The government will lift import restrictions on salt in January 2009 to comply with World Trade Organisation rules, despite opposition from domestic salt producers who fear the impact on the local industry. The decision was taken in an inter-ministerial meeting held at the commerce ministry recently.

Bangladesh has maintained import restriction on 17 products especially salt and poultry products. Although the import restrictions on salt will now be removed, salt imports will be subject to taxes and duties. Domestic salt producers oppose the removal of the restrictions. Currently, 90 percent edible salt demand and 70 percent of commercial salt demand are fulfilled by local production. Neighbouring countries have a strong base of salt production and most of them are more competitive than Bangladesh.

During the meeting, a representative from the National Board of Revenue said the local salt industry can be protected by imposing the highest ceiling of import duty, supplementary duty, value added tax and advance income tax on foreign salt.