More than 38 tonnes of Indian green chillies entered Bangladesh through the Benapole Land Port in the last two days, a move aimed at easing the sharp rise in local market prices.
Customs are moving fast.
Customs speed up clearance as trucks arrive
Benapole Land Port Director (Traffic) Shamim Hossain said paperwork is being finalized immediately after each truck reaches the port. This rapid processing is intended to shorten the lag between arrival and market availability.
Several additional trucks loaded with the same produce are waiting on the Indian side of the border. Because Wednesday is a public holiday, the next wave of consignments is expected to cross on Thursday, the director added.
Cost breakdown shows why prices surge
Importers report that the purchase price on Indian invoices ranges from Tk 25 to Tk 40 per kilogram. However, the National Board of Revenue (NBR) applies a uniform duty of $0.50 per kilogram, which the agency translates to a base value of Tk 61.78 regardless of the actual invoice amount.
When insurance, landing charges, and duties are added, the cost climbs to Tk 64–79 per kilogram. Further expenses—including exporter fees, freight, bank letter‑of‑credit costs, currency adjustments, labor, customs, port fees, C&F charges, and transport to Dhaka—contribute another Tk 70 to Tk 80 per kilogram. The total landed cost therefore lands between Tk 135 and Tk 160 per kilogram.
Chilli importer Shahajan Kabir noted that traders are operating on thin profit margins. He expects the increased supply to push retail prices down, but warns that high freight, customs, and port fees could erode gains and even cause losses.
Related: Commission Asks for Cost and Safety Review
Another importer, Rafiqul Islam of Royal Enterprise, argued that duties should reflect the actual purchase price rather than a fixed minimum. He believes that aligning taxes with invoice values would allow sellers to offer greener chillies at lower rates.
Government permits and market response
The Ministry of Commerce confirmed that imports have begun from multiple Indian states after receiving governmental approval. In the first phase, 69 traders were granted permits for a combined total of 29,710 tonnes of green chillies.
Wholesale prices have started to ease as the cargo moves through various land ports. Benapole vegetable trader Ishaq Ali said the price was Tk 320 per kilogram two days ago. By Tuesday morning, the wholesale rate fell to Tk 280‑300, and later that afternoon it dropped further to Tk 250‑260 per kilogram.
Comparing this situation to previous seasonal spikes, the current import volume appears larger than typical off‑season shipments, which historically have struggled to meet demand quickly enough to affect prices. The coordinated effort to fast‑track customs and the broader permit rollout suggest authorities are trying to avoid the price volatility seen in earlier years.
Market observers note that the price trajectory will depend on how quickly the remaining trucks clear customs and reach retail outlets. If the supply chain holds up, the downward pressure on prices could continue, providing relief to consumers who have faced steep increases in recent weeks.
Consumers in Bangladesh hope the influx will stabilize household budgets as food costs recede.
Leave a Reply