Bangladesh's salt industry is increasingly disrupted by erratic weather linked to climate change, with heavy rainfall, prolonged cloudy conditions, and extreme heat affecting production in the country's coastal salt fields.

Salt cultivation depends heavily on temperature, humidity, and wind conditions during the dry season. Intense heat between April and May allows farmers to harvest salt within four to nine days.

The impact was particularly severe in FY26, when adverse weather caused salt production to fall 28% below the target. The shortfall has pushed wholesale raw salt prices up 50% year-on-year, prompting the Bangladesh Small and Cottage Industries Corporation (Bscic) to recommend importing 150,000 tonnes of raw salt.

Production fluctuating

Bscic data covering 66 years show that the sector once regularly produced more than domestic demand.

In FY72, production reached 637,000 tonnes against a demand of 388,000 tonnes, achieving 164.18% of the target. Some 20,225 farmers cultivated 26,288 acres, producing 24.24 tonnes per acre.

The highest amount of land under salt cultivation was recorded in FY2006, when 70,050 acres produced 1.575 million tonnes against a target of 1.17 million tonnes.

However, the sector later faced losses and shrinking cultivable land. Large infrastructure projects, including power plants, a deep-sea port and fuel facilities, were developed in Moheshkhali and surrounding areas of Cox's Bazar, the country's main salt-producing region.

Nearly 4,000 acres of salt-producing land in Moheshkhali alone were lost to infrastructure development. The number of salt farmers fell from 44,574 in FY06 to 27,697 in FY21.

The sector made a major recovery in FY24, producing 2.438 million tonnes against demand of 2.528 million tonnes on 68,505 acres. Productivity reached 35.59 tonnes per acre, the highest production recorded in 62 years.

But production has declined since then.

In FY25, farmers produced 2.251 million tonnes on 69,198 acres, with productivity falling to 32.54 tonnes per acre.

In FY26, production dropped further to 1.945 million tonnes on 67,757 acres. Productivity fell to 28.70 tonnes per acre, while the target achievement rate stood at only 71.63%.

"Bscic is working to expand cultivable land and develop the salt industry," said Zafar Iqbal Bhuiyan, deputy general manager of the organisation's salt industry development office.

Through 12 salt centres in Cox's Bazar and Chattogram's Banshkhali, Bscic provides farmers with training, loans, technological support and other assistance, he said.

According to a Bscic report, the FY26 salt production season lasted 203 days, from 12 November 2025 to 25 May 2026.

Farmers could not work in the fields due to adverse weather.

The situation became particularly damaging after 26 April, when continuous heavy rain affected salt fields in Chattogram and Cox's Bazar.

This came at a critical time because extreme heat normally allows farmers to harvest salt within four to nine days, compared with around 14 days under normal conditions.

Weather-related disruptions were also recorded in previous seasons. Production was halted for 14 of 201 days in FY22, 19 of 202 days in FY23, 19 of 184 days in FY24 and 16 of 187 days in FY25.

Syed Mostafa Sadik Rizvi, a salt farmer in Moheshkhali, told TBS that he produced around 1,500 maunds of salt from two acres of land during the latest season.

"Despite favourable temperatures, we had to harvest the salt 15-20 days earlier because of rain," he said.

"If the weather had remained favourable, we could have produced 100-150 maunds of salt per kani of land during that period," he added.

Raw salt price rises 50%

The production shortfall has pushed up raw salt prices.

According to Bscic's latest report, raw salt is currently selling at Tk380 per maund, or 40kg, compared with Tk253 a year earlier.

The price has therefore increased by Tk127 per maund, or 50%.

"Production has declined this year because of adverse weather, creating a supply shortfall," said Nurul Kabir, president of the Bangladesh Salt Mill Owners Association.

"The shortage and demand have pushed up salt prices towards the end of the season. The government has taken an initiative to import salt. We hope the situation will remain stable," he told this newspaper.

BSCIC estimates annual salt demand at 2.2-2.5 million tonnes. Processing and iodisation of raw salt result in system losses of 17%-20%.

Demand for iodised edible salt exceeds 800,000 tonnes a year, while industrial demand is around 1 million tonnes.

Around 500,000 tonnes of sulphate and dry sodium sulphate are imported annually for industrial use. These are used in industries including ready-made garments, textiles, detergents and glass manufacturing.

Different forms of salt are required to produce around 120 types of products in Bangladesh, while domestic salt is also used by the leather industry.

Import plan to prevent shortage

The country consumes around 200,000 tonnes of salt a month.

As of 12 September, total stocks of raw salt, including old and new stocks, stood at 526,000 tonnes, while mills held around 150,000 tonnes.

Bscic officials said the existing stock would be insufficient to meet demand until the new production season gets fully underway.

Bangladesh has been importing raw salt for years when necessary to maintain supply. Outside industrial imports, the country last imported 150,000 tonnes of raw salt in FY24.

Bscic officials said import announcements are often made around September and October, when salt prices tend to rise, and concerns over stockpiling emerge. Such announcements also discourage mill owners from creating artificial shortages and raising prices.

Following a meeting this month, the industries ministry recommended importing 150,000 tonnes of salt based on Bscic's demand and stock projections. The proposal is awaiting approval from the commerce ministry.

Sarwar Alam, chief of Bscic's salt cell and general manager of the corporation, said production remains very low at the beginning of the season despite salt cultivation starting in November.

"According to our projections, existing stocks will last until November. But a shortage will emerge from the first week of December," he told TBS.

"If demand is high at the beginning of the season, farmers may harvest immature salt from the fields. This reduces quality and increases system losses," he said.

"These factors have been considered in recommending the import," he added.

Bangladesh's ready-made garment (RMG) exports to the United Kingdom reached $915.63 million during the first two months (July-August) of fiscal year 2026-27, registering a 3.74 percent year-on-year growth driven primarily by a strong rebound in August.

During the corresponding July-August period of the previous fiscal year (FY2025-26), RMG exports to the UK market stood at $882.62 million, according to data from the Export Promotion Bureau (EPB) compiled by trade research platform Bangladesh Apparel Voice.

The cumulative earnings of $915.63 million in the first two months already account for 20.86 percent of the total $4,388.55 million earned from garment exports to the UK across the entire FY2025-26.

The monthly export average so far in FY2026-27 stands at $457.82 million, running significantly ahead of the flat monthly average benchmark of $365.71 million recorded in the full FY2025-26.

However, the positive trajectory was driven almost entirely by a robust 10.53 percent surge in August, which effectively offset a 2.44 percent year-on-year drop recorded in July.

Mohiuddin Rubel, Founder & CEO of Bangladesh Apparel Voice, highlighted that August's strong recovery successfully lifted overall apparel exports to the UK market out of negative territory following a sluggish start in the first month of the fiscal year.

