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Restrictions on powdered milk import

Tuesday, 21 April 2009


Md. Ashraf Hossain
THE commerce minister recently said that the proposed three-year import policy of the government would impose restrictions on the import of powdered milk. I would like to draw the attention of the government to reconsider the situation from consumers' point of view. The BNP-led government imposed high customs duty, VAT, supplementary duty, AIT, PSI etc., to discourage import of powdered milk on the plea that it would encourage domestic production of milk. It also introduced cash subsidy for cattle farming. But the programme could not be continued due to mismanagement of the subsidy fund. As a result, the people did not get adequate supply of milk over the last decade and a half.
Due to scarcity of milk, its price per liter has gone up to Tk 47.00 in the urban areas. It is now out of the reach of even the middle income groups. But the people of Bangladesh like to take milk every day. Mothers wish their kids to grow up on rice and milk. But, high price has made milk the rich people's food.
Especially, the kids need milk as supplementary food every day. The price must be within the reach of the common people. Only easy import of powdered milk at reduced rate of duty can make it affordable for the common people. The present government must protect the interest of the common consumers of milk. Restriction on imports with high duty could not increase domestic production of milk in last one decade and a half.
The government should, therefore, reconsider its decision to impose restrictions on the import of powdered milk, and, instead, reduce the import duty and simplify the import procedure. At the same time it should ensure the import of melamine free milk.