Salt imported for making caustic soda available in open market

Though Bangladesh is self-sufficient in salt production and import of edible salt is currently banned in the country, some unscrupulous traders are importing salt for production of caustic soda. But instead of using the salt in production of caustic soda, the imported item is sold in the market causing huge revenue loss to the government every year.
Experts and affected people said price of salt in the market is higher than caustic soda. The importing cost of salt is much higher than caustic soda. As a result, many people are importing salt using HS code of caustic soda.
According to National Board of Revenue (NBR), there are 5 percent advance income tax and 5 percent customs duty on caustic soda at the import stage. However, the importers have to pay 93 percent duty and tax to import one kilogram of edible salt and 25 percent for industrial salt.
According to the NBR, Samuda Chemical Complex Limited, KEN Park Bangladesh, SMDS Bangladesh, STL Bangladesh and TCCL Bangladesh, and MAEC Group BD etc are the top importers of caustic soda in the country.
Industry Ministry Sources said Bangladesh produces 3.5 lakh tonnes of caustic soda against the demand of 4 lakh tonnes every year. But about four lakh tonnes of caustic soda is being imported every year.
Meanwhile, the demand for salt in the country is about 17 lakh tonnes per year, almost all of which is produced in Bangladesh. According to Commerce and Industry ministries, there is a shortage of 2-2.5 lakh tonnes of salt in the country.
But traders and salt mill owners claimed that there is a shortage of 10 lakh tonnes of salt in the country. Giving misinformation, an unscrupulous business group is importing salt, very often in the name of caustic soda.

-B