Bangladesh Bank (BB) has extended the deadline for raw jute exporters to apply for loan restructuring facilities, allowing distressed exporters additional time to regularise their classified loans.

Under a new directive issued to managing directors and chief executive officers of all scheduled banks, the facility will cover loans classified as Sub-standard (SS), Doubtful (DF) and Bad/Loss (B/L) as of September 30, 2026, BSS reports.

Exporters seeking the facility will have to submit applications to their respective banks by September 30, 2026, along with a 2 percent down payment of the total outstanding loan amount.

The central bank has also extended the deadline for banks to settle and dispose of applications received under the facility until December 31, 2026.

The latest decision effectively gives raw jute exporters additional time to address financial difficulties and regularise their accounts amid sector-specific operational and financial complexities.

The directive was issued under Section 45 of the Bank Company Act, 1991, with reference to coordination with the Financial Institutions Division of the Ministry of Finance.

The central bank said the provisions of BRPD Circular No. 21 issued on October 13, 2021; BRPD Circular No. 27 issued on July 7, 2022; and BRPD Circular No. 06 issued on February 22, 2023 will continue to apply, with all other terms and conditions remaining unchanged.

The Bangladesh Jewellers Association (Bajus) has cut gold prices in the domestic market after two consecutive increases, reducing the price of 22-carat gold by Tk1,691 per bhori to Tk2,32,930, including VAT.

Bajus announced the revised prices in a notice issued this morning (26 September). The new rates came into effect at 10am the same day.

According to the notice, the price of pure gold, locally known as tezabi gold, has declined in the local market. Considering the overall market situation, Bajus revised the prices of gold, including VAT.

Under the new rates, a bhori (11.664 grams) of 22-carat gold will cost Tk2,32,930, while 21-carat gold will cost Tk2,22,491 per bhori. The price of 18-carat gold has been set at Tk1,91,056 per bhori, while traditional-method gold will cost Tk1,56,064 per bhori.

Bajus said the revised prices will remain effective at all jewellery shops until further notice. Labour charges will apply separately depending on the design of the jewellery.

As VAT is included in the selling prices of gold and silver jewellery, jewellers cannot collect VAT separately from customers.

The previous Bajus rules will remain applicable to jewellery exchange and purchase after excluding applicable VAT, labour charges and stone costs.

Bajus last adjusted gold prices on 19 September, raising the price of 22-carat gold by Tk1,691 per bhori to Tk234,621, including VAT.

So far this year, Bajus has adjusted gold prices 117 times.

Of these, prices were raised on 58 occasions, reduced on 58 occasions and adjusted once for VAT.

Silver prices have also been reduced in the domestic market. The price of 22-carat silver has been cut by Tk291 per bhori to Tk4,841, including VAT.

The new price of 21-carat silver is Tk4,607 per bhori, while 18-carat silver will cost Tk3,966 and traditional-method silver Tk3,033 per bhori.

Bajus has adjusted silver prices 71 times so far this year, raising them on 36 occasions and reducing them on the remaining 35 occasions.

Bangladesh Parjatan Corporation (BPC) has proposed 60 tourism development projects across the country at an estimated cost of Tk19,090 crore to build new facilities and upgrade infrastructure at potential destinations.

The projects cover the Chattogram Hill Tracts, Cox's Bazar and Chattogram, Sylhet, coastal islands, Rajshahi and northern districts, the Khulna-Sundarbans region, and Dhaka and its surrounding areas.

The proposals include tourism complexes, hotels, eco-friendly facilities, entertainment centres, cable cars, handicraft and heritage tourism facilities, training centres and other visitor amenities.

A tourism master plan prepared by the Bangladesh Tourism Board identified 1,498 tourism spots nationwide to assess and develop the country's tourism potential systematically.

"Of these, 60 development projects, estimated to cost around Tk19,000 crore, have been prioritised and submitted to the Ministry of Civil Aviation and Tourism," BPC Chairman Md Shamimuzzaman said.

The ministry has since sent the proposal to the Planning Ministry for approval, he said.

Shamimuzzaman said the projects would help build infrastructure needed to make Bangladesh's tourism sector more competitive and increase its contribution to the economy.

BPC General Manager (Planning) Md Ziaul Haque Howlader said the projects would not necessarily be financed entirely by the government.

"Some of the projects are planned for government financing, while others will be implemented through public-private partnerships or private investment," he told TBS.

Foreign investors could also be involved in larger projects, while financing arrangements would be determined individually at a later stage, he said.

The proposed investment comes as the government is separately pursuing a PPP-based model for BPC's existing tourism facilities to attract private capital and modernise state-owned properties.

BPC currently operates 53 establishments, including hotels, motels, restaurants, bars, picnic spots and tourist information centres. Officials say most have generated weak financial returns over the years, making major upgrades difficult through government financing alone.

The first major project under the PPP initiative is the proposed redevelopment of Hotel Shaibal in Cox's Bazar into an international-standard integrated tourism complex on nearly 132 acres of government land.

The largest regional allocation is proposed for Chattogram and Cox's Bazar, where nine projects would cost around Tk5,980 crore.

The plans include tourism facilities in the coral island area of Cox's Bazar, Patenga, Cumilla and Sabrang, along with diversified attractions, night-time entertainment and other activities aimed at encouraging longer stays and higher visitor spending.

In the Chattogram Hill Tracts, projects are planned for Kaptai, Bandarban and Rangamati to expand facilities and rehabilitate or redevelop existing attractions, including suspension bridges.

Around Tk3,540 crore has been proposed for tourism development in coastal and island areas, including Taltali in Barguna, Rangabali, Char Bijoy, Amtali, Kuakata, Hatiya, Nijhum Dwip and Manpura.

The projects would add accommodation and other visitor facilities to destinations with tourism potential but limited infrastructure.

BPC has proposed 12 projects in Sylhet at an estimated cost of Tk3,460 crore, including international-standard tourism facilities and tourism complexes.

The broader plan also covers destinations in the Mymensingh region, including Sherpur, Durgapur, Jamalpur and Nalitabari.

Four projects worth around Tk1,720 crore have been proposed for the Khulna-Sundarbans region to expand tourism facilities around the Sundarbans and develop higher-quality accommodation and other infrastructure.

The plans also include five-star hotels and training centres in Bagerhat and Khulna.

Seven projects worth around Tk1,510 crore have been proposed to develop existing and potential tourist destinations and supporting facilities in Rajshahi and the northern districts.

Around Tk2,900 crore has been proposed for tourism infrastructure in Dhaka and surrounding areas.

The plans include multipurpose tourism complexes, cable cars, handicraft centres and heritage-based tourism attractions. A cable car is also proposed at Hatirjheel.

