The prices of edible oils, potatos, and eggs increased further last week, while that of vegetables showed a decline.
Loose soybean-oil prices increased to Tk 170-172 a litre, and super palm oil to Tk 164-165 a litre.
Traders said oil prices had witnessed a Tk 10-12 hike a litre in a week and Tk 15 a litre in the last four weeks.
Last month, the government reduced VAT on the import, processing, and trade of soybean and palm oils to lower their prices, responding to the demands of refiners and importers. However, prices increased since then.
In two separate notifications on October 17, the finance ministry announced VAT relaxations at the import and production stages of edible oil. VAT on local production and trading of soybean and palm oils was exempted, while that on refined and crude soybean and palm oils at the import stage was also reduced from 15 per cent to 10 per cent.
The government made the decisions following requests from refiners. They made the requests in view of the hike in global oil prices.
Meanwhile, potato prices went up to Tk 75 a kg from Tk 70 last week and Tk 60 two weeks back, which traders attributed to the rising demand for seeds among farmers.
Broiler and sonali chicken prices fluctuated by Tk 10 a kg. Broiler chicken prices remained between Tk 180 and Tk 200 a kg.
Local onion prices remained static, hovering between Tk 150 and Tk 160 a kg, while imported ones retailed at Tk 110-125 a kg.
Winter vegetable prices saw further decline as the supply of cauliflower, cabbage, country bean, bottle gourd, coriander, and other leaves increased.
Cauliflower and cabbage retailed at Tk 40-60 a piece, bottle gourd at Tk 40-60 a piece, and country bean at Tk 80-100 a kg.
Pointed gourd, snake gourd, ridge gourd, and sponge gourd prices dropped to Tk 60-70 a kg, marking a decline of Tk 10 a kg. Meanwhile, bitter gourd and teasel gourd prices remained unchanged at Tk 80-100 a kg. Brinjal witnessed a fall in prices by Tk 10 a kg. It retailed at Tk 70-90 a kg on Thursday.
Egg prices increased slightly by Tk 50 a dozen last week, with brown eggs retailed at Tk 155 a dozen.
Meanwhile, the home ministry has sounded an alarm about a possible edible oil crisis during the holy month of Ramadan in March next and suggested ensuring adequate stocks of the key essential.
It also recommended the Ministry of Commerce and all divisional commissioners to prepare for facing the situation by taking stern action against hoarders and profit mongers with the aid of mobile courts and the Directorate of National Consumers' Right Protection (DNCRP).
According to a report by the Ministry of Home Affairs, a copy of which was obtained by The Financial Express, various syndicates of producers, importers, and dealers hike edible oil prices by putting pressure on the government. They also control the market as per their wish.
The ministry suggested assessing the district-wise demand for soybean oil, including the volume of purchasing quantity of all companies, to identify the causes of any shortage.
In addition to increasing imports to ensure adequate stocks, the ministry also emphasised raising the domestic production of mustard oil. It said the use of other cooking oils, such as olive, sunflower, and coconut, could also be increased.
It recommended supplying daily-produced edible oil as per the area-wise demand, saying local oil refiners could be brought under surveillance to see whether they were maintaining production levels as per their respective capacities.
According to the commerce ministry, Bangladesh's annual demand for edible oil is estimated to be 2.4-2.9 million tonnes, with over 95 per cent met through imports.
In FY24, the country imported around 2.3 million tonnes of crude edible oil.
© 2024 - All Rights with The Financial Express
