The Cabinet has approved a proposal to reduce duties and taxes on imports of green chillies and tomatoes for a limited period to ensure food security, stabilise prices and protect consumers’ purchasing power.
The proposal, placed by the Internal Resources Division, was approved at a Cabinet meeting chaired by Prime Minister Tarique Rahman on Monday, according to a statement issued by the Prime Minister’s Office.
Green chillies and tomatoes are widely consumed essential agricultural commodities. Prices of the commodities often surge due to seasonal production, natural disasters, adverse weather, supply disruptions and production shortfalls, putting additional financial pressure on consumers.
To ensure an uninterrupted supply and keep prices affordable, the government proposed reducing the applicable duties and taxes for a specified period.
Under the proposal, the combined tax rate will be reduced from the existing 61% to 20.5% in the first month after the notification is issued and 31% in the following month.