VAT to be reduced on edible oil import

Commerce Minister Tipu Munshi Monday said the government has taken a decision to reduce value-added tax (VAT) on edible oil at its production, import and consumer level. Currently, there is 15 percent VAT on import level of edible oil, which will be reduced by 10 percent to fix at five percent. Tipu Munshi said this while addressing a press briefing held at the Ministry Conference Room marking the World Consumer Rights Day-2022.

Commerce Ministry Senior Secretary Tapan Kanti Ghosh, Director General of Directorate of National Consumer Rights Protection AHM Shafiquzzaman were present, among others, on the occasion.

The minister said Prime Minister Sheikh Hasina has already directed to reduce the VAT on import of edible oil by 10 percent to fix it at five percent while a circular in this regard would be issued within one or two days.

Besides, he informed that the existing 15 percent VAT at production level while five percent VAT at consumer level would be waived. The government is firm to ensure the smooth supply chain of the essential items including edible oil while it would also go tough if there is any such necessity, the commerce minister said.

He informed that changes would be brought into the DO system to break the barriers in the supply chain of edible oil which would compel the suppliers for supplying the essential items within a stipulated timeframe.

Noting that there would be no crisis of essential items during the Holy Month of Ramadan, Tipu said, "We've sufficient stock of essential items which would last till the month of Ramadan...stern action will be taken if anyone hoard essential items in illegal way."

Urging the countrymen not to hoard edible oil in their respective homes centering the Holy Month of Ramadan, he said there would be crisis in the market if everyone tries to stockpile edible oil in their houses. "Please purchase edible oil according to your need...I'm calling upon you not to procure edible oil beyond your need during the month of Ramadan."

The minister informed that the World Consumer Rights Day-2022 would be observed tomorrow while the Directorate of National Consumer Rights Protection has chalked out elaborative programmes to observe the Day.

"In order to protect the rights of consumers, the Directorate has launched a hotline number 16121 titled "Bhokta Batayan". Anyone can lodge complain through dialing this hotline number if the rights of the consumers is violated. If the allegation is proved following investigation, then the complainant would be entitled to enjoy 25 percent of the imposed fine immediately," he said.

Tipu also called upon the mass media to create awareness among the countrymen to protect the rights of the consumers. The theme of this year's World Consumer Rights Day 2022 is "Fair Digital Finance".

It was informed at the press briefing that a total of 49,968 drives were conducted by the Directorate from FY10 to FY21. Out of those drives, some 1,20,102 firms were fined while some Taka 82,45,67,042 was realized as fine money.