Commodity market volatility stems from previous regime's ‘unplanned’ projects

Commerce Adviser Sk Bashir Uddin on Sunday attributed the persistent volatility in the essential commodities market to what he termed as the previous regime's "unplanned and ambitious" projects, which have saddled the country with a staggering Tk 23 trillion in debt.
He made the remarks while speaking to reporters after a task force committee meeting on essential prices and supply ahead of Ramadan at the Ministry of Commerce.
The adviser said debt-led growth without corresponding revenue generation severely weakened the economy. Drawing a sharp comparison, he noted that when the Sheikh Hasina-led government assumed office in 2008, total national debt stood at more than Tk 2.0 trillion, which ballooned to Tk 23 trillion by the end of 2025.
"This massive liability has resulted in a 46 per cent depreciation of the Taka," Mr Uddin said. "Investment should generate returns. But spending over the past decade failed to create income streams. This debt-based expansion and currency devaluation created long-term liabilities, ultimately forcing the country to seek IMF support."
He questioned the economic rationale of several flagship projects, including the Karnaphuli Tunnel, Padma Rail Link and Payra Port. "With a draft of only 4.0 metres, one must ask whether Payra is truly a port or merely a ghat," he said, adding that such ill-conceived projects have had a direct and undeniable impact on the prices of daily essentials.
Despite inherited structural challenges, the adviser expressed optimism for the upcoming Ramadan, saying there is no supply shortage of essential goods.
"Our quantitative analysis of production and import data shows average imports have increased by more than 40 per cent year-on-year. Based on this, we expect the market to remain stable and prices of key commodities to be lower than last Ramadan," he said.
The adviser also said the government has already diversified the supply of edible oil with supplying five lakh tonnes of rice bran oil sourced from the domestic markets which will also impact positively in the prices of edible oil in the local markets.
To curb artificial price hikes, the Ministry of Commerce and the Directorate of National Consumer Rights Protection (DNCRP) will intensify daily market monitoring and enforcement drives.
Commerce Secretary Md Mahbubur Rahman, also present at the meeting, echoed the optimism. "We
have consulted leading business leaders and trade bodies. They assured us that the supply chain is strong. In some categories, prices are already lower than last year," he said, expressing hope for a stable Ramadan without supply disruptions.
Senior officials of the commerce ministry, representatives of relevant agencies and leaders of private sector trade bodies attended the meeting.

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