Dhaka, Dec. 1 -- The state-run Trading Corporation of Bangladesh (TCB) has requested an exemption from the procurement provider VAT for all suppliers of edible oil and sugar in local tenders, sources say.

It recently made the request to the commerce ministry, urging the latter to take steps in this regard.

The move is aimed at levelling the playing field for all bidders, increasing competition, and ultimately reducing the government's subsidy burden, it said in the proposal.

TCB, a non-profit body, operates with government subsidies.

It sells essential items, including edible oil, lentil, and sugar, at subsidised prices among 10 million low-income, smart card-holder families across the country every month.

Besides, it procures chickp...