It sounds alarming that there is still no sign of getting respite from the soaring prices of essential commodities as the government, despite its efforts, cannot contain the price hike. People, particularly the low and fixed income group, are bearing the brunt of unusual increase in the prices of essentials. Sufferings of this section of people know no bounds as almost all the essential items excepting a few winter vegetables are selling at exorbitant prices across the country.
Amid the ongoing market situation, prices of sugar, edible oils and LPG (liquefied petroleum gas) have increased further, dealing a fresh blow to the consumers ahead of the holy month of Ramadan. The Consumers Association of Bangladesh (CAB) has demanded that the government take effective measures to tame price hike of essential commodities.
The CAB, in a statement on Saturday, accused an influential group of destabilising the sugar market by creating artificial crisis at the import, mill and supply levels through dirty syndication and supply control. Increase in LPG, soybean oil and palm oil prices cannot be justified as it is directly inflating the daily cost of living for the people, it said. Sugar prices had been stable a week ago, but wholesale prices have sharply gone up with retail rates rising by Tk 10 per kilogram.
The CAB attributed the spike to a halt in white sugar imports and production, and supply shortfall at mill level and alleged that a section of traders again is manipulating prices ahead of the holy month of Ramadan, an unethical practice they do every year.
Edible oil prices have climbed in recent weeks. Soybean and palm oil rose by Tk 5–10 per litre, and Trading Corporation of Bangladesh (TCB) data show retail bottled soybean oil prices have increased 12.85 percent over the past year.
Some traders always cite international market conditions for the hike in prices of the items, but similar urgency is absent when prices decline, leaving consumers to bear one-sided price pressure. There is no valid reason for recent price hike of LPG or shortage. Some traders are charging well above government-fixed rates, citing rising demand, and possible manipulation by importers and distributors.
Bangladesh Energy Regulatory Commission (BERC) sets prices of LPG, but it does not enforce them, thus allowing traders to routinely ignore official rates. Syndicates are exploiting administrative preoccupations ahead of Ramadan and other upcoming occasions. Current price hike reflects weak poor market monitoring. It is not linked to supply situation or international market trends.
If markets for essential commodities such as LPG, sugar, and edible oil remain in the hands of syndicates, consumers’ purchasing power will be eroded, and public confidence in the market system will weaken further.
We hope the government will take all necessary measures, such as strong market monitoring, to keep stable the prices of essentials to give relief to the people from the price spiral. Stern action should be also taken against syndicates and hoarders responsible for price hike.
