Bottled soybean oil has become scarce in Dhaka's markets. A shortfall at dealer level has reached neighbourhood grocers, where one- and two-litre bottles are hard to find. Retailers and the consumer rights body allege the squeeze is meant to push the government into another increase of about Tk 6 a litre.

Although government-set prices are in force, loose soybean oil is selling at Tk 195 a litre at retail, Tk 15 above the fixed Tk 180. On Friday morning four of six grocers checked at Naya Bazar had no one- or two-litre bottles; at Jinjira kitchen market three of eight shops had one-litre bottles and two had two-litre bottles, though five-litre bottles were available.

Sagar, a grocer at Jinjira market, said his daily demand is 20 cartons but dealers are supplying 2 to 4. A dealer for one brand at Karwan Bazar, who asked not to be named, said the companies want to raise prices again and have cut supply to dealers.

The tussle over prices dates from July. On 11 July the Bangladesh Vegetable Oil Refiners and Vanaspati Manufacturers Association proposed rises of Tk 8–10 a litre — Tk 209 for a one-litre bottle, Tk 1,015 for five litres, Tk 188 a litre for loose soybean and Tk 183 for loose palm oil. On 2 September the government instead raised the one-litre bottle by Tk 5 to Tk 204 and loose soybean by Tk 4 to Tk 180.

SM Nazer Hossain, vice-president of the Consumers Association of Bangladesh (CAB), said four or five large companies control 85–90 percent of the soybean oil market and at times cut supply through their dealers to pressure the government and raise prices.

Sources at the refiners' association say higher world prices, import costs and the fuel price rise have lifted costs by Tk 18–20 a litre above current prices. But an official of the commerce ministry's price task force said there is no edible-oil shortage, the companies have not written seeking a new increase, and any supply cut aimed at raising prices will be investigated.

Reported by Nagorik Online, Nagorik TV.

Source: Nagorik TV