Fresh fruit imports in Bangladesh have sharply declined due to high tariffs, currency depreciation, and persistent inflation, rendering many imported fruits unaffordable for the average consumer. The fresh fruit importers anticipate potential revisions in customs duties in the upcoming budget to address these concerns, amidst reports of decreased stocks and consumer demand.

In Bangladesh, imports of fresh fruit have been declining due to elevated duties, currency devaluation, and rising inflation. Importers point to increased tariffs on species such as apples, oranges, and grapes, categorizing these items as luxury goods that average consumers can no longer afford.

Md Serazul Islam, the president of the Bangladesh Fresh Fruits Importers Association (BFFIA), emphasized that imported fruit prices have escalated beyond the financial reach of typical consumers. He remarked, “The prices of imported fresh fruits went beyond the buying capacity of regular consumers due to various duties, depreciation of taka, and inflation.”

Importers are experiencing overwhelming costs; for instance, a unit of fruit valued at Tk 100 (approximately $1.15) incurs tariffs of Tk 136 ($1.56), alongside transportation costs that can push the total to Tk 250 ($2.87).

Data from Bangladesh Bank indicates a 31% depreciation of the taka against the US dollar between June 2022 and March 2025, with rates soaring from Tk 93 ($1.07) to Tk 122 ($1.40). Moreover, inflation has remained above 9% since March 2023, averaging 10.34% in 2024, with a slight decline to 9.94% in January 2025.

Duties imposed on fruits have more than doubled, increasing from 89.32% in FY 2021-22 to a staggering 136.20% in FY 2023. This hike is inclusive of a 30% supplementary duty, a 20% regulatory duty aimed at stabilizing the foreign exchange market, and several other taxes.

The impact of these policies is evident in import statistics; only 339,894 tons of fresh fruits were imported in FY 2024, down from 417,365 tons in FY 2020. While Ramadan typically increases consumption, traders report hesitance due to diminishing demand.

Currently, local sources meet only 40% of fruit demand, with 38 different varieties imported from 22 nations, predominantly apples, oranges, and grapes. Key suppliers are China, South Africa, India, Egypt, Bhutan, Brazil, Australia, and New Zealand.

Importers have rallied for the National Board of Revenue (NBR) to reconsider the high duties, arguing that the current regulatory duties lack relevance. The NBR has acknowledged the potential for reform in the upcoming budget.

Wholesale fruit traders in Chattogram report diminished stock levels and declining sales, as highlighted by Nasir Uddin Mahmud of the Chattogram Fruit Traders Association, who noted, “current fruit prices had exceeded the reach of middle-class consumers.”

In conclusion, Bangladesh’s fresh fruit import industry is currently facing significant challenges due to heightened duties, inflation, and currency depreciation, resulting in decreased consumption and accessibility for the average consumer. With official reports indicating a meaningful drop in import volumes and local supply meeting only a fraction of demand, there is a pressing need for policy review by the NBR to enable a more sustainable fruit import market moving forward.

Original Source: www.freshplaza.com

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