National Board of Revenue Chairman Md Abdur Rahman Khan today questioned how gold remains widely available in Bangladesh’s market despite little to no formal imports.
At a meeting with the Bangladesh Jewellers Association (Bajus), he said formal imports are not taking place as expected, even though several initiatives have been taken to formalise the trade and bring discipline to the sector.
“The market is still full of gold, though official data show no significant imports. These issues pose a major obstacle to establishing financial discipline, the rule of law, and good governance in the country,” he said at a programme at the NBR headquarters.
He said there was a time when jewellery and gold imports were completely prohibited, yet the metal continued to enter the country through unofficial channels.
“To formalise the trade, the government later introduced a gold policy and created legal import opportunities, including lowering duties,” he said.
“Even after that, we see that formal imports are not happening as expected.”
He added that some NBR officials might be involved in facilitating illegal imports.
At present, overseas travellers visiting Bangladesh can bring a gold bar of 117 grammes by paying Tk 5,000 per 11.664 grammes, or one bhori, as customs tariff under the NBR’s baggage rules. The total duty per gold bar stands at over Tk 50,000.
Formal commercial importers are required to pay a duty of Tk 20,000 per gold bar, Khan said.
The remarks by the NBR chief come at a time when gold is selling at record high prices of over Tk 232,000 per bhori—the highest in Bangladesh—driven by a surge in the international market.
Bajus President Enamul Haque Khan said the cumbersome import system has pushed up gold prices in the domestic market.
As a result, gold in Bangladesh costs at least Tk 30,000 more per bhori than in neighbouring India, Singapore, and Dubai, forcing many traders to rely on illegal sources, he said.
Bajus leaders alleged irregularities in the issuance of import licences, saying that although 18 licences were issued earlier, at least 10 recipients were not genuine traders, while many established jewellers were excluded.
“Licences were given to people who are not involved in the jewellery trade, even to cricketers, while real businessmen were deprived,” said Samit Ghosh Apu, former vice president of Bajus.
They also complained that banks are reluctant to provide loans to jewellery businesses, discouraging formal operations.
Bajus placed a five-point demand, including widening the scope of gold imports, simplifying the import process, and adjusting value-added tax rates in line with neighbouring countries.
