Reduce onion prices to tolerable level

It is worrying to note that while the prices of vegetables were decreasing steadily, onion prices remained high at kitchen markets in the capital and elsewhere in the country on Wednesday. According to a report of this newspaper yesterday, local onions were sold for between Tk. 210 and Tk. 230 per kg in the retail market on Wednesday. The imported varieties fetched between Tk. 180 and Tk. 210 per kg.

The authorities said that none of the government initiatives has helped to reduce the onion prices. There are allegations from buyers that onion prices could not be contained due to lack of proper monitoring of the wholesale market. It is gathered that the country has enough onions in stock and the imported varieties have reached the markets. Then why the price has remained unchanged? In mid-September, India announced a ban on onion exports with immediate effect after extended monsoon rains delayed harvests and supply dried up. Following the ban, onion traders in Bangladesh increased the price of all varieties of onions.

The sudden high price of onion has left an adverse impact on the purchasing capacity of buyers of fixed income group. Every family needs onion for daily consumption. If prices of the same go up they put strain on the family budget. How many families can afford the extra money?

It is expected that if new onion is harvested the price will come down to a tolerable level. But the government must brace for future and should not rely on the import of onion solely from India. Onion should be imported from other countries as well. There should be sufficient stock of onion so that no crisis of the same surfaces. The government should expedite import of onion. The relevant authorities should see whether an artificial crisis of onion has been created by traders for reaping the benefits.  

It is imperative for the relevant government officials and business community leaders to step up its monitoring at all stages of the supply chain. The situation also calls for punitive measures against hoarders for freeing buyers from the evil machination. Assessing the supply and demand position in the kitchen market is also necessary.

 

 

Reduce onion prices to tolerable level

It is worrying to note that while the prices of vegetables were decreasing steadily, onion prices remained high at kitchen markets in the capital and elsewhere in the country on Wednesday. According to a report of this newspaper yesterday, local onions were sold for between Tk. 210 and Tk. 230 per kg in the retail market on Wednesday. The imported varieties fetched between Tk. 180 and Tk. 210 per kg. The authorities said that none of the government initiatives has helped to reduce the onion prices. There are allegations from buyers that onion prices could not be contained due to lack of proper monitoring of the wholesale market. It is gathered that the country has enough onions in stock and the imported varieties have reached the markets. Then why the price has remained unchanged? In mid-September, India announced a ban on onion exports with immediate effect after extended monsoon rains delayed harvests and supply dried up. Following the ban, onion traders in Bangladesh increased the price of all varieties of onions. The sudden high price of onion has left an adverse impact on the purchasing capacity of buyers of fixed income group. Every family needs onion for daily consumption. If prices of the same go up they put strain on the family budget. How many families can afford the extra money? It is expected that if new onion is harvested the price will come down to a tolerable level. But the government must brace for future and should not rely on the import of onion solely from India. Onion should be imported from other countries as well. There should be sufficient stock of onion so that no crisis of the same surfaces. The government should expedite import of onion. The relevant authorities should see whether an artificial crisis of onion has been created by traders for reaping the benefits. It is imperative for the relevant government officials and business community leaders to step up its monitoring at all stages of the supply chain. The situation also calls for punitive measures against hoarders for freeing buyers from the evil machination. Assessing the supply and demand position in the kitchen market is also necessary.