised the tax receipts. Meanwhile, the rising value of the US dollar, alongside duties and taxes, has also pushed up fruit prices.

Market analysts believe that declining imports of foreign fruit reduce competition, allowing domestic fruit sellers to charge higher prices as well.

Meanwhile, some people can eat only certain fruits because of physical conditions. For example, economist and former Bangladesh Bank Governor Ahsan H Mansur told Prothom Alo on September that he could not eat any fruit other than apples and pears. His physician had advised him against eating other fruits.

Children sometimes refuse to eat fruits other than a few specific varieties. Wahidur Rahman, a resident of Mirpur in Dhaka, faces this problem.

The private-sector employee told Prothom Alo, “My six-year-old son likes apples. He often says, ‘Dad, bring me some apples.’ I cannot tell him that apples cost Tk 400 per kg and that I cannot afford to buy them.”

He added that three guavas weigh about one kilogram and cost Tk 120, meaning each guava costs Tk 40. “So, can we really say that locally grown fruits are cheap?” he asked.

Recommendation to reduce duties and taxes

The Tariff Commission has recommended reducing duties and taxes on fruit. The commission said Bangladesh does not have sufficient commercial production of apples, oranges, grapes, pears and pomegranates.

As a result, the country depends entirely on imports of these fruits, and the existing tax structure does not protect any domestic horticultural industry by promoting competition.

The commission noted that imposing high duties and taxes on fruit as though it were a luxury item does not support a protective tariff policy. Instead, it causes abnormal price increases in the domestic market, putting nutrient-rich food beyond the reach of ordinary and low-income people. This also discourages legal imports.

Selim Raihan, professor of economics at the University of Dhaka and executive director of the South Asian Network on Economic Modeling (SANEM), told Prothom Alo, “There is no justification for treating fruit as a luxury item. The government increased duties and taxes because of the dollar crisis. That crisis no longer exists. Therefore, duties and taxes on fruit can be reduced.”