Fruits Selling at Five to Six Times Their Import Price, Consumer Anger Growing

PNN News Desk. Dhaka

Fresh questions have emerged over the prices of imported fruits in the country’s markets. In retail markets, oranges are being sold at Tk 450 to Tk 520 per kilogram, while pomegranates are selling for around Tk 520 per kilogram. In contrast, the import price of oranges brought from South Africa and Egypt is around 70 cents, or approximately Tk 87, per kilogram. The huge gap between import prices and retail prices has triggered anger among consumers.

Businesspeople say fruit prices have increased because of high duties and taxes on imports, transportation costs and supply shortages. However, consumer rights activists argue that the current market prices cannot be explained solely by import costs. They say irregularities in supply and price determination, as well as excessive profit-making practices, should also be investigated.

At a meeting with fruit traders at the Secretariat on Saturday, Commerce Minister Khandaker Abdul Muktadir expressed dissatisfaction over the issue. He asked traders to explain how the price of a kilogram of oranges reaches as high as Tk 520 after adding import costs, duties and other expenses.

At the meeting, the commerce minister instructed the Directorate of National Consumers’ Right Protection to take strict legal action if evidence of fruits being sold at unusually high prices is found. He also urged traders to increase fruit imports to keep supplies normal in the market.

Fruit traders claim that the total tax burden on imported fruits in Bangladesh can reach as high as 121.78 percent through various stages. In other words, if goods worth Tk 100 are imported, additional costs including duties and taxes can amount to nearly Tk 122.

According to the traders, imports of oranges have declined significantly in recent months because of high taxes as well as the risk of losses in the market. Previously, 70 to 80 containers of oranges were cleared every week, but that number has now fallen to around 12 containers.

They say the decline in imports has created a supply shortage in the market. Transportation and other associated costs are then added to the price, eventually increasing the retail price of fruits.

Meanwhile, as the prevalence of dengue has increased in the country, demand for nutritious food for patients has also risen. In particular, demand for fruits such as oranges, pomegranates and coconuts has increased recently.

Consumers allege that some traders have taken advantage of the increased demand to raise prices excessively. As a result, relatives of patients and ordinary consumers are being forced to buy these fruits at higher prices.

SM Nazer Hossain, vice-president of the Consumers Association of Bangladesh (CAB), said that even when duties are reduced, the benefit does not always reach consumers at the retail level. In such cases, importers, wholesalers and retailers blame one another for the higher prices.

In his view, the imported fruit market cannot be controlled simply through directives or occasional drives. Regular market monitoring, investigation into the actual causes of price increases and effective legal action when irregularities are found are all necessary.

The claims of fruit traders regarding high duties and supply shortages, as well as the allegations from consumer rights activists about inadequate market monitoring, have both come to the forefront. As a result, stakeholders believe it has become essential to examine the costs and profit margins at every stage, from the import price to the retail market.