Rice, flour prices to be 'stable soon'
Wednesday, 13 October 2010
FE Report
Business leaders Tuesday gave assurance that prices of rice and flour will be stable in the market soon because there is sufficient production and the supply chain has been restored.
Prices of the items increased after Eid-ul-Fitr due to closing down of mills but the prices are decreasing and the scenario will improve shortly, they said.
The business team included millers, importers and local producers who were present at a discussion meeting with Commerce Minister Muhammad Faruk Khan at his secretariat office in the city.
Earlier the commerce minister had severely reprimanded rice and flour traders for making excess profits by suddenly hiking prices of the items after Ramadan and Eid-ul-Fitr.
The prices of rice and flour had increased as rice mills were closed ahead of Eid-ul-Fitr and there were problems with the transportation system, the traders said.
"It cannot be an excuse for price hike and the traders have hiked price by taking advantage of Eid," the minister said adding that this is not true that they could control prices almost all the year round except for 10-12 days after the Eid.
Necessary stocks should be made before closing mills, and in cases where traders have nothing to do, they should warn people earlier, he said.
Mr Khan also told the traders to develop price monitoring system and introduce it themselves otherwise the government would be forced to impose price monitoring system on them as it would not tolerate any unusual price hikes.
It was advised in the meeting that all packaged products should have price, quantity and expiry date on their labels.
The traders suggested for policy regarding the limit of profit, raising government's stock and developing rail and naval infrastructure to reduce transportation cost.
Gholam Hossain, secretary of Ministry of Commerce, Khalilur Rahman, chairman of Trading Corporation of Bangladesh, Bishwanath Shaha, general manager of City Group and KM Layek Ali, convener of Rice Mills Owners Association, among others, were present in the meeting.
Business leaders Tuesday gave assurance that prices of rice and flour will be stable in the market soon because there is sufficient production and the supply chain has been restored.
Prices of the items increased after Eid-ul-Fitr due to closing down of mills but the prices are decreasing and the scenario will improve shortly, they said.
The business team included millers, importers and local producers who were present at a discussion meeting with Commerce Minister Muhammad Faruk Khan at his secretariat office in the city.
Earlier the commerce minister had severely reprimanded rice and flour traders for making excess profits by suddenly hiking prices of the items after Ramadan and Eid-ul-Fitr.
The prices of rice and flour had increased as rice mills were closed ahead of Eid-ul-Fitr and there were problems with the transportation system, the traders said.
"It cannot be an excuse for price hike and the traders have hiked price by taking advantage of Eid," the minister said adding that this is not true that they could control prices almost all the year round except for 10-12 days after the Eid.
Necessary stocks should be made before closing mills, and in cases where traders have nothing to do, they should warn people earlier, he said.
Mr Khan also told the traders to develop price monitoring system and introduce it themselves otherwise the government would be forced to impose price monitoring system on them as it would not tolerate any unusual price hikes.
It was advised in the meeting that all packaged products should have price, quantity and expiry date on their labels.
The traders suggested for policy regarding the limit of profit, raising government's stock and developing rail and naval infrastructure to reduce transportation cost.
Gholam Hossain, secretary of Ministry of Commerce, Khalilur Rahman, chairman of Trading Corporation of Bangladesh, Bishwanath Shaha, general manager of City Group and KM Layek Ali, convener of Rice Mills Owners Association, among others, were present in the meeting.