Finance
Onion India is increasing the duty on onions, the impact will increase in Bangladesh
Own Correspondent, Dhaka, 26 August 2023: Government of India is going to increase the duty again in the case of onion export. However, it is not yet known how much the new tariff will be. Indian businessmen told the importers of Bangladesh on mobile phones. The businessmen of Bangladesh believe that imposing new tariffs before the week of 40 percent tariff will affect the import of goods.
It is known that on Friday night, Indian onion exporters informed importers of Hili land port about the new tariff on their mobile phones. Indian exporters also said that the new tariff price will be effective from Saturday.
Indian businessmen claim to Bangladeshi businessmen that the supply of onion has decreased in the market of that country due to disruption of production due to floods caused by heavy rains in different parts of the country. For this reason, the Indian government imposed a 40 percent duty on onion exports on August 19 to discourage exports.
Mubarak Hossain, an onion importer of Hili land port, said that on August 19 of this month, the Indian government imposed a 40 percent duty on onion exports. A week later, it decided to increase the tariff again. However, it is not yet clear how much duty has been increased.
He also said that till now India used to export onion to Bangladesh by paying 40 percent duty on the LC which we used to open at the price of 150-200 US dollars in the case of onion export. But in this case, they have issued new instructions, irrespective of the price of LC, onions have to be exported after paying the customs duty of US$ 325 per ton of onion to Indian customs.
Hili Land Port Import Exporter Group President Haroon Ur Rasheed confirmed that the tariff rate for onion exports will be increased to USD 325. However, no notification has been received in this regard yet.
