Photo : Messenger
Despite an ample supply of rice during the full season, the wholesale markets in the capital have witnessed an increase in rice prices ranging from three to five taka per kilogram. This surge is even more pronounced in the retail market. All categories of rice, including coarse, medium, and fine varieties, have experienced price hikes. Such trends were observed in various markets across the capital on Saturday.
Wholesale and retail rice sellers are blaming the mill owners for the sudden increase in the price of rice. They say that due to the lack of government supervision during the elections, the mill owners have increased the price of rice by syndicate. However, mill owners claim that the price of rice has increased due to reduced supply of rice in the market.
In the retail market, the price of rice has surged by Tk 3 to Tk 8 per kilogram within the span of two weeks, varying based on the quality and type. Despite a favorable yield of Aman rice this year, the production costs have escalated compared to previous periods. However, during this season, traders find insufficient justification for such a substantial increase in rice prices in the market.
Sohail Mahmud, a rice trader in Karwan Bazar, expressed his concern to The Daily Messenger, stating, "The sudden and abnormal increase in rice prices cannot be considered normal. This seller believes there is an attempt to artificially create a shortage of rice in the market by limiting the supply.”
A recent market visit in the capital reveals that within a week, coarse rice has experienced a price hike from Tk 50-52 per kilogram to Tk 54-55. Medium-quality rice, previously priced between Tk 55-58, is now in the range of Tk 60-62. The cost of fine rice varieties such as Miniket and Nazirshail has surged from Tk 62-75 to Tk 68-80, with some premium varieties commanding an even higher price.
Traders have indicated that the supply of rice in the market was diminishing and prices were on the rise at the beginning of the year. However, they note a more significant increase post the election. HR Khan Pathan, General Secretary of Bangladesh Auto Major and Husking Mill Owners Association, informed The Daily Messenger, "Despite a good Aman production, paddy has to be purchased at a record price, an unprecedented situation. At the start of the year, the price of paddy surged by Tk 80 to Tk 100 per bag.”
The surge in rice prices has posed difficulties for ordinary buyers, who attribute the increase to a lack of government oversight and the influence of trader syndicates. Mehedi Hasan, a private employee, stated that the market situation is a result of inadequate supervision by government regulatory agencies, enabling dishonest traders to exploit the situation. He noted that despite the full season for rice, prices have risen by 5-10 taka per kilogram.
While the newly formed cabinet has made promises and prioritised market regulation, pledging to make daily commodities more affordable for buyers, the reality appears different. The rice market has witnessed volatility right after the elections, raising questions about the effectiveness of the proposed measures and promises made by the government.
Sadhan Chandra Majumdar, one of the few veteran ministers retained in the new cabinet, has been assigned the Ministry of Food for the second consecutive term. When questioned about the abrupt rise in rice prices, he refrained from commenting on the matter. Minister Majumdar informed The Daily Messenger that he would be in a better position to discuss the issue after holding a meeting with mill owners.
Golam Rahman, President of the Consumer Association of Bangladesh (CAB), suggested a strategy for controlling rice prices in an interview with The Daily Messenger. He recommended the swift release of rice from government warehouses to augment market supply. Rahman emphasised the need to curb the influence of highly profitable traders in the rice market, stating that their activities were briefly restrained but have now resumed. Urgent action is necessary to prevent further escalation of market conditions.
Data from the government agency TCB indicates a month-on-month increase in rice prices, with fine rice going up by 5.38 percent, medium rice by about 3 percent, and coarse rice by approximately 4 percent. Despite the volatility in the rice market, the Ministry of Food assures that there is no shortage of paddy and rice. Presently, the country's rice stock is reported to be 14,35,348 tonnes, while the paddy stock stands at 16,900 tonnes.
Messenger/Fameema
