CHATTOGRAM, Jan 3: Rice market is witnessing a rising trend in the port city, Chattogram. The prices of rice have hiked to Taka 200 per bag of 50 kg.
According to trading circle prices of rice have marked a sharp rise in Chattogram Market within one month.
Omar Azam, General Secretary of Chaktai Rice sellers Association said that in the wholesale market of Chattogram, in Khatunganj and Chaktai, a 25 kg bag of Swarna-5 is now selling at Taka 1,470 while it was sold at Taka below 1,400; A bag of 25 kg of kataribhog is selling at Taka 1,880 while it was sold below Taka 1,800 in the previous month.
According to trading circle in Chattogram, the new arrival of local rice and the import rice from India have increased remarkably. But strangely the prices of rices marked sharp rise in the market. Besides, the prices of paddy also marked a rise of Taka 200 per maund (37.5 kg).
Meanwhile, to keep rice prices affordable, the National Board of Revenue reduced both import duty and regulatory duty and also withdrew advance tax.
The import duty on rice has been reduced from 25 percent to 15 percent, and the regulatory duty from 25 percent to 5 percent. The 5 percent advance tax has also been entirely withdrawn.
The NBR forecasts that the step will lower the cost of rice. But the prices have increased despite the NBR move for reduction of foodgrain prices in the market.
Moreover, Bangladesh Bank (BB) has allowed delayed payment of bills for importing 11 essential food items ahead of the holy month of Ramadan.
The products are - rice, wheat, onion, pulses, edible oil, sugar, eggs, chickpeas, peas, spices and dates.
On November 11, the foreign exchange policy department of BB issued a circular in this regard and sent it to the top executives of the bank for immediate execution.
The central bank says that this decision has been taken to facilitate transactions in the case of imports and the facility will be applicable till March 31, 2025.
Meanwhile, a ship carrying rice from India has reached the waters of Chattogram Port on December 25 last. A total of 24,690 tonnes rice shipment, part of a 50,000-tonne order was unloaded at Chattogram Port.
The rice was procured through an international open tender issued by the Directorate General of Food in November, where an Indian company won the contract to supply 50,000 tonnes of rice.
The second consignment of rice from India is expected to arrive in the first week of January.
Meanwhile, after a two-year hiatus, rice imports from India have resumed through the Benapole port on November 18 last.
Importers said that due to the rising price of rice in the domestic market, the government waived the import duty, leading to the resumption of rice imports.
As India has also lifted price restrictions on rice exports, the imports are expected to increase, helping to stabilize the domestic market price.
The government authorised 24 importers, including 12 from the Jashore to bring in 73,000 tonnes of parboiled rice and 19,000 tonnes of Atap rice..
India had imposed restrictions on exporting parboiled and Atap rice in July 2023, which were recently relaxed.
On November 11, the Ministry of Food permitted the import of 120,000 tonnes of parboiled rice and 55,000 tonnes of Atap rice by 24 importers.
Meanwhile Rice market is witnessing declining trend in the port city, Chattogram.
According to trading circle in Chattogram, the new arrival of local rice and the import rice from India have increased remarkably resulting in the decline of prices.