Devise an agreed formula through wider consultations to execute the proposed special exit facility for defaulting borrowers so that viable businesses are not hurt and credit discipline not breached.

Stakeholders and financial experts Saturday made the call at a roundtable as the government is about to launch a crash course to dispose of loads of classified loans the economy is ridden with.

They also stressed the need to distinguish between wilful defaulters and those who defaulted for genuine reasons, strengthen coordination among regulators and financial institutions, ensure reasonable rescheduling where appropriate, and assess loan -recovery cases individually.

The participants further called for stronger enforcement about non-repayment, good governance and fair treatment of borrowers, while bankers emphasised the need for institutional coordination in recovering non-performing loans (NPLs).

They were speaking at a roundtable titled "Special Exit Facility for Classified Loans: Balancing NPL Recovery, Business Sustainability, and Credit Discipline", organised by the International Business Forum of Bangladesh (IBFB) at its conference room in Dhaka.

Dr Shah Md Ahsan Habib, professor at the Bangladesh Institute of Bank Management (BIBM), presented the keynote paper, while IBFB President Lutfunnisa Saudia Khan delivered the opening remarks.

In his keynote, Dr Ahsan said Bangladesh's large stock of classified loans became a problem for both banks and businesses, as uncollected credit ties up bank capital, delays new lending and leaves viable businesses short of working capital.

He said the gross NPL ratio had risen from 9.00 per cent at the end of 2023 to 30.60 per cent at the end of 2025, after peaking at 35.73 per cent in September 2025.

According to the March 2026 Banking-Sector Update cited in the paper, the NPL ratio stood at 32.7 per cent against total loans of about Tk17.84 trillion, implying roughly Tk5.83 trillion in classified loans.

At the end of 2025, gross NPLs stood at Tk5.57 trillion, with Bad/Loss loans accounting for roughly 94 per cent. The reported provision shortfall was Tk1.91 trillion.

Dr Ahsan said the special exit facility, introduced in June this year for Bad/Loss loans, should be assessed against realistic recovery prospects rather than being used simply to reduce the reported NPL ratio.

He has noted that the facility allows a negotiated lump-sum settlement with board approval and specified interest-waiver flexibility and will remain available until December 31, 2026.

However, most of the discussions at the event focused on how the facility should be implemented and how loan recovery could be made more effective.

Former BIBM director- general Dr Toufic Ahmad Choudhury said "political commitment from the government is necessary to recover classified loans".

He stressed the importance of distinguishing between wilful and unwilful defaulters and suggested that cases should be examined individually rather than applying a blanket approach.

His comments came amid growing concern over the size of classified loans and the effectiveness of existing recovery mechanisms.

Dr Abu Yusuf, economist and professor at the University of Dhaka's Department of Development Studies, raised the issue of enforcement against borrowers who fail to repay their loans.

He questioned how the authorities and financial institutions could ensure effective recovery "in cases where borrowers did not meet their repayment obligations".

Prof Md Mamun Habib, professor at Independent University, Bangladesh, emphasised the importance of good governance and fair practices in implementing the exit facility for the defaulters.

He stressed that any settlement mechanism should be applied "transparently and consistently so that the facility does not create unfair advantages for particular borrowers".

A representative of Pubali Bank PLC referred to the Money-lending Act 1832, and stressed the need for reasonable rescheduling of loans where borrowers have the capacity to continue their businesses and repay their obligations.

The point reflected a broader concern at the discussion that a one-time settlement may not always be the most suitable option for a viable business facing temporary liquidity constraints.

Dr Ahsan's paper also distinguishes between exit settlement and restructuring, noting that a viable business without sufficient lump-sum cash may require monitored restructuring rather than a one-time settlement.

Md Khairul Anam Mohiuddin, executive vice-president of Southeast Bank PLC, and Syed Abu Naser Bukhtear Ahmed, chairman of Agrani Bank PLC, shared their views on loan recovery and institutional coordination.

They emphasised the need for coordination among Bangladesh Bank, the Ministry of Finance and other relevant stakeholders to address the recovery of classified loans.

The discussion also highlighted the practical difficulties faced when borrowers have exposures with multiple banks and financial institutions.

Ali Reza Iftekhar, adviser of Bank Asia PLC, stressed consulting stakeholders before issuing such a major regulatory circular.

He called for engagement with banks, businesses and other concerned parties so that practical challenges can be identified before implementation.

The participants broadly agreed that wider consultation would help identify implementation difficulties and make major regulatory measures more effective.

IBFB President Lutfunnisa Saudia Khan, in her opening remarks, stressed constructive dialogue among policymakers, banks, businesses and other stakeholders.

The discussion also focused on the need to balance recovery of bad loans with the survival of businesses that remain commercially viable.

Dr Ahsan's paper notes that a lump-sum settlement could free a business from an unserviceable legacy debt but could also consume the cash required for inventory, suppliers, wages and taxes. It recommends that businesses assess their liquidity before committing to a settlement.

Business community's concerns: Business leaders at the event also highlighted the importance of maintaining access to finance for viable enterprises.

Humayun Rashid, managing director and CEO of Energypac Power Generation Ltd, Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), Saumitra Kumar Mutsuddi, head of BSRM, Khadem Mahmud Yusuf, managing director and CEO of Bangladesh Petrochemical Company Ltd (BPCL), and Engr Utpal Kumar Das, managing director of Protec Electronics Ltd, participated in the discussion.

Banking-sector representatives included Kazi Mahmood Sattar, chairman of IDLC, Mohammad Jamal Uddin Mazumder, additional managing director of Islami Bank Bangladesh PLC, Mohammad Firoz Alam, chief risk officer of City Bank PLC, and Ali Reza Iftekhar of Bank Asia.

Dr Md Ezazul Islam, director -general of BIBM, also attended the event.

Apex Footwear has decided to raise up to Tk500 crore by issuing redeemable preference shares to refinance its existing loans and reduce debt burdens.

The company's board of directors approved the decision during a board meeting held on Saturday evening (26 September), according to a price sensitive information (PSI).

The issuance of preference shares remains subject to approval from the company's shareholders and the Bangladesh Securities and Exchange Commission (BSEC).

The board recommended a total 30% dividend for the financial year ended 30 June 2026. The package comprises 15% cash (Tk1.50 per share of Tk10 face value) and 15% stock (15 bonus shares for every 100 existing shares).

The company reported a profit growth for the year under review. Its earnings per share (EPS) increased to Tk7.91 for FY2025-26, up from Tk6.90 in the previous financial year.

Its restated Net Asset Value (NAV) per share rose to Tk355.25 as of 30 June 2026, compared to Tk349.35 in the corresponding period of 2025.

