Govt to use anti-hoarding act to curb price hike
Sunday, 10 October 2010
Doulot Akter Mala
Sharp rise in prices of essentials has led the government to use the decades-old anti-hoarding order, which officials say could check "unusual hoarding" of major commodities.
Officials say, the Food Ministry is working on the draft of Statutory Regulatory Order to fix the volume and timeframe of hoarding for eight staple items. Rice, wheat, soybean, Palm Olin, Palm oil (edible oil), sugar, pulses, onion, powdered milk and baby food are among the items.
The East Bengal (food stuff) price control and anti-hoarding order 1953 was discontinued in 1992 following the concept of trade facilitation.
The last caretaker government tried to reactivate the office order when commodity prices spiked sharply.
"We will set the time and volume of hoarding of eight commodities in three stages -- import, wholesale and retail," said food secretary BD Mitra.
"The move will be finalised after meeting with stakeholders. The orders are now in a preliminary stage," he said.
The essential price monitoring committee is also trying to figure out how the order to fight against hoarding will be re-activated.
The recent price spiral of major commodities has forced the price monitoring committee to hold urgent meetings with businessmen, the official said.
The committee, in a recent meeting, recommended the relevant departments probing into the reasons why prices of wheat, flour, rice, sugar, edible oil and spices rose.
Prices of onion, both local and imported, increased abnormally among the essential commodities.
Locally produced onion prices increased by 55 per cent while imported 36 per cent in the recent time, according to Commerce Ministry data.
The price monitoring committee also found 10 per cent hike of sugar prices despite waiver of taxes.
In a study, Consumers Association of Bangladesh (CAB), the campaign group, has found abnormal hike of essential prices after Ramadan despite adequate stock.
The CAB Saturday visited four markets in the capital. It has found the highest increase of prices of rice, followed by flour, soybean, pulses, onion, garlic, ginger, chili, chicken and egg (duck).
The CAB in its study has blamed the government for its reluctance to check price hike after Ramadan.
It has recommended six-point steps to control prices that include---intensify market monitoring and crackdown, enforce competition law, conduct study on actual demand and import and taking stern action against unscrupulous businessmen.
Sharp rise in prices of essentials has led the government to use the decades-old anti-hoarding order, which officials say could check "unusual hoarding" of major commodities.
Officials say, the Food Ministry is working on the draft of Statutory Regulatory Order to fix the volume and timeframe of hoarding for eight staple items. Rice, wheat, soybean, Palm Olin, Palm oil (edible oil), sugar, pulses, onion, powdered milk and baby food are among the items.
The East Bengal (food stuff) price control and anti-hoarding order 1953 was discontinued in 1992 following the concept of trade facilitation.
The last caretaker government tried to reactivate the office order when commodity prices spiked sharply.
"We will set the time and volume of hoarding of eight commodities in three stages -- import, wholesale and retail," said food secretary BD Mitra.
"The move will be finalised after meeting with stakeholders. The orders are now in a preliminary stage," he said.
The essential price monitoring committee is also trying to figure out how the order to fight against hoarding will be re-activated.
The recent price spiral of major commodities has forced the price monitoring committee to hold urgent meetings with businessmen, the official said.
The committee, in a recent meeting, recommended the relevant departments probing into the reasons why prices of wheat, flour, rice, sugar, edible oil and spices rose.
Prices of onion, both local and imported, increased abnormally among the essential commodities.
Locally produced onion prices increased by 55 per cent while imported 36 per cent in the recent time, according to Commerce Ministry data.
The price monitoring committee also found 10 per cent hike of sugar prices despite waiver of taxes.
In a study, Consumers Association of Bangladesh (CAB), the campaign group, has found abnormal hike of essential prices after Ramadan despite adequate stock.
The CAB Saturday visited four markets in the capital. It has found the highest increase of prices of rice, followed by flour, soybean, pulses, onion, garlic, ginger, chili, chicken and egg (duck).
The CAB in its study has blamed the government for its reluctance to check price hike after Ramadan.
It has recommended six-point steps to control prices that include---intensify market monitoring and crackdown, enforce competition law, conduct study on actual demand and import and taking stern action against unscrupulous businessmen.