Traders Not Following The Price Set By Government

The government has fixed the prices of six products in the retail market; But even after a week of fixing the price, its implementation was not seen in the market. Almost everywhere these products are sold at a higher cost than the government fixed price.

It can be seen that potatoes are being sold at the price of Tk 45 to Tk 50 per kg in the raw market of Dhaka. The price of imported onion is Tk 60 to Tk 70 per kg and domestic onion is being sold at Tk 80 to Tk 90 per kg. Apart from this, one hali egg is 50 to 55 taka.

Last Thursday, the government fixed the retail price of each egg at a maximum of Tk 12, potato at Tk 35 to Tk 36 and Domestic onion at Tk 64 to Tk 65 per kg. But raw market retailers have criticized the price, saying it's an attempt to gloss over the problem; But not the solution.

They say that it is not possible to reduce prices at the retail level without reducing prices in the supply chain. Because of this, retailers are caught in an awkward situation between consumers and regulatory authorities.

The Directorate of National Consumer Rights Protection has fined more than 500 business in the last one week by raiding the market. Consumer rights organization Consumers Association of Bangladesh (CAB) president and former commerce secretary Golam Rahman said that the market cannot be controlled by fixing prices in a free market economy. However, there are several factors to be taken into account in order to do that. One of them is to make proper use of the tools available to curb inflation. That is difficult for the Ministry of Commerce to do. It should be coordinated by Bangladesh Bank and Ministry of Finance. Golam Rahman also said that steps like raids without going to the production site and inquiring may not bring much benefit. There is also a question about whether there is enough manpower to implement these steps. Because during the campaign, the price of the product went low, but later the traders collects the money along with the fine from the consumers by selling the commodities for more price. There is no one to watch that.

Ali Hossain, a trader in Karwanbazar, was selling potatoes at Tk 45 per kg. Regarding not selling at the price set by the government, he said, 'The government has fixed the price at 35 to 36 taka per kg; But I can't even buy potatoes from the wholesale market at that price.'' He said, 'I have to buy potatoes from Shyambazar wholesale market at Tk 40-42 per kg. After that transportation and packaging costs have to be added. I pay tk 15,000 per month as shop rent and also pay the salary of two salesmen. Now if we want to sell at the price fixed by the government, we have to close our shops. He said, the price is fixed from the supply chain, while small traders like us have to suffer. He also said, "We have no influence here, we are buying at a higher price, so we have to sell at a higher price."

Domestic onion is being sold at 80 to 85 taka and imported onion at 60 taka. Shahjahan, another businessman of Karwanbazar, said, "The buyers are angry with the potato because the price is high. Government organizations like DNCRP are repeatedly raiding their businesses. He said, "We sell at a higher price because we buy at a higher price." Another businessman named Salim Uddin said, "We could not buy onions and potatoes at the government's fixed price." Then how can we sell at this price.' For this reason, the traders urged to look at the supply chain syndicate.

Bangladesh Energy Regulatory Commission (BERC) fixes the price of cooking fuel Liquefied Petroleum Gas (LPG) every month. Buyers can't buy that too at the fixed price. Due to this unbridled situation inflation is increasing. The government is concerned about it. State Minister for Planning Shamsul Alam said in a workshop of the Economic Reporters Forum (ERF) last Monday that although various measures have been taken by the government, inflation is not coming under control - this is what the government is thinking. He said inflation will come down as new crops emerge and supply increases. The collection is low. As a result, the price should be slightly higher. Market control is not possible by fixing prices.

Traders are selling different types of eggs in front of the raw market of Karwanbazar. A businessman said that they are selling the eggs of the farm at 50 taka and 150 taka per hali. However, he indicated that the price fixed by the government will be adhered to if the customers buy more quantity.

What is the price at the retail store?

Apart from the big raw markets like Caravan Bazar, Mohammadpur Town Hall Market, Badda Bazar and Shyampur Bazar, prices are slightly higher in nearby shops and small markets. In the new market of Kalyanpur (Mirpur area), retailers are selling potatoes at Tk 50 per kg, domestic onions at Tk 90 per kg and imported onions at Tk 60-65 per kg. Four pieces of eggs are available for Tk 50-55 per hali in this area. However, eggs are being sold at Tk 48 per egg and Tk 144 per hali in most supershops.

Potato production, data mismatch

According to the estimates of Department of Agriculture Extension (DAE) and Bangladesh Bureau of Statistics (BBS), there is an annual demand of 9 million tons of potatoes in Bangladesh. 14-11.2 million tons of potatoes have been produced this year.