However, cash flows took a significant hit. The company reported a net operating cash flow per share (NOCFPS) of minus Tk90.97, down sharply from a positive Tk45.19 recorded in FY2024-25.

To seek shareholder approval for the recommended dividends, share issuance, and charter amendments, Apex Footwear has scheduled its annual general meeting (AGM) for 29 November.

The record date for determining eligible shareholders for the dividend and AGM participation has been fixed for 15 October.

Asian shares were trading mixed in early Thursday trading, as investors tried to digest the recent swings in oil prices and the U.S. bond market.

Japan's benchmark Nikkei 225 gained 1.3% in morning trading to 65,883.41, as some chipmakers got a boost from the recent interest in artificial intelligence. Australia's S&P/ASX 200 fell 0.7% to 8,700.50.

Hong Kong's Hang Seng lost 0.5% to 24,715.95, while the Shanghai Composite dipped 0.8% to 3,902.33. Trading was closed in South Korea for the Chuseok autumn harvest holiday.

In energy trading, benchmark U.S. crude fell 0.82% to $91.40 a barrel. Brent crude, the international standard, lost 0.83% to $102.22 a barrel.

The price for a barrel of Brent remains much higher than the roughly $72 it cost before the war with Iran began and worries are running high that the war with Iran will keep oil bottled up in the Middle East for a long time. Talks are continuing with mediators between U.S. and Iranian officials, but nothing concrete has come from it yet.

Overnight, Wall Street got hit by pressure from the U.S. bond market after a surprisingly strong report on the economy raised worries about inflation.

The S&P 500 fell 0.8% after finishing the prior day just 0.4% below its record set last month. The Dow Jones Industrial Average dropped 352 points, or 0.7%, while the Nasdaq composite sank 1.1% from its own all-time high.

The yield on the 10-year Treasury jumped to 5.10% from 4.96%, a considerable move for the bond market. High yields undercut prices for stocks and other investments, while also slowing the economy by making it more expensive for everyone to borrow money.

Wednesday's jump briefly sent the 10-year yield near 5.14%, back to where it was in 2007 before the global financial crisis caused yields to crater. Yields have accelerated recently because of worries about high inflation, the U.S. government's heavy debt and other concerns.

Worries about inflation got a jolt after a preliminary report suggested growth in U.S. business activity surged to its strongest level in more than five years.

U.S. inflation has remained so stubbornly high that the Federal Reserve raised its short-term interest rate last week for the first time in three years. Fed Gov. Michael Barr said in a speech this week that further hikes "are likely to be needed" to get inflation to the Fed's 2% target.

Although the Bank of Japan recently raised its benchmark interest rate to stem the slide in the Japanese yen, the move was largely figured in for weeks. And so the yen hasn't really bounced back. A weak yen works as a negative for oil-importing Japan when oil prices are soaring.

In currency trading, the U.S. dollar edged down to 157.94 Japanese yen from 158.30 yen. The euro cost $1.1382, little changed from $1.1388.

All told, the S&P 500 fell 58.61 points to 7,706.03. The Dow dropped 352.10 to 51,511.59, and the Nasdaq composite sank 308.24 to 26,936.04.

The European Union is facing an energy price crisis as fallout from the Iran war roils oil and gas markets, the bloc’s energy chief said on Friday in a letter seen by Reuters that urged countries to consider measures to curb natural gas demand.

“We are facing a price crisis linking to a supply crisis,” EU Energy Commissioner Dan Jorgensen said in a letter to EU countries’ energy ministers.

Europe is heavily dependent on imported oil and gas.

Foreign suppliers cover about 80 percent of the bloc’s gas needs, leaving it highly exposed to surging global energy prices caused by the Iran war’s effective closure of the Strait of Hormuz, normally a transit route for 20 percent of the world’s oil and liquefied natural gas.

Europe has not yet faced supply shortages, but is grappling with soaring prices, leaving some countries struggling to fill gas storage ahead of winter, when demand for home heating peaks.

EU-wide gas storage is about 70 percent full, 12 percentage points below the same time last year, data from Gas Infrastructure Europe showed.

Jorgensen said that the EU is better prepared now than it was in winter 2021 when Russia squeezed Europe’s gas supplies by reducing deliveries, thanks to increased LNG import capacity, more renewable energy and reduced gas demand.

But he urged governments to step up preparations for the winter.

“I invite you to consider taking or continuing to take measures that can sustain [gas storage] injections or reduce gas and electricity demand for as long as necessary,” Jorgensen said.

Such measures could include limiting temperatures in public buildings, preventing outdoor heating and switching off unnecessary public lighting, Jorgensen said.

A European Commission spokesperson did not immediately respond to a request for comment.

Prime Minister Tarique Rahman has sought international partners support to transform Bangladesh into a global manufacturing hub, calling for adequate financing, greater market access, technology transfer and capacity-building assistance to ensure a smooth and sustainable graduation from the least developed country (LDC) category.

Addressing the 81st session of the United Nations General Assembly at the UN headquarters in New York on Thursday evening local time, the prime minister said Bangladesh was implementing a broad range of programmes to turn its working-age population into a skilled workforce and create more employment opportunities.

“Bangladesh seeks the support of its development partners in this endeavour,” he said.

On Bangladesh’s graduation from the LDC category, Mr Rahman stressed the need for continued international assistance to make the transition sustainable.

“Continued support in areas such as adequate financing, enhanced market access, technology transfer and capacity-building is essential to ensure a sustainable graduation for Bangladesh and other countries,” he said.
Highlighting the importance of regional economic integration, he said countries could contribute to one another’s prosperity through trade facilitation, improved connectivity and meaningful cooperation, particularly at the regional level.

He said the government had allocated $50 million in the current fiscal year to support start-ups led by young entrepreneurs, researchers and innovators.

The prime minister also called for greater access to advanced technologies, knowledge and research opportunities, saying Bangladesh’s large young population and expanding digital capabilities offered significant opportunities.

“We do not want today’s digital divide to become tomorrow’s artificial intelligence divide,” he said.

He stressed the need to ensure that developing countries were not left behind in the rapid advancement of science and technology.

“No country should be left behind in this journey of scientific progress,” he said.Follow Federal Policy

Mr Rahman also called on the United Nations to develop effective policy frameworks to ensure that the benefits of artificial intelligence and social media could be harnessed positively.

On the Rohingya crisis, the prime minister said Bangladesh had been hosting more than 1.2 million forcibly displaced Rohingyas from Myanmar for over nine years, putting immense pressure on the country’s resources, environment, security and host communities.

He said the crisis originated in Myanmar and its solution lay there.

“The only solution to this problem is the safe return of the displaced Rohingya population to their homeland in Myanmar,” he said.

He called for firm and effective support from the United Nations and the international community to resolve the crisis, while urging continued life-saving humanitarian assistance until repatriation became possible.

