Govt launches probe into salt price hike

The government has launched an investigation into price hike of salt with a view to digging out the causes of the rising price of the essential item during recent days across the country, officials said.
As per of the move, two senior officials,  additional secretary and joint secretary of the ministry of commerce (MoC) Monoj Kumar Roy and Md Sadar Ali Biswas respectively, are supposed to visit the country's salt production areas especially Cox's Bazar, they said.
Following their visits the officials will submit a report on causes of recent price hike, stock, demand and production of salt in the country with recommendations, they added.
Deputy commissioner (DC) of Cox's Bazar, Bangladesh Small and Cottage Industries Corporation (BSCIC) and salt producers concerned will assist the officials to collect the required info, they also mentioned.
The recent rise in the price of salt in the market prompted the government to go for such a check-up, a high official of the MoC involved with the issue said.
He, however, said a number of millers want to import salt from the neighbouring country. For this, they are claiming that a large number of mills have been shut down due to lack of necessary raw materials for salt production. The millers also claimed that they could not get necessary crude salt for operation of their mills.
"For this, the MoC has decided to look into the issue and check stock, demand and production of salt in the country. A meeting on the salt issue was held at the MoC on Tuesday last," additional secretary of the MoC Md Shawkat Ali Waresi told the FE.
Two senior officials of the ministry are working on the matter. A report will be submitted by them within the upcoming week, he added.   
As per the industry insiders, over 25 per cent of the mills in Cox's Bazar, Chittagong, Patiya, Jhalakathi, Narayanganj, Chandpur and Khulna have been closed in absence of necessary raw materials, leaving a large number of labourers jobless.
Besides, the millers concerned are making a significant amount of losses. Tens of thousands of labourers are passing hard time without work, they added.  
The production of salt has been hampered because of repeated rains in the beginning of the salt collection season. As a result, the price of salt has increased this season, they also said.
Bangladesh Laban Mill Malik Samity (BLMMS) has requested the MoC to take necessary steps to stabilise the price of salt through supplying necessary raw materials to the salt mills immediately, an official of the ministry said.   
When contacted, President of BLMMS Mohammad Abdul Monaf said last week: "A large number of mills were closed down due to lack of raw materials. We have given letters to the government authorities concerned to take steps in this connection."
Presently, there are over 300 salt factories across the country. About 2.5 million people are directly or indirectly involved with the industry, according to a Samity source.
The retail price of per kg of salt was Tk 15-25 in the market three months ago. It is selling at Tk 20-32 now, according to Trading Corporation of Bangladesh (TCB).
Presently, some 0.104 million tonnes of salt is in stock in the country, a BSCIC data showed.
In the last season, the price of 76 kg crude salt was Tk 350 to Tk 450. It has stood at Tk 900 to Tk 950 this season.
More or less 2.0 million tonnes of crude salt is needed every year in the country, according to Bangladesh Tariff Commission.
However, according to Bangladesh Small and Cottage Industries Corporation (BSCIC), over 1.6 million tonnes of salt is needed a year.
The millers produce about 1.5-1.7 million tonnes of crude salt every year which meets the country's total demand of salt.
Currently, nearly 0.15 million tonnes of salt is needed in a month in the country.
In 2015 the production of salt was some 0.4 million tonnes less than the demand. In this context, the traders concerned imported 0.1 million tonnes of salt, according to the Samity data.
Production of salt started in November last with a deficit of 0.3 million tonnes of the essential item, the data showed.
Crude salt is produced from saline water of the sea in the coastal areas of the country especially in Chittagong and Cox's Bazar. Salt is produced seasonally from December to mid-May.
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