The government has withdrawn 5 percent duty on onion import to reduce the price of the kitchen essential in the local markets, said a finance ministry press release on Sunday.
On directives from Prime Minister Sheikh Hasina, National Board of Revenue has withdrawn 5 percent import duty on onion until March 31 next year, an official at the ministry said.
Following the Indian government's decision to ban export of onion, its price has been going up in the local markets, which has prompted the government to withdraw the import duty on onion.
Earlier on Wednesday, Finance Minister AHM Mustafa Kamal said the government will consider withdrawal of import duty on onion.
The release said the government had earlier imposed a 5 percent duty on onion import in the current fiscal year (FY21) to ensure fair price for the local onion farmers as well as to motivate the local farmers in onion production and thus reduce dependence on onion import.
But, under the present circumstances, the decision to withdraw this 5 percent import duty has been taken since the price of onion went up in recent times.
