Revised soybean oil prices take effect from today
Tuesday, 7 December 2010
FE Report
The revised prices of soybean oil will take effect from today (Tuesday) amid scepticism over its effectiveness as the wholesale price of soybean was not fixed in Sunday's meeting between the government and the refiners, according to the wholesalers.
Wholesalers said they were not invited to the meeting that has fixed the mill gate and retail level prices of loose and bottled soybean oil.
The wholesalers at Moulvibazar in the city said they were not invited to meeting. They said that they were now in a fix how to determine the wholesale price for selling loose soybean oil.
They said the prices, the government has fixed Sunday, was less then the price of their stock of soybean oil bought earlier. They said they have to sell soybean oil without profit as the wholesale price is yet to be fixed.
They, however, said that it will be possible for them to adjust the prices if the refiners supplied them (wholesalers) with soybean oil regularly at the government fixed price.
"We are sceptic whether the refiners could sell us soybean oil at the mill gate rate earlier fixed by the government. We want smooth supply of soybean oil from the refiners," Al Haj Abul Hashem, former general secretary of Bangladesh Wholesale Edible Oil Merchant Association told the FE Monday.
The government Sunday at a meeting with the refiners reduced the retail prices of per litre of loose soybean oil by Tk 5.0.
According to the downward revision, the retail selling price of loose soybean oil has been re-fixed at Tk 86 per litre for Dhaka and Tk 84 for Chittagong.
The meeting also fixed the mill-gate prices of loose soybean oil for Dhaka and Chittagong at Tk 83 and Tk 81 per litre respectively.
Earlier at a meeting between the government and the edible oil refiners on November 29 the prices of loose soybean oil and palm oil were fixed at Tk 91 and Tk 82 per litre respectively.
But Sunday's (December 5) meeting fixed the price of loose soybean oil, but and it did not fix the price of palm oil. It will be revised later on.
The prices of bottled soybean oil will be determined by adding 15 per cent of the current prices of loose soybean oil.
Per kg of loose soybean oil was sold between Tk 98 and Tk 102 while palm oil between Tk 86 and Tk 88 Monday. The prices of loose soybean oil rose to 5.85 per cent while palm oil 2.96 per cent for the last one month. The rate of price hike of soybean and palm oil were 22.84 per cent and 42.62 per cent respectively for the last one year, according to daily market report prepared by the state-owned Trading Corporation of Bangladesh (TCB) yesterday.
"We minutely and extensively discussed the international price situation of soybean oil with the stakeholders. We fixed the price in conformity with the international market price of soybean oil," Commerce Minister Muhammad Faruk Khan told the media after the meeting held at the conference room of his ministry.
A seven-member committee was also formed Sunday with the responsibility to submit its report on the price situation of soybean oil in the international market within the next fifteen days.
Tariff Commission Chairman Dr Md Mojibur Rahman is the chairman of the committee. The committee will have one member from the commerce ministry, one from FBCCI, one from edible oil traders association, one from ICMAB and two will be from edible oil owners association.
The revised prices of soybean oil will take effect from today (Tuesday) amid scepticism over its effectiveness as the wholesale price of soybean was not fixed in Sunday's meeting between the government and the refiners, according to the wholesalers.
Wholesalers said they were not invited to the meeting that has fixed the mill gate and retail level prices of loose and bottled soybean oil.
The wholesalers at Moulvibazar in the city said they were not invited to meeting. They said that they were now in a fix how to determine the wholesale price for selling loose soybean oil.
They said the prices, the government has fixed Sunday, was less then the price of their stock of soybean oil bought earlier. They said they have to sell soybean oil without profit as the wholesale price is yet to be fixed.
They, however, said that it will be possible for them to adjust the prices if the refiners supplied them (wholesalers) with soybean oil regularly at the government fixed price.
"We are sceptic whether the refiners could sell us soybean oil at the mill gate rate earlier fixed by the government. We want smooth supply of soybean oil from the refiners," Al Haj Abul Hashem, former general secretary of Bangladesh Wholesale Edible Oil Merchant Association told the FE Monday.
The government Sunday at a meeting with the refiners reduced the retail prices of per litre of loose soybean oil by Tk 5.0.
According to the downward revision, the retail selling price of loose soybean oil has been re-fixed at Tk 86 per litre for Dhaka and Tk 84 for Chittagong.
The meeting also fixed the mill-gate prices of loose soybean oil for Dhaka and Chittagong at Tk 83 and Tk 81 per litre respectively.
Earlier at a meeting between the government and the edible oil refiners on November 29 the prices of loose soybean oil and palm oil were fixed at Tk 91 and Tk 82 per litre respectively.
But Sunday's (December 5) meeting fixed the price of loose soybean oil, but and it did not fix the price of palm oil. It will be revised later on.
The prices of bottled soybean oil will be determined by adding 15 per cent of the current prices of loose soybean oil.
Per kg of loose soybean oil was sold between Tk 98 and Tk 102 while palm oil between Tk 86 and Tk 88 Monday. The prices of loose soybean oil rose to 5.85 per cent while palm oil 2.96 per cent for the last one month. The rate of price hike of soybean and palm oil were 22.84 per cent and 42.62 per cent respectively for the last one year, according to daily market report prepared by the state-owned Trading Corporation of Bangladesh (TCB) yesterday.
"We minutely and extensively discussed the international price situation of soybean oil with the stakeholders. We fixed the price in conformity with the international market price of soybean oil," Commerce Minister Muhammad Faruk Khan told the media after the meeting held at the conference room of his ministry.
A seven-member committee was also formed Sunday with the responsibility to submit its report on the price situation of soybean oil in the international market within the next fifteen days.
Tariff Commission Chairman Dr Md Mojibur Rahman is the chairman of the committee. The committee will have one member from the commerce ministry, one from FBCCI, one from edible oil traders association, one from ICMAB and two will be from edible oil owners association.