The prime minister also called for stronger global cooperation to ensure safe, orderly and regular migration, stressing the need to protect the rights, dignity and welfare of migrant workers.

Turning to climate change, he said Bangladesh contributed little to global carbon emissions but continued to bear the brunt of its adverse impacts.

He called for stronger global action on climate justice, climate finance and adaptation support ahead of the COP31 climate conference.

Mr Rahman also highlighted the government’s plans to plant 250 million trees over the next five years, excavate 20,000 kilometres of canals and implement the Teesta Master Plan and the Padma Barrage project.

Outlining the government’s development strategy, he said it had adopted a three-R approach centred on recovery, rehabilitation and reconstruction to rebuild the economy and society.Try CAD Software

He said Bangladesh was entering a period of significant opportunities and was working to turn its demographic dividend into a skilled workforce.

“No state can become strong by keeping its people disempowered,” he said.

The prime minister expressed his vision of building a prosperous, self-reliant, welfare-oriented democratic Bangladesh where all citizens, regardless of political affiliation, religion or ethnicity, could live with equal rights, dignity and security.

He said the government wanted to build a country where young people could pursue their dreams without fear or barriers, women could live with confidence and every child could realise their full potential.

“Bangladesh First: Bangladesh for All,” he said.

The United Nations' Economic and Financial Committee (Second Committee) is set to discuss Bangladesh's request to defer its least developed country (LDC) graduation by three years on 7 October, with the final decision to be taken by the General Assembly.

The Second Committee will consider recommendations sent by the UN Committee for Development Policy (UNCDP) through the Economic and Social Council (Ecosoc), based on Bangladesh's request for more time to prepare for a sustainable graduation.

According to information on the UN website, the Second Committee's 81st session will run from 1 October to 25 November. The recommendations on Bangladesh and Nepal's requests for a three-year deferral of their LDC graduations are scheduled for discussion at its 7 October meeting.

Bangladesh is currently scheduled to graduate from the LDC category on 24 November.

Officials from the Ministry of Commerce said the Second Committee will send the recommendation adopted at its meeting to the General Assembly for consideration and voting before Bangladesh's graduation date.

Permanent representatives of UN member states will vote for or against the resolution on behalf of their respective countries. According to officials, the decision will take effect if most member states vote in favour.

How will the decision be made?

Mohammad Hafizur Rahman, former director general of the WTO Cell at the Ministry of Commerce, told TBS that the UN Committee for Development Policy had made its recommendation on Bangladesh's request and sent it through Ecosoc to the General Assembly's Second Committee.

"Now the Second Committee will hold its meeting and send the resolution adopted there to the General Assembly. The final decision will be taken there," he said.

Bangladesh has sought a three-year deferral of its graduation timeline, arguing that it needs additional time to prepare for a sustainable transition.

Prime Minister Tarique Rahman has sent a letter to the United Nations requesting the extension.

In response, the UNCDP sent a report to Ecosoc saying Bangladesh had met all three LDC graduation criteria. However, as Bangladesh had requested a deferral, the graduation could be postponed for some time, according to the recommendation.

Ecosoc subsequently sent the UNCDP recommendation to the General Assembly's Second Committee.

Nepal has also requested a three-year deferral of its LDC graduation. Member states will vote on Nepal's request alongside Bangladesh's.

What happens after 7 October?

The Second Committee's role is to consider the recommendation and forward its decision to the General Assembly. The General Assembly will then consider the resolution and take the final decision through a vote by member states.

With Bangladesh's graduation date set for 24 November, the process is expected to be completed before that deadline.

Spanish business leaders and entrepreneurs see significant trade and investment opportunities in Bangladesh's textiles, pharmaceuticals, infrastructure, renewable energy, agribusiness, information technology, logistics and consumer goods sectors.

They made the observation at a seminar titled "Bangladesh: A Strategic Partner in the Global Economy", held in Madrid on Thursday, according to a press release issued yesterday.

Madrid Chamber of Commerce President Ángel Asensio highlighted Bangladesh's market potential, describing the country as one of Asia's emerging and important markets.

He said Bangladesh is moving towards sustainable growth and economic stability, while noting that the European Union is one of the country's major trading partners, with bilateral trade reaching around €23.3 billion in 2025.

Asensio also highlighted the potential for green investment in Bangladesh. He said there are opportunities for around $172 billion in green investment in Bangladesh during 2018–2030 in areas including green buildings, transport, climate-smart agriculture, infrastructure and waste management.

He identified export diversification as both a major challenge and an important opportunity for Bangladesh's economy.

Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Administrator Md Fazlul Haque called on European businesses to invest in Bangladesh, saying the government is encouraging foreign investment.

He said there are plans to offer major incentives, including free land for investors in the renewable energy, logistics and infrastructure sectors, while the government would purchase electricity from such projects at fixed prices.

Although Bangladesh faces some challenges in doing business, he said the country offers significant opportunities and potential for profitable investment.

The FBCCI administrator also invited a business delegation from the Madrid Chamber of Commerce to visit Bangladesh.

In response, the Madrid Chamber president said a high-level business delegation is planning to visit Bangladesh around November.

Bangladesh Ambassador to Spain Md Masudur Rahman attended the seminar organised by the Madrid Chamber of Commerce.

EuroCham Bangladesh President Nuria Lopez, international trade consultant Pablo Araujo, Molins Executive Vice President for Asia and Africa Tarek Elba, and Recover Global Director of Sustainability Ana Rhodes participated in the panel discussion.

Invest Bangladesh member Nahian Rahman Rochi and Export Promotion Bureau (EPB) Vice-Chairman and CEO Mohammad Hasan Arif joined the seminar via video conference and highlighted Bangladesh's trade and investment prospects.

A B2B networking session between Bangladeshi and Spanish business representatives was held at the conclusion of the programme.

FBCCI Secretary General Md Alamgir and members of the FBCCI business delegation visiting Spain, along with representatives of the Madrid Chamber of Commerce and EuroCham Bangladesh, also attended the event.

A 26-member FBCCI business delegation, led by Administrator Md Fazlul Haque, left for an 11-day tour of Europe on 23 September with the aim of boosting bilateral trade with European countries, establishing industrial linkages and attracting foreign direct investment (FDI).

The Dhaka Stock Exchange (DSE) is set to launch a dedicated digital platform within two months to allow investors to directly buy, sell and redeem units of open-ended mutual funds.
Currently, investors are required to visit the offices of fund managers in person to purchase or redeem units of open-ended mutual funds.

The proposed system aims to ease the investment mechanism by bringing the order-management process under a technology-driven platform.

“The development of this platform is an important step towards making investment in mutual funds easier, more convenient, transparent and technology-driven, expected to go live by mid-November,” said DSE Managing Director Nuzhat Anwar.

