The government undergoes a critical phase in procuring key commodities to operate its subsidised sales drive for 10-million families as it cannot get genuine suppliers of such items as required.
According to sources, the government cannot procure essentials from domestic and international sources despite its hectic search for sufficient suppliers/lower bidders.
In many cases, some genuine suppliers are also proposing higher than reasonable rates.
Domestic suppliers are not willing to bid as the rate fixed by the government is much lower than current market rates, says a source with good knowledge about tricks of the trade.
The supply of such commodities to 10-million cardholders under the Trading Corporation of Bangladesh (TCB) gets disrupted as it is not possible to buy the required amount of target commodities.
The TCB has not been selling sugar in its month-long sales drive due to a shortage of the sweetener for the last couple of months.
It is desperate to procure sugar for the upcoming Ramadan drive. However, some TCB officials hope they will be able to supply sugar during the period in question.
To procure adequate essentials from global sources, the TCB has requested commerce ministry for steps to activate memoranda of understanding (MoUs) with four different countries-Canada, Russia, India and Nepal.
A TCB document suggested that the MoUs be activated with an eye to getting all key products from international sources easily and at relatively low prices.
Items like edible oil, lentil and sugar will be available at affordable prices if the MoUs are executed, it reads.
The TCB signed the MoUs with Canada, India, Russia and Nepal in March 2011, November 2018, March 2024 and March 2020 respectively.
According to the TCB document, open tenders are being invited to procure these products from both local and international sources.
However, in many cases, genuine suppliers are not available. Even if genuine suppliers are found, they submit bids at higher prices. So, procurement from international sources is not possible.
Every month, the TCB sells consumer goods like oil, sugar and lentil at affordable prices for 10-million low-income families.
Besides, chickpea and date are bought and sold at reasonable rates during Ramadan, and onion and potato during lean period.
An estimated 20-million litres of edible oil, 20,000 tonnes of lentil and 10,000 tonnes of sugar are required per month.
The government is going to buy some commodities in advance in order to operate the TCB sales drive for the upcoming Ramadan, according to sources.
As part of the move, the commerce ministry plans to purchase required chickpea and date from the global market.
The state-run TCB fears the supply of one or two items may be disrupted during Ramadan if the government does not start the procurement drive.
Currently, the TCB is selling 5.0 kg of rice (supplied by food department), 2.0 kg of lentil and 2.0 litres of soybean oil at subsidised prices.
Besides, sugar, gram and date are sold at affordable prices during Ramadan.
These items are bought every month as per annual procurement plan following the Public Procurement Act 2006 and the Public Procurement Rules 2008.
The TCB is currently selling some essential items at subsidised rates for 10-million people, with 30-32 per cent of the country's population benefiting from the programme.
Despite attempts over phone, TCB chairman could not be contacted for comment.
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