Hoarding of wheat alleged
Wednesday, 12 March 2008
Fakhrul Alam
CHITTAGONG, March 11: Due to instability persisting in the wheat market in Chittagong, around 50 per cent of flour mills have already been closed down. Those which are in operation, cannot make production as per their capacity, concerned sources said.
On the other hand, prices of ata and flour are on rise day by day. Improved quality of flour is being sold in the local markets at rates between Taka 3,400 and Taka 3500 per sack of 74 kg while that of inferior quality is sold at prices between Taka 2800 and Taka 3000 per sack. Retail traders are realising Taka 44-Taka 45 per kg against selling improved quality of ata. Within a gap of only a week, price of wheat has increased by Taka 250 to Taka 400 per quintal.
Now the importers and Khatunganj-based DO (delivery order) traders have stopped selling wheat on credit. With the rise in price, investment in this food item has also increased. This has forced many flour mill owners to shut down their mills, the sources said.
Chittagong Flour Mills Association (CFMA) sources said, importers have sufficient stock of wheat at their disposal. As they wait for rise of price in the international market hoarding of wheat occurs in the focal markets.
The sources further said, for reducing the price of wheat and ata and flour the government needs to undertake proper initiatives. Earlier, flour mills' owners used to procure wheat directly from the government but that practice now ceased to exist. If that arrangement is restored by the government again, the hoarders would be compelled to reduce the price of wheat, the sources added.
CHITTAGONG, March 11: Due to instability persisting in the wheat market in Chittagong, around 50 per cent of flour mills have already been closed down. Those which are in operation, cannot make production as per their capacity, concerned sources said.
On the other hand, prices of ata and flour are on rise day by day. Improved quality of flour is being sold in the local markets at rates between Taka 3,400 and Taka 3500 per sack of 74 kg while that of inferior quality is sold at prices between Taka 2800 and Taka 3000 per sack. Retail traders are realising Taka 44-Taka 45 per kg against selling improved quality of ata. Within a gap of only a week, price of wheat has increased by Taka 250 to Taka 400 per quintal.
Now the importers and Khatunganj-based DO (delivery order) traders have stopped selling wheat on credit. With the rise in price, investment in this food item has also increased. This has forced many flour mill owners to shut down their mills, the sources said.
Chittagong Flour Mills Association (CFMA) sources said, importers have sufficient stock of wheat at their disposal. As they wait for rise of price in the international market hoarding of wheat occurs in the focal markets.
The sources further said, for reducing the price of wheat and ata and flour the government needs to undertake proper initiatives. Earlier, flour mills' owners used to procure wheat directly from the government but that practice now ceased to exist. If that arrangement is restored by the government again, the hoarders would be compelled to reduce the price of wheat, the sources added.