Potato import at full harvesting time!
Thursday, 31 December 2009
FE Report
Commerce ministry has allowed 12 trading houses to import potato at a time when the price of the item is on the decline.
"The following firms are allowed to import potato but they must submit phytosanitary certificates at the time of import," said a letter issued on Wednesday.
The firms are Zerin Enterprise, Golden Trade International, Mehedi & Sons, Hasan and Brothers, Sandhani Trade International, Star Trade International, Popular Trading, Rupali Trade International, Galaxy International, Famous International, Globe Trade and
Sunmoon International.
Potato price dropped by 30 per cent to Tk 22 from Tk 35 in one month, according to Trading Corporation of Bangladesh data.
Former finance and commerce adviser Mirza Azizul Islam said it does not make any sense.
"The harvesting period is going on and the price will fall in the coming days. Why do we need to import potato now?" he said.
It will adversely affect the local producers and they will be discouraged to cultivate the crop in the next season, he added.
"The government cannot store potato for emergency period as it does not have any cold storage," Mr Mirza pointed out.
Centre for Policy Dialogue executive director Mustafizur Rahman said if the international price is below the local price, it will negatively affect the domestic price.
The importers can sell the product at a cheaper rate as their import costs will be lower than that of domestic production costs, he explained.
Commerce ministry has allowed 12 trading houses to import potato at a time when the price of the item is on the decline.
"The following firms are allowed to import potato but they must submit phytosanitary certificates at the time of import," said a letter issued on Wednesday.
The firms are Zerin Enterprise, Golden Trade International, Mehedi & Sons, Hasan and Brothers, Sandhani Trade International, Star Trade International, Popular Trading, Rupali Trade International, Galaxy International, Famous International, Globe Trade and
Sunmoon International.
Potato price dropped by 30 per cent to Tk 22 from Tk 35 in one month, according to Trading Corporation of Bangladesh data.
Former finance and commerce adviser Mirza Azizul Islam said it does not make any sense.
"The harvesting period is going on and the price will fall in the coming days. Why do we need to import potato now?" he said.
It will adversely affect the local producers and they will be discouraged to cultivate the crop in the next season, he added.
"The government cannot store potato for emergency period as it does not have any cold storage," Mr Mirza pointed out.
Centre for Policy Dialogue executive director Mustafizur Rahman said if the international price is below the local price, it will negatively affect the domestic price.
The importers can sell the product at a cheaper rate as their import costs will be lower than that of domestic production costs, he explained.