Travellers can bring gold via baggage only once a year

In a move to discourage personal gold imports, the interim government has barred inbound passengers from bringing gold bars into the country more than once annually.

Previously, travellers were allowed to carry up to 10 bhoris or 117gm of gold bars multiple times a year by paying a fixed amount of duty and tax.

Under the new rules, a traveller can now bring in a maximum of 117gm of gold bars or gold ingots only once per year, reports bdnews24.com.

The change was introduced through revised baggage rules for incoming passengers, and it will take effect 30 days after the official gazette notification.

At the same time, the duty on gold bar imports has been increased. The duty for 117gm of gold was previously Tk 40,000. Under the new rule, it will rise to Tk 50,155.

Anyone attempting to sneak in more gold than the permitted amount will have it confiscated under existing laws.

Although commercial gold imports are allowed in Bangladesh, there is little interest from gold traders in using this channel. Most of the precious metal enters the country either through smuggling or via the passenger baggage allowance.

Ahead of the budget, National Board of Revenue (NBR) Chairman Md Abdur Rahman Khan held multiple meetings with gold traders to understand the barriers to increasing commercial imports.

In February, he met leaders of the Bangladesh Jewellers Association (BAJUS) at the NBR headquarters in Agargaon, in a discussion also open to journalists.

At that meeting, the NBR chairman said that 99 percent of gold smuggling cases go undetected and hinted at the possible involvement of traders in such activities.

“This smuggling is not good for the country or anyone involved,” he said. “If you say you're not involved, then where is it all coming from? We catch only one out of every 100 cases, and for various reasons, we miss the other 99.”

Urging business leaders to share their problems, he said: “We want to promote trade. There is so much gold in the market, yet we see no record of formal imports. I want to know why.”

Khan had announced on that day that the misuse of the baggage rule would be addressed, and changes were coming.

According to BAJUS, the annual demand for new gold in Bangladesh is 18 to 20 tonnes. The official Gold Policy (2018) estimates put it even higher at 18 to 36 tonnes annually.

Data shows that at least 54 tonnes of gold entered the country legally in 2022.

However, global market volatility, soaring gold prices, and a strong dollar, combined with pressure on Bangladesh's foreign reserves, have led to a decline in gold imports.

Bangladesh Bank data shows that in the 2021–22 fiscal year, the country imported gold worth $4.16 million. In FY23, that figure dropped sharply to just $670,000, down nearly 84 percent year-on-year.

The figures reflect only institutional imports. Personal gold brought in by travellers is subject to lower duties, and customs does not track duty-free gold carried into the country.

The NBR’s own statistics also confirm the downturn in formal imports. While Bangladesh Bank has licensed 19 companies as authorised gold importers, only seven of them actually imported any gold between 2020 and June 2023, bringing in 139.64 kg worth $8.2 million. The other 12 companies did not import any gold despite having licences.