Under the new system, investors will be able to see each fund’s performance and place orders online through their respective stockbrokers. The brokers will facilitate the purchase and redemption of units through the platform.

The platform will also enable investors to compare the performance of different funds in making informed investment decisions.

Currently, asset managers generally publish performance data on their respective platforms on a weekly basis. Investors therefore have to visit multiple platforms to collect information about different funds, making it cumbersome to compare performance and investment opportunities.

The initiative for a single integrated platform is also aligned with global practices.

“It is part of the exchange’s broader effort to modernise capital-market infrastructure and encourage greater participation in mutual funds,” said the DSE managing director.

Welcoming the DSE move, Mir Ariful Islam, managing director and CEO of Sandhani Asset Management, said the dedicated platform was expected to strengthen the distribution network of mutual funds and broaden their reach to investors.

“Investors, especially retailers, are expected to prefer mutual funds managed by professional asset managers,” he said.

Presently, the number of open-ended mutual funds is 106, and the assets under management (AUM) are equivalent to around Tk 58 billion as of August this year.

On the other hand, there are 34 closed-end mutual funds listed on the Dhaka bourse, and the assets under management are equivalent to around Tk 43 billion.

How will the platform work?

Unlike listed securities, open-ended mutual fund units will not be traded through continuous order matching on the stock exchanges. Instead, investors will select any fund and submit a subscription order through a participating stockbroker.

The stockbroker will act as a selling or dealing agent of the respective asset manager and help execute purchase requests through the DSE platform.

Once the purchase process is complete, investors will receive the corresponding mutual fund units in their beneficiary owner’s (BO) accounts. Units will be issued at the applicable net asset value (NAV) upon adjusting any charges as per the relevant fund rules.

The same platform will allow investors to submit redemption requests for units they already hold.

A redemption order will be processed through the relevant stockbroker and the asset manager. Units will be redeemed at the applicable price determined by the asset manager, subject to the fund’s rules and procedures.

That means investors should not expect intraday price movements or continuous trading in open-ended fund units similar to listed equities.

Instead, the subscription or redemption prices will be determined in line with the valuation and pricing mechanism prescribed by the regulator and followed by the respective fund manager.

Therefore, the proposed system will differ fundamentally from the DSE’s regular share-trading platform. In share trading, buyers and sellers submit orders that are matched through the exchange’s trading mechanism, with market prices changing according to supply and demand.

The platform for open-ended funds will primarily serve as an integrated digital order-collection and processing channel for intended transactions.

Single digital channel

DSE expects the system to make mutual fund investment more accessible by providing investors with a single digital channel for purchasing and redeeming units of eligible funds.

The platform would also make the process more convenient by allowing investors to use desktop and mobile applications instead of relying exclusively on physical or manual channels.

The initiative is intended to support greater investor participation, improve service delivery and contribute to the modernisation of capital-market infrastructure.

It will also bring the distribution process of relevant asset management companies onto a common technology platform, allowing investors to access multiple open-ended mutual fund products simultaneously through respective stockbrokers.

The government will procure 1.55 lakh tonnes of non-urea fertiliser from Canada, Russia and Saudi Arabia to ensure adequate supplies for the Boro rice season, the country’s principal crop.

The Cabinet Committee on Government Purchase (CCGP) yesterday approved four separate proposals under government-to-government (G2G) arrangements and state-level agreements.

The approval comes amid concerns over fertiliser supplies after farmers in several parts of the country recently protested over shortages during the ongoing rainfed Aman season, the second-largest rice crop.

Of the total, 80,000 tonnes of muriate of potash (MOP) fertiliser will be imported from the Canadian Commercial Corporation (CCC) under an agreement between CCC and the Bangladesh Agricultural Development Corporation (BADC). The price per tonne will be $383.80.

Under a state-level agreement between Russia’s JSC Foreign Economic Corporation (Prodintorg) and BADC, the government will import 35,000 tonnes of MOP fertiliser at $383.80 per tonne.

A separate state-level agreement has been approved for the import of 40,000 tonnes of diammonium phosphate (DAP) fertiliser from Saudi Arabia’s MA’ADEN at $885 per tonne, at a total cost of Tk 437 crore.

Separately, in earlier procurement decisions, the government had approved the Agriculture Ministry’s plan to buy 35,000 tonnes of MOP from Russia under a state-to-state contract at $383.80 per tonne.

It had also approved the import of 40,000 tonnes of DAP from Morocco under a state-to-state arrangement. The Bangladesh Agricultural Development Corporation will import the MOP and DAP.

In another earlier decision, the high-powered committee had approved the purchase of 40,000 tonnes of granular urea from Saudi Arabia at $396.66 per tonne.

Biman Bangladesh Airlines has signed an agreement with Boeing to purchase 11 additional aircraft, the US aircraft manufacturer announced early Thursday (Wednesday afternoon New York time).

The signing ceremony was held on the sidelines of the 81st United Nations General Assembly (UNGA) in New York.

The national flag carrier has placed an order for 11 787 Dreamliner and 737 MAX aircraft to expand and modernise its fleet, according to a Boeing press release.

In a separate release on Thursday morning, Biman said that the airline has signed a supplemental agreement with Boeing to purchase 11 additional aircraft, building on its earlier order for 14 planes.

The new purchase includes five 787-10 Dreamliners and six 737-8 jets. It follows Biman's largest-ever aircraft order earlier this year, when it agreed to purchase 14 Boeing aircraft worth $3.7 billion.

Rumee A Hossain, chairman of the Biman Bangladesh Airlines board of directors, and Brad McMullen, Boeing's senior vice president of Commercial Sales and Marketing, signed the agreement on behalf of their respective organisations.

Government leaders attending the event included Civil Aviation and Tourism Minister M Rashiduzzaman Millat, State Minister for Foreign Affairs Humaiun Kobir, Bangladesh Investment Development Authority (BIDA) Chairman Chowdhury Ashik Mahmud Bin Harun, Prime Minister's Adviser Mahdi Amin, US Secretary of Commerce Howard Lutnick and US Deputy Secretary of State Christopher Landau.

The latest agreement marks another major step in Biman's fleet expansion programme, amid continued competition between US aircraft manufacturer Boeing and European aerospace giant Airbus for a larger share of the national carrier's future fleet.

The previous agreement signed on 30 April for 14 aircraft, comprising eight 787-10 Dreamliners, two 787-9s and four 737-8s.

With the latest agreement, Biman's planned Boeing acquisitions have increased to 25 aircraft.

Biman is also pursuing a separate proposed acquisition of 10 Airbus aircraft — four A350-900 widebody jets and six A321neo narrowbody aircraft.

