[🇧🇩] Jewelry Industry in Bangladesh

Source: https://thefinancialexpress.com.bd/trade/bajus-unhappy-over-imposition-of-higher-tax-vat-on-jewellery-in-proposed-budget

Bajus unhappy over imposition of higher tax, VAT on jewellery in proposed budget
Published :
Jun 09, 2024 21:30
Updated :
Jun 09, 2024 21:38

Jewellery traders on Sunday expressed dismay over the proposed national budget for FY2024-25, as it has failed to meet their expectations in encouraging the jewellery business in the country.

The 5 per cent VAT imposed on the sale of gold ornaments should be reduced to 3 per cent, they demanded. If implemented, Tk 10 billion of revenue will be collected from the jewellery sector, the jewellers said.

"The proposed budget has failed to meet the expectations of the jewellery industry. Although the NBR has repeatedly promised to address the problems and meet the demands of traders in the pre-budget meetings, there is no reflection of it in the proposed budget," said their association at a news conference in the city.

Bangladesh Jeweller's Association (Bajus) organised the conference and demanded their already proposed 15-point demand needs to be met in the proposed budget.

Bajus President Sayem Sobhan Anvir, Bajus General Secretary Badal Chandra Roy, Bajus spokesperson Dr Dilip Kumar Roy were present at the conference.

Although it has been repeatedly said that the manufacture and export of gold bars, coins and gold ornaments through legal channels will be encouraged, the import of raw materials and machinery related to this sector has been burdened with unequal duty rates, it said.

An unplanned source tax burden has been imposed on traders. The price of gold in our local market is always Tk 8-10 thousand higher than in the international market. One of the reasons for this is the unbearable duty rate on the import of raw materials and machinery.

Regarding the baggage rule in the proposed budget, Finance Minister Abul Hassan Mahmood Ali said, "In order to evade customs duty, passengers arriving from Middle Eastern countries bring gold ornaments with light designs on 24-carat jewellery. In that case, I am proposing to add the definition of gold ornaments in the case."

Bajus fully agrees with this statement of the finance minister, it said.

Currently, due to inflation and the dollar exchange rate, it costs around Tk 1,17,177 to buy 1 bhori of jewellery gold. Adding Bajus' fixed minimum wage of Tk 7,031 and 5 per cent VAT of Tk 6,210 brings the total price to Tk 1,30,418.

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[Saif]

Gold volatility intensifies as price revised in 12 hours

Bangladesh’s gold market witnessed unusual volatility this week, with prices reversing directions within just 12 hours to hit a fresh all-time high on Friday, reflecting rising global uncertainty on the domestic bullion trade.

www.newagebd.net

Gold volatility intensifies as price revised in 12 hours
Staff Correspondent 23 January, 2026, 15:32

Representational image. | File photo

Bangladesh’s gold market witnessed unusual volatility this week, with prices reversing directions within just 12 hours to hit a fresh all-time high on Friday, reflecting rising global uncertainty on the domestic bullion trade.

After announcing a price cut on Thursday night, the Bangladesh Jewellers Association sharply raised gold prices again by early Friday, pushing rates to historic levels.

The price of 22-carat gold jumped by Tk 6,299 a bhari (11.664 grams), taking it to a record Tk 2,55,617 a bhari, the highest ever in the country’s history.

On Thursday night, the BAJUS had said the price of 22-carat gold would be reduced to Tk 2,49,000 a bhari from Tk 2,52,000 a bhari, citing market conditions.

However, that reduction remained in effect for only 12 hours before a fresh hike wiped it out and sent prices soaring again.

The BAJUS said that the latest increase was driven by a rise in the local price of refined gold.

The revised rates came into effect from 12:15pm on Friday, following a meeting of the association’s Standing Committee on Pricing and Price Monitoring earlier in the day.

The decision was announced through a notification signed by the committee’s chairman Dewan Aminul Islam Shaheen, who said that the adjustment reflected an overall assessment of the market situation.

The rapid turnaround highlights the intensity of price volatility gripping the precious metals market.

Between January 11 and January 22 alone, the price of 22-carat gold was raised six times by a total of Tk 25,661 a bhari, taking it to Tk 2,52,467 a bhari before Thursday’s reduction.

Under the latest rates, 21-carat gold now costs Tk 2,44,011 a bhari, 18-carat gold Tk 2,09,136 and traditional method gold Tk 1,71,869 a bhari.

The association also said that a government-mandated 5 per cent VAT and a minimum 6 per cent wage set by the association must be added to the selling price.

The wage component may vary depending on the design and quality of jewellery.

This month so far, gold prices have been adjusted 11 times in the local market, raised eight times and reduced only three, reflecting persistent instability.

Prices had crossed Tk 1,50,000 a bhari in February 2025 and surged past Tk 2,00,000 later the same year.

Global developments are adding fuel to the volatility.

According to Agence France-Presse, gold prices surged internationally as investors sought safety amid geopolitical uncertainty and policy tensions involving the United States.

Gold, widely seen as a safe-haven asset, climbed toward a record $5,000 per ounce.

Silver prices have also risen on the domestic market.

The BAJUS fixed the price of 22-carat silver at Tk 6,882 a bhari, while 21-carat, 18-carat and traditional silver were set at Tk 6,532, Tk 5,599 and Tk 4,199, respectively.

Silver prices have been revised nine times this year, with six increases and three cuts.​