Staff Reporter :
The price of rice has been rising for more than a year as a ‘powerful syndicate’ comprising millers and corporate companies are dictating the market price of the key staple taking advantage of lax monitoring by the concerned government agencies.
Both the groups are allegedly involved with illegal stockpiling of rice.
According to the Trading Corporation of Bangladesh (TCB) data, the price of coarse rice, consumed mostly by common people, has increased by 18.95 per cent in one year.
Data of the state-owned agency also showed that prices of rice have increased by up to 25 per cent in the last month.
The TCB data also mentioned that the maximum price of coarse rice reached Tk 58 per kg. Besides, BR 28 was sold at Tk 60-62 per kg. Miniket rice was sold at Tk 70-75 per kg. Buyers have to pay Tk 77-90 to buy per kg Nazirshail rice, depending on quality.
The market price of rice, however, is higher than TCB’s estimate.
Talking to this correspondent, Ali Hossain, a rice trader in the capital’s Karwan Bazar, said, “The price of rice has increased by Tk 200-350 per sack within a week. I bought the 50kg bag of Miniket variety of rice from wholesale market last week at Tk 3,250, which has increased to Tk 3,500 this week. BR-28 rice was Tk 2,550, now it costs Tk 2,800.”
He added, “Rice market remains uncontrolled as the corporate companies are now involved with rice trading. They are profiting from Tk 10-30 per kg by releasing packaged rice to the market.”
“It is nothing but price manipulation,” said The Consumers Association of Bangladesh (CAB) Vice-President SM Nazer Hossain, adding that there is a big syndicate in the supply chain manipulating the rice market.
He added the market has enough supply of rice and the country’s rice stock situation is satisfactory. Despite the fact, rice prices continue rise due to market manipulation by the traders.
On January 25, 2021, Agriculture Minister Muhammad Abdur Razzaque said rice millers and wholesalers are manipulating rice price by stockpiling the staple as the government failed to take timely measures to keep the rice market under control. He made the comment at a workshop where a government-commissioned study revealed that millers and wholesalers manipulate the prices of essentials such as rice, potato and onion by creating an artificial crisis and making the market volatile.
“Rice market has been under the control of syndicates for a long time. And so, the price of rice has been increasing by leaps and bounds for more than a year. But the rice price has become more unbridled after the recent hike in fuel prices. Even before the increase in fuel prices, the price of rice was increasing for no reason. And after the increase in the price of fuel oil, the price of rice has increased by Tk 5 to Tk 7 per kg. However, if we consider the increase in transportation costs, the price of rice may increase by a maximum of 50 paisa per kg,” said CAB Vice-President SM Nazer Hossain.
Meanwhile, Bangladesh general civil society ( Bangladesh Shadharan Nagorik Forum) formed a human chain in front of the National Press Club on Sunday noon demanding the arrest of rice syndicates, hoarders and accountability of rice trading organisations by bringing them under the law.
Mohiuddin Ahmed, president of the organisation in the human chain said that a syndicate of rice mill owners and traders is destabilising the rice market by hoarding and stockpiling of the staple. As a result, a crisis has created in the market.
“The millers have been making exorbitant profits by illegal stockpiling of illegal rice, which also created price volatility in the market. The syndicate also made common consumers and retailers hostage. So, we are demanding the arrest of rice syndicates, hoarders and market destabilisers,” he added.
