The national budget for fiscal year 2025-26, totaling Tk 7,90,000 crore, will be presented today (June 2) by Finance Advisor Salehuddin Ahmed at 3 PM. With a revenue target of Tk 4,99,000 crore, the budget is expected to introduce sweeping changes in customs duties and VAT—impacting a wide range of products.
Key Highlights:
- Steel and Construction: VAT on imported rods and billets is set to increase by 20-23%, potentially raising prices by Tk 1,400 per ton.
- Electronics: VAT on refrigerators and air conditioners may double from 7.5% to 15%.
- Motorcycles & Bicycles: Possible rise in duties on engine parts despite local production presence.
- Cigarette Paper: Supplementary duty on cigarette paper may increase from 60% to 100%.
- Mobile Phones: VAT on locally assembled and manufactured phones may go up by 2-2.5%.
- Battery Rickshaws: Customs duty on DC motors may rise from 1% to 15% to curb unregulated transport.
- Cosmetics: Minimum import prices on products like lipstick may double, pushing retail prices up.
- Plastic Products: VAT on single-use plastic items and tableware may increase from 7.5% to 15%.
- Yarn & Garments: VAT hike on domestic yarn (from Tk 3 to Tk 5/kg) may drive up prices of gamchas, lungis, and local textiles.
- Helicopters: A new 10% import duty is being introduced.
- Imported Goods Affected by Price Hike:
- Chocolate (minimum customs duty up from $4 to $10/kg)
- Foreign toys, marble, granite, screws, door locks, and electrical fittings
While the budget aims to increase revenue collection, it attempts to protect domestic industries and promote sustainability by reducing VAT on eco-friendly products. The speech will be broadcast live on Bangladesh Betar and BTV.
