Govt slashes import taxes on green chili, tomato

The government on Monday approved a proposal to sharply reduce the tax burden on imports of green chili and tomato to ensure uninterrupted supply and keep their prices affordable in the domestic market.

The decision was taken at a Cabinet meeting chaired by Prime Minister Tarique Rahman at the Secretariat.

Under the approved proposal, the existing total tax burden on the two items will be reduced from 61% to 20.5% for the first month after issuance of the relevant notification and to 31% in the following month, according to a press release issued by the Cabinet Division.

The reduced duty-tax rates will apply to imports of green chili (HS Code 0709.60.19) and tomato (HS Code 0702.00.19) for the specified period.

The proposal was placed by the Internal Resources Division.

According to the proposal, the government takes policy measures from time to time to ensure food security, stabilise prices of essential commodities and protect consumers’ purchasing power.

Prices of green chili and tomato often rise sharply due to seasonal production patterns, natural disasters, adverse weather, supply-chain disruptions and production shortages, it said. -UNB