Govt to double lease fees for haats, bazars

The government is planning to overhaul the system used for leasing out space in markets – locally known as haats and bazaars – by setting up the fees based on per square feet, instead of the existing per square metre system.

In this regard, the Ministry of Land sent a letter to the finance ministry on December 1 for approval, insiders told The Business Post, adding that if approved, the overhaul would effectively double the existing lease fees.

The letter mentions that a circular will be issued on the matter following approval.

Authorities currently charges lease fee for markets based on per square metre of space, which is Tk 500 for areas in the city corporations and divisional sadars, Tk 300 for district sadars, Tk 150 municipalities excluding district sadars, Tk 50 for upazila sadars, and Tk 25 for other areas.

As per proposal, the government will charge lease fees for per square foot of space, which will be Tk 100 for areas in city corporations and divisional sadars, Tk 60 for district sadars, Tk 30 for municipalities excluding district sadars, Tk 10 for upazila sadars, and Tk 5 for other areas.

One square metre is roughly 10.76 square feet. So, after the land ministry proposal is approved, anyone leasing market space in a city corporation area will have to pay around Tk 1,000 for roughly the same space that is currently available for Tk 500.

On condition of anonymity, a land ministry official said, “The prices of everything have increased, but the lease fees did not go up in the last 21 years. Under the circumstances, the land ministry has taken an initiative to hike lease fees from next year.”