Prices of essential goods rising ahead of Ramadan, buyers concerned

Staff Report: PNN

Although there is still nearly a month to go before the holy month of Ramadan, extra pressure has already been observed in the market for essential goods. In the past week, prices of several items, including soybean oil, palm oil, sugar, lentils, chickpeas, ginger, and garlic, have increased. Businesspeople have stated that although imports have increased, delays in clearing goods at Chittagong port are affecting wholesale and retail markets.

Businessmen claim that in anticipation of Ramadan, much more goods have been imported compared to last year. Products that arrived under letters of credit (LCs) opened in September and October have now begun reaching the country. However, due to prolonged delays at the port, supply has not normalized.

A visit to the largest wholesale market in Chittagong, Khattunganj, revealed that the price of chickpeas per kilogram has risen by 5 BDT, from 70 to 75 BDT. The price of Anchor lentils has increased by 2 BDT per kilogram, from 45 to 48 BDT. At the same time, wholesale prices of sugar and palm oil have risen by nearly 100 BDT each. Prices of ginger and garlic are also on the rise. This trend is beginning to affect retail markets in the capital and other areas. According to the recent market price report from the government agency TCB, this price increase has been recorded.

Economists say that price hikes during Ramadan are not new. Mustafa K. Mujeri, former Director General of the Bangladesh Institute of Development Studies (BIDS), said, “Every year, businesspeople increase prices under various excuses. If market monitoring and transparency in wholesale markets are not ensured, controlling price pressure during Ramadan will be difficult.”

The president of the Consumers Association of Bangladesh (CAB), A.H.M. Shafiquzzaman, said, “The increase in prices before Ramadan proves there is a lack of market oversight. Although the government claims sufficient imports, the benefits have not yet reached consumers.”

According to relevant sources, more than 4.5 million tons of food items are awaiting clearance at Chittagong port across over 100 ships. These include wheat, corn, lentils, chickpeas, edible oils, and sugar. Importers say that due to shortages of lighter vessels and port capacity issues, rapid clearance of goods is not possible.

According to central bank data, the amount of LC opening for essential goods imports has increased significantly compared to the previous year ahead of Ramadan. The Ministry of Commerce and NBR have stated that duties and taxes have been maintained at reasonable levels to stabilize the market. However, in practice, the impact is not being felt in the market, raising consumer concerns about price hikes during Ramadan.