Banks barred from opening LCs for supplement imports without DGDA approval
The central bank noted that importing or marketing such products in violation of the law is a punishable offence.
The Bangladesh Bank has instructed all scheduled banks not to open letters of credit (LCs) or process telegraphic transfers (TTs) for the import of dietary and related supplements without prior approval from the Directorate General of Drug Administration.
The directive was issued through a circular today (29 April) and sent to all authorised dealer banks.
According to the circular, registration or prior approval from the DGDA is mandatory for the production, import, export, marketing, and distribution of dietary supplements, including herbal and nutritional supplements, medical nutrition products, and similar items.
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The central bank noted that importing or marketing such products in violation of the law is a punishable offence.
Despite the requirement, some importers have brought in supplement products without obtaining DGDA registration. In response, several importers filed separate petitions with the High Court seeking clearance of their goods.
The customs authorities later appealed to the Appellate Division of the Supreme Court of Bangladesh, which allowed the release of such goods subject to compliance with the law.
In light of the situation, Bangladesh Bank has now directed banks to refrain from opening LCs or processing TTs for supplement imports unless DGDA approval is secured beforehand.
