Bangladesh withdraws 5pc import duty on onion

The government has withdrawn 5 per cent duty on onion import to reduce the price of this essential kitchen item in the local market, reports BSS.

The decision has been taken as per the directive of prime minister Sheikh Hasina, said a finance ministry press release today.

The importers will enjoy such privilege till 31 March next year (2021).

The press statement said the government had earlier imposed a 5 per cent duty on onion import in the current fiscal year (FY21) to ensure fair price for the local onion farmers as well as to motivate the local farmers in onion production and thus reduce dependence on onion import.

But, under the present circumstances, the decision to withdraw this 5 per cent import duty has been taken since the price of onion went up in recent times.

Earlier on 16 September, finance minister AHM Mustafa Kamal had said that the government would consider withdrawing 5 per cent import duty on onion.

The press release also said the recent Indian ban on onion export to Bangladesh has triggered an upward trend in its prices in Bangladesh.