Bangladesh Bank has allowed delayed payment of bills for the import of 11 essential food items during the holy month of Ramadan. The products are – rice, wheat, onion, pulses, edible oil, sugar, eggs, chickpeas, peas, spices and dates. These products can be imported under 90 days suppliers or buyers credit.
On Monday (November 11), Bangladesh Bank informed this information in a circular.
The central bank says that this decision has been taken to facilitate transactions in the case of imports and the facility will be applicable till March 31 next year. This decision will help the importers to import these products. Because the demand for these products increases before Ramadan.
Earlier, on November 6, Bangladesh Bank issued a notification relaxing the previous 100 percent margin or security value for importing goods. Now that margin will be determined based on customer-bank relationship.
In view of the increase in demand for consumer goods on the occasion of the holy month of Ramadan, import credit for rice, wheat, onion, pulses, edible oil, sugar, eggs, chickpeas, peas, spices and dates to ensure the necessary supply by keeping the prices at a bearable level by simplifying the import of these products, the notification said. Instructions are given to keep the cash margin rate to be maintained at a minimum level on the basis of banker-customer relationship.
Bangladesh Bank has said that it is advised to prioritize the establishment of import credit to ensure the supply of the mentioned products in the domestic market. This directive will remain in force till March 31, 2025.
According to industry insiders, importers will need less cash due to relaxation of LC margin. It will also reduce import costs. As a result, the prices of these products in the market are expected to decrease slightly.
