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No import ban on industrial salt: NBR

Doulot Akter Mala | Wednesday, 21 December 2011


Doulot Akter Mala
The National Board of Revenue (NBR) Tuesday said it did not impose any restrictions on the import of industrial salt in the country after a confusion saw Chittagong Port barring all salt laden cargoes meant for factory use. The tax administration has clarified that only edible salt --- or sodium chloride --- has been banned by the commerce ministry in an effort to ensure better price for hundreds of thousands of salt farmers in the country's coastline and islands. "Import of industrial salt will not come under the restriction. We have sent letters to the customs houses with clarifications of the commerce ministry to release the industrial salt-laden consignments immediately," a senior NBR official said. On Monday the board's customs wing and the commerce ministry issued separate explanatory notifications, allaying the fears of the manufacturers that such ban was in place at the port and they were now free to import industrial salt, he added. "We hope our letters will clear the air," he added. Officials said the confusion followed a recent commerce ministry Statutory Regulatory Order (SRO), which slapped import ban on sodium chloride in the wake pleas from the hard-hit salt farmers. But ambiguity in the order prompted the Chittagong Customs House to bar consignments carrying all types of salt at the Chittagong seaport. CCH officials also sought further clarifications from the NBR. The move instantly met with sharp reactions from manufacturers such as Bashundhara, Square, Unilever Bangladesh and other companies, whose cargoes worth millions of dollars were barred at the port. According to the CCH commissioner, Basundhara Paper alone had around 494 tonnes of imported calcium carbonate stuck up at the CCH, as the customs officials could not decide whether the commerce ministry ban encompasses this type of salt. The CCH has sought to know whether other recognised manufacturers, excepting chemical plants, are allowed to import salt as raw materials for their industry. Industry insiders said private enterprises have incurred a loss of Tk 3.0 million due to the confusion. Basundhara's calcium carbonate cargoes have been stuck up in the port since December 7, hitting production at the country's largest paper plant. According to existing customs rules, import of boulder or other kinds of refined salt is restricted for all factories excluding chemical producers. But many factories use salts as raw materials for their products such as medicine, leather, toiletries and cosmetics. Officials said after the issuance of the clarifications, these manufacturers are now allowed to import the raw materials without any hindrance at the ports.