Despite crackdown on hoarding of onion some uncrupulous traders are still found to stockpile onion. A sudden short supply has pushed onion prices up in kitchen markets across the country by at least 80 per cent this week despite a strict warning against any syndication. The retail price of onion at various kitchen markets on Wednesday was found between Tk 95 and 105 per kilogram.
The unexpected sharp rise in onion prices is blamed on creating an artificial crisis by some unscrupulous traders who are believed to have hoarded onion in godowns or warehouses taking advantage of the latest ban on the export of onion by neighbouring India. The retail price of onion has soared by at least Tk 40 per kilogram in the city and other parts of the country following a decision to ban onion export by the Indian government.
Sources from various kitchen markets show that each kilogram of locally produced onion is now being sold between Tk 90 and Tk 120 in the capital and other parts of the country. Because of the crisis, the government is keeping a strict vigil on the price hike of onion and collecting information through different channels, including intelligence agencies and the commerce ministry.
It also warned that stern action would be taken against middlemen if they try to create an artificial crisis by hoarding onion. “Creating an artificial crisis and making money illegally will not do any good for anyone. We won’t spare anyone if found involved in hoarding onion,” Commerce Secretary Mohammad Jafar Uddin told reporters said.
Some wholesale spice traders told the media that the recent unusually heavy monsoon in many key onion producing states, like Karnataka, Maharashtra, Madhya Pradesh, Gujarat, Rajasthan, Uttar Pradesh, and Bihar may have hit onion production in India and hence the decision to ban export whatever they have in the stock.
On September 13, India had increased the minimum export price (MEP) of onion to $850 per ton from the earlier MEP of $250 which had badly affected the retail price of the onion in the country from the next day. After two weeks of export price hike, the Indian government has banned the export of onions to control the soaring prices of onion.
Meanwhile, it is learnt that the farmers produced 23.30 metric tonnes of onion during 2018-19 fiscal against the demand of 24 lakh metric ton. While 10.91 lakh metric tonnes of onion were imported during the fiscal. In fiscal 2017-18, 2.33 million tons of onion was produced in 212,194 hectares in the country. On the other hand, the government formed monitoring teams to check further price hike of onion at the wholesale and retail market as the country has adequate onion stock.
Commerce Secretary Mohammad Jafar Uddin talking to reporters said a total of 10 monitoring teams have been formed led by additional secretaries of the ministry to oversee the wholesale and retail market so that none could create an artificial crisis of the kitchen staple through hoarding it unethically. The commerce ministry also warned tough action will be taken if anybody is found hoarding onion for creating an artificial crisis in the market. Under the situation, the commerce secretary said, there is nothing to be worried about as the country has adequate stock of onion and additionally huge quantities of the commodity is expected to arrive from Myanmar, Egypt and Turkey.
After the abrupt rise of the export price by the Indian government on September 13, he said the government had started importing onion from Myanmar through border trade and opening the letter of credit (LC) and every day 200 tonnes of onion is being imported from Myanmar. The government has also started import from Egypt and Turkey, he said, adding that two ships already have anchored at Chattogram seaport.
Meanwhile, the state-run Trading Corporation of Bangladesh (TCB) has increased the selling points of onion to 35 in the capital from Monday. These points are Press club, Kaptan Bazar, secretariat gate, Victoria park/Sadar Ghat/Gendaria, Dainik Bangla intersection, MOthijheel Govt Colony, Mothijheel Bok Chattar, Dilkhusa, Bangladesh Bank Premises/Kamlapur Bus Stop, Fakirapool Bazar, Malibagh Bazar, Shantinagar Bazar, Rampura Bazar, Banasree Ideal School, Khilgaon Taltola Bazar, Shahjahanpur Bazar, Basabo Bazar, Madartek/Nandipara/ in front of Krishi Bank, Kalmilata Bazar/Mahakhali, Khamarbari (Farmgate), Election Commission Office at Agargaon, Taltola (Mirpur), Shewrapara Bazar/60-feet Banga Mosque, Mirpur-10 )goal chatter/Stadium, Mirpur-1 (Mazar road)/Bangla College/Gabtoli, Rajanigandha Super Market (Kotchu Khet), Shyamoli intersection/NAM Garden, Mohammadpur/Lalmatia Townhall Market/Arong, Jigatola Intersection/Dhanmondi Govt Colony, Science laboratory intersection, Palashi Chapra Mosque, New Market Post office (Battola), Ashkona Hazi Camp, Raj Lakhi Complex (Uttara)/Jashimuddin road/Azimpur BNCC, Vikarunnesa Gate-10/ Eastern Housing, Officers Club and Eskaton Garden Mosque.
