Date prices soar as importers cry foul over high duties
The organisation of importers highlighted that the current assessed values do not align with international market prices, leading to an unreasonable escalation of tariffs.
The prices of dates in Bangladesh have more than doubled in the wholesale market, raising concerns about affordability for consumers during the upcoming Ramadan.
This surge is attributed to high import duties levied on the fruit, which importers claim are based on inflated assessment values.
The Bangladesh Fresh Fruits Importers Association held a press conference at the National Press Club yesterday to voice their concerns. According to the association, the import duty on 1kg of dates, which ranged from Tk5.45 to Tk21.84 before last Ramadan, has now increased to Tk54 to Tk208.
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The culprit, they allege, is the customs department's assessment value used to calculate import duties. For example, a carton of dates imported from Iraq for $800-900 is assigned an assessment value of $2,500, nearly three times the actual cost.
"It is not logical to charge duty on dates at almost three times the price," said Sirajul Islam, president of Bangladesh Fresh Fruits Importers Association. He urged the customs department to revise the assessment value based on the actual international market price.
According to traders, dates in the wholesale market previously priced at Tk90-110 last year are now selling for Tk140-150. Similarly, dates in the Tk120-130 range are being sold for Tk250, while those priced at Tk200 are now reaching Tk400, and those in the Tk300-350 range are now sold for Tk600.
This issue is further compounded by the recent reduction in import duty from 25% to 15%, which traders claim has had minimal impact on the overall cost.
The current situation has created a logjam at ports, with around 400-500 containers of dates awaiting clearance. Importers are hesitant to release them due to the inflated assessment value, leading to a potential shortage during Ramadan when demand peaks.
"This situation has already created an unstable situation in the market," warned Sirajul Islam. "People are not able to eat dates because of the price."
Traders also warned that if assessed values are not adjusted to reflect actual market prices, the dates' market will continue to witness escalating prices, impacting consumers, traders, and the overall stability of the market.
They urged the customs department to address this issue promptly to ensure fair pricing and accessibility of dates.
