Commerce Adviser Sk Bashir Uddin on Wednesday came down heavily on traders for raising edible oil prices without having prior approval from the government.
He also warned the traders concerned of taking action upon their failure to justify the price hike.
"…the way traders have increased edible oil prices in the market has no legal basis. They have raised the price without informing the government," the adviser said.
He went on: "The Ministry of Commerce (MoC) will now take necessary steps unless they are able to justify the price increase."
Mr. Bashir was talking to reporters at his secretariat office on the day.
The commerce adviser informed the newsmen that he had been informed about the price hike issue just an hour before.
Today (Wednesday), he said, edible oil is being sold in the retail market at Tk 20 per litre, higher than the rate, at which the government purchased it from the traders.
Just a day before (Tuesday), the government approved the purchase of 15 million liters of edible oil (5.0 million liters of Soybean oil and 10 million liters of rice bran oil) at a specific rate, it was learnt.
The adviser stated that he could not find any logical reason for this price jump.
Importers and traders have silently increased edible oil prices at consumers' level by Tk 9.0 per litre without any prior announcement, he added.
When asked as to whether traders became so powerful to bypass the government and raise the price, the advisor said: "Ask the question to the traders. We have discussed the matter, and we are taking steps. This is not a matter of going to the market and fighting with a sword."
He also mentioned that if there were a logical reason for the price increase, it could have been discussed.
"The government wants to keep the supply chain dynamic. We do not want to disrupt the supply system," he assured.
Regarding the traders' claim that they do not require prior permission from the ministry or the Tariff Commission to raise prices, the commerce advisor said: "That is their statement."