If both packages proceed, the national carrier's planned aircraft acquisition pipeline would reach 35 aircraft — 25 from Boeing and 10 from Airbus — compared with its current fleet of 19 aircraft.

The Boeing-Airbus competition has drawn particular attention as Bangladesh seeks to expand and modernise Biman's fleet while maintaining aviation and commercial ties with both the United States and Europe.

The April Boeing order was the largest aircraft purchase in Biman's history. It includes the airline's first 787-10 Dreamliners and 737 MAX aircraft, with deliveries scheduled between 2031 and 2035.

"Today's supplemental agreement is an important step in Biman's ongoing fleet renewal and network expansion. This order responds to specific requirements in our fleet plan. Our team's working relationship with Boeing over the years has given us confidence in the delivery and support arrangements," said Rumee A Hossain, chairman of Biman Bangladesh Airlines.

"As the national flag carrier, we remain committed to developing Biman's network and capabilities in a manner that responds to the connectivity needs of the people of Bangladesh, our expatriate community, business and tourism. This agreement is one part of a broader, carefully considered plan to strengthen the country's international connectivity in the years ahead," he added.

Biman currently operates Boeing 787, 777 and 737 Next-Generation aircraft across its international network, connecting Bangladesh with major hubs in the Middle East, South and Southeast Asia, and Europe.

According to Boeing, the 787 Dreamliner and 737 MAX families offer 20-25% greater fuel efficiency than the aircraft they replace, supporting Biman's strategy to modernise its fleet and expand global connectivity.

"Biman's follow-on order reflects its strategic approach to fleet renewal and capacity growth, and underscores the strength of our long-standing partnership," said Brad McMullen, Boeing's senior vice president of Commercial Sales and Marketing.

"These additional 787 Dreamliner and 737 MAX airplanes will deliver the efficiency, versatility and reliability Biman needs to support Bangladesh's growing role in global aviation."

Boeing said the addition of the 737-8 and 787-10 would strengthen Biman's existing Boeing fleet and ensure operational commonality.

The 737-8 offers greater range for the airline's single-aisle network, while the 787-10 provides higher capacity to complement Biman's existing 787-9 and 787-8 aircraft.

The Asian Development Bank (ADB) has approved a $200 million loan to help Bangladesh modernise and strengthen its electricity distribution network in fast-growing industrial and urban areas around Dhaka.

The project aims to improve the reliability, efficiency and resilience of electricity supply for businesses and households, according to an ADB statement yesterday.

Under the Power Distribution Network Enhancement Project, the Bangladesh Rural Electrification Board (BREB) will upgrade distribution infrastructure across 13 Palli Bidyut Samities serving rapidly growing industrial and urban areas around the capital.

The project will install 1,150 megavolt-amperes (MVA) of new transformer capacity across 52 substations and increase the capacity of 12 existing substations by 115 MVA.

It will also construct or upgrade more than 2,600 kilometres of overhead and underground distribution lines and install insulated conductors to improve network reliability, efficiency and safety. Another 900 fault locator sets will be deployed to speed up fault detection and service restoration.

The project will also build river-crossing transmission structures and switching stations to modernise system operations.

“This project will help future-proof the power system in key growth corridors around Dhaka through advanced technologies, stronger infrastructure, and enhanced resilience measures,” said ADB Country Director for Bangladesh Qingfeng Zhang.

The ADB loan is part of a broader financing package for the project. The government will provide about $108 million in cofinancing, while BREB will contribute about $141 million. The Republic of Korea’s e-Asia and Knowledge Partnership Fund will provide a $1 million technical assistance grant.

Oil prices extended declines on Wednesday as investors eyed improved Gulf supply after Saudi Arabia restarted operations at a critical pipeline. Hopes for a diplomatic solution to the US-Iran war also weighed on prices.

Brent crude futures fell $1.09, or 1.1 percent, to $98.16 a barrel as of 0421 GMT while West Texas Intermediate futures fell $1.50, or 1.67 percent, to $89.01 per barrel. Both contracts have declined for six consecutive sessions to around two-week lows.

While US President Donald Trump warned on Tuesday that he could "annihilate" Iran, he also said his envoys Steve Witkoff and Jared Kushner had held productive talks with mediators of Iran to end the war.

"I think there's a lot of momentum for them to make a deal," Trump said.

Optimism around improved supply and a push to end the nearly seven-month conflict drove benchmark Brent down to close below $100 a barrel on Tuesday for the first time since September 8.

“The market is currently feeling more constructive about the global oil supply picture than it was a few weeks ago,” said Tim Waterer, chief analyst at KCM Trade.

“The meeting of US and Iranian delegations in New York has given traders a glimmer of hope ... Despite the continued tough rhetoric, including threats of ‘annihilation,’ the market is choosing to price in the possibility of talks.”

On Tuesday, Saudi Arabia restarted operations on its East-West Pipeline to the Red Sea, three sources briefed on the matter said, with signs of an increase in Middle Eastern oil flows.

Drone attacks, which Saudi Arabia has blamed on Iraqi militia, forced the kingdom to shut the pipeline on September 11, halting crude loadings at the kingdom's Yanbu port.

Since the US-Israeli war on Iran disrupted oil flows from Saudi Arabia and its Gulf neighbours through the Strait of Hormuz, Riyadh has been using the pipeline to reroute around 4 million barrels per day — around 4 percent of global supply — to Yanbu.

Saudi on Tuesday also offered more barrels to Asian refiners for lifting from locations outside of the Strait of Hormuz.

Iraq, too, is increasing oil exports, its oil minister, Basim Mohammed, said on Tuesday. The country is exporting more than 3 million bpd, he said, and expects to boost exports via Turkey to more than 600,000 bpd.

Provisional data from shiptracking firms Vortexa and Kpler pegged Iraqi crude exports in August at 2.3 million and 2.17 million bpd, respectively, up from July's level but below February's pre-war level of 3.7 million and 3.362 million bpd.

Adding to downward pressure on oil prices, industry data showed US crude inventories rose by 1.8 million barrels in the week to September 18. Analysts polled by Reuters had expected a decline.

Official weekly inventory figures from the US Energy Information Administration are due at 10:30 a.m. ET (1430 GMT).

Economic growth has remained “resilient” in many countries despite the war in the Middle East, the OECD said Wednesday as it slightly raised its GDP forecasts for the year.

Global economic growth is now seen at 2.9 percent, a 0.1-point increase from estimates in June by the Paris-based group of 38 industrialised countries.

Even though energy prices have soared since the United States and Israel launched strikes against Iran last February, the OECD noted that “broader financial conditions remain supportive”, as seen in rising equity markets and continued access to credit.

“Sizeable oil inventories, additional supply from outside the Gulf economies and discretionary government support measures all helped to cushion the impact on the global economy,” the group said in its quarterly update.

