Citing rising prices on the international market, the commerce ministry has agreed to a proposal to raise edible oil prices again. Under the new proposal, bottled soybean oil will cost Tk 160 a litre, up from Tk 153, a rise of Tk 7 a litre. If the commerce minister and secretary approve the proposal, the Bangladesh Vegetable Oil Refiners and Vanaspati Manufacturers Association will announce it formally.

The proposal was made on Sunday (17 October) at a meeting on stocks, imports and pricing of essential goods, led by AHM Safiquzzaman, additional secretary of the commerce ministry's Import and Internal Trade (IIT) wing.

After the meeting, Safiquzzaman said: "We had set the price of bottled soybean oil at Tk 153. As prices were rising on the international market, they applied for a price rise within 8 to 10 days. Under a 2011 law, the Tariff Commission analyses prices every 15 days and makes recommendations. We set the price after discussion with the commerce ministry and the refiners. The refiners' association then declares it on its official letterhead."

Explaining the decision on oil, Safiquzzaman said the association had proposed raising bottled oil to Tk 168 a kg. The Tariff Commission sat several times and proposed Tk 162, based on September's average report. After long discussion, the price of bottled oil was set at Tk 160 a kg, up from Tk 153. (He spoke of a kg; the report's opening gives the figure per litre.)

The new proposed prices are Tk 136 a litre for loose soybean oil, Tk 760 for a five-litre bottle and Tk 119 for palm oil, up from Tk 129 a litre for loose soybean oil, Tk 728 for a five-litre bottle and Tk 116 for palm oil.

He said the proposal will be put to the commerce secretary, who will finalise it after speaking to the minister and inform the refiners. The refiners will then announce it on their letterhead.

The additional secretary said that on 4 October the Tariff Commission gave its report on sugar and oil in response to the application made last month. Onion prices had been unstable, he said, but with special focus over the past week, and by the grace of Allah, the onion market had been brought to a fairly good level.

Saying onions are coming from Myanmar, he added that this will reduce dependence on India for onion imports. "I expect the onion market will not be unstable any more. We can express the hope that we will be able to bring relief on onions," he said.

On sugar, Safiquzzaman said a decision would be taken very soon, after assessing and informing the public, on when the regulatory duty on sugar will take effect.

Source: Banglanews24. First published in Bengali on The Agro News.