Bangladesh set to buy sugar from Brazil at Tk 53 per kg

With VAT and regulatory duties, the sugar will cost Tk 78 per kg

Published : 10 Nov 2022, 04:52 PM
Updated : 10 Nov 2022, 04:52 PM

The government is set to buy sugar at Tk 53 from Brazil at a time when the price has shot past Tk 100 in the domestic market with local refineries struggling to produce enough sweetener due to a gas crisis. 

The sugar will be sold to the poor with so-called family cards at a subsidised price through the government’s trading arm the Trading Corporation of Bangladesh. 

But VAT and regulatory duties will add at least another Tk 25 to the cost of per kg of sugar, taking the TCB-imported sugar’s price to Tk 78 a kg. 

The Cabinet Committee on Government Purchase approved a proposal of the commerce ministry on Thursday to buy 12,500 tonnes of refined sugar from the South American state through an international tender. 

The cost of sugar for the consignment has been set at $524.21 per tonne. Bangladesh will spend Tk 659.84 million in total for the purchase, said Sayeed Mahbub Khan, an additional cabinet secretary. 

The retail prices for sugar produced at private refineries of the country has been set at Tk 90-95 per kg. However, the prices soared to as much as Tk 120 each kg due to a supply crisis over the past month. 

Brigadier General Ariful Hassan, the chairman of TCB, said: “[Buying sugar from Brazil] will save money and also meet the shortage.”

Toufique Imrose Khalidi
Editor-in-Chief and Publisher