It also cited the massive investments in artificial intelligence and the resulting boost to production and trade, which could result in “stronger growth than projected”.

But global growth has slowed sharply from the 3.4 percent chalked up last year, and the group trimmed its 2027 growth forecast by 0.1 percentage point, to three percent.

Governments have started raising interest rates to contain inflation pressures stemming from high oil and gas prices, which have sent diesel and other fuel costs to highs not seen in years.

That has sent government bond yields to levels not seen since the global financial crisis of 2007-2008, pushing up borrowing costs even as countries worldwide grapple with high debt and deficits.

“Rising bond yields underline more than ever the need for enhanced efforts to contain and reallocate government spending, improve public-sector efficiency and strengthen revenues to ensure longer-term debt sustainability and maintain the ability of governments to react to significant shocks,” the OECD said.

It also warned of prolonged inflation if the Mideast war continues, with price increases in the G20 group of developing and emerging economies seen at 4.1 percent overall this year.

“Other significant downside risks include potential weather-related supply shocks, including a very strong El Nino, that adversely impact agricultural production and add to rising food price pressures,” it said.

For the United States, it expects GDP to expand 2.2 percent this year, up 0.2 points from its June forecast, while the eurozone could see growth of one percent, also up 0.2 points.

Japan’s growth is now seen at 0.8 percent, up 0.2 points, while the forecast for the Chinese economy, the world’s second largest, was held steady at 4.5 percent.

For the G20, the OECD sees growth of 3.1 percent.

Bangladesh Bank has decided to keep its policy interest rate unchanged at 9.5% to closely monitor the economic impacts of recent domestic and international shocks, including volatile global energy prices and a domestic fuel price hike.

The decision was taken at the 14th meeting of the Monetary Policy Committee (MPC) held at the central bank's head office in Dhaka today (23 September), chaired by Bangladesh Bank Governor Mostaqur Rahman.

At the meeting, the MPC reviewed recent domestic and global macroeconomic developments and noted a downward trend in headline inflation. However, inflation remains above the government's target ceiling of 7.50% for fiscal year 2026-27.

The committee identified several risks that could put renewed pressure on inflation. These include prolonged conflicts in the Middle East, which have kept global energy markets volatile, as well as the government's recent increase in domestic fuel prices.

The implementation of a new national pay scale could also add to inflationary pressures, according to the MPC.

Against this backdrop, the central bank opted for a cautious approach, deciding to assess how the domestic and international shocks affect Bangladesh's economy before making any changes to the existing policy rate.

The MPC will particularly monitor their impact on gross domestic product growth and consumer price inflation.

The meeting was attended by MPC members, including Deputy Governor Dr Habibur Rahman, economist Dr Mustafa Kamal Mujeri, BIDS Director General Dr AK Enamul Haque, Dhaka University Economics Department Chairperson Dr Firdousi Naher and MPD Executive Director Dr Imam Abu Sayed.

The National Board of Revenue's (NBR) intelligence wing has detected the possible import and illicit marketing of around 363 tonnes of cigarette filter-making raw materials in the name of a non-existent trading firm, potentially putting around Tk 2,450 crore in government revenue at risk.

The Central Intelligence Cell (CIC) of the NBR has also found information on imports of cigarette raw materials in the names of four other non-existent firms.

Officials said letters have been sent to the respective banks seeking details of their import transactions and bank accounts.

Recently, the CIC seized a consignment of 48 tonnes of acetate tow, a raw material used in making cigarette filters, which was awaiting clearance at Chattogram’s custom house.

The consignment was imported by Unique Traders of Motijheel on August 18. However, customs officials found that the firm did not exist at its stated address during a field inspection.

The clearing and forwarding agent, Faiz Trading Company Ltd, has ensured payment of Tk 16.44 crore in import-stage duties and taxes for clearance of the consignment.

According to a CIC calculation, the same raw material could have generated around Tk 324 crore in revenue if it had been used to manufacture cigarettes locally.

Import documents show that Unique Traders imported a total of 363 tonnes of cigarette raw materials during the 2025-26 fiscal year. The CIC is now investigating the actual use of the materials and their supply chain.

“Under the gazette issued on August 24, no trading firm is allowed to import cigarette raw materials. As Unique Traders imported the consignment before the gazette was issued, it was technically eligible for clearance. But we seized it after receiving information about the firm and the consignment,” a CIC official told The Daily Star, requesting anonymity.

“As no importer came forward, the C&F agent contacted us and paid the applicable import-stage revenue,” the official said.

He said the firm has also been asked to provide details of where the 363 tonnes of raw materials cleared in the past were sold and pay VAT on those sales.

“Who used and is using these raw materials is now being investigated,” he added.

In a field inspection report submitted on August 19, Munawar Mursaleen, deputy director of the Customs, Excise and VAT Commissionerate, Motijheel, said that the firm did not exist at its stated address.

“Although the firm submitted returns for the last two tax periods, it did not show any sales in those returns,” he said in the report.

According to a CIC press release, valuation documents submitted by two cigarette manufacturers show that around 8,937 sticks of cigarettes can be produced from one kilogramme of acetate tow.

On that basis, the 48,143 kilogrammes of acetate tow in the seized consignment could produce around 43.02 crore sticks, or about 4.30 crore packets, assuming 10 sticks per packet.

The CIC said that if the cigarettes were from the medium segment, with a retail price of Tk 92 per packet and applicable VAT and supplementary duty accounting for around 82 percent of the retail price, the government could have collected around Tk 324 crore in revenue.

For high-segment cigarettes, assuming a retail price of Tk 160 per packet, the potential revenue would be around Tk 564 crore, it said.

Similar findings in earlier investigation

Importing cigarette raw materials in the names of non-existent firms to evade VAT and manufacture illicit cigarettes is not a new phenomenon.

On June 1, 2024, The Daily Star published an investigative report titled “Councillor's illegal cigarette trade” on the issue.

Following the report, an investigation committee was formed with Mohammad Fakhrul Alam, then director general of the Directorate of Customs Intelligence and Investigation, as its head.

The committee, comprising officials from Customs Intelligence and the CIC, submitted its report in December that year after several months of investigation.

The report found that a syndicate was importing cigarette raw materials in the names of at least 20 trading firms and using them to manufacture counterfeit cigarettes. Eleven of those firms were identified as non-existent.

The committee recommended banning imports of cigarette raw materials by all entities except VAT-registered cigarette and bidi manufacturers.

Although the government subsequently doubled the import duty on cigarette raw materials for trading firms, it failed to completely prevent such imports and the production of illicit cigarettes.

Finally, through a gazette issued on August 24 this year, the government restricted the import of cigarette raw materials to cigarette and bidi manufacturing companies only.