Rice prices rise amid higher paddy, transport costs

Rice prices have risen by Tk 1 to Tk 2 per kilogram in Dhaka’s retail markets over the past week, with traders citing higher paddy prices, fuel costs, transportation expenses and seasonal factors. 

Questions have also emerged over whether the revised government pay structure and payment of salary arrears could boost demand, although no direct evidence has established a link.

Market observations on Thursday showed miniket rice selling at Tk 75 per kg, up from Tk 73 a week earlier. Atash rice rose to Tk 63�"65 from Tk 62�"63, while paijam increased to Tk 60 from Tk 58. Coarse varieties, including guti swarna, remained unchanged at Tk 50�"55 per kg.

A market survey on October 20 found fine rice selling at Tk 74�"75 per kg, medium-quality varieties at Tk 58�"65 and coarse rice at Tk 50�"55, with prices varying by quality and location.

Traders said higher transportation costs had contributed to the increase. A wholesale trader at Mohammadpur Krishi Market said the cost of transporting a truckload of rice from Kushtia to Dhaka had risen to Tk 24,000 from Tk 20,000.

Paddy prices have also increased, pushing up milling costs. A leader of a rice mill owners’ association in Kushtia said paddy prices had risen to Tk 1,240 per maund from Tk 1,120 over the past month.

Humayun Chishty, a trader at Malibagh Market, said higher fuel prices had increased truck fares, while prices of several rice varieties had risen by Tk 50 to Tk 100 per sack.

Mohammad Bacchu, a wholesaler and retailer at Karwan Bazar, said the price of a 50kg sack of fine rice had climbed to Tk 3,200 from Tk 3,000 within a week, equivalent to an increase of Tk 4 per kg.

Nirod Baran Saha, president of the Naogaon Paddy and Rice Wholesalers and Traders Association, said wholesale prices of fine rice had increased by Tk 30�"50 per maund over five days. Fine rice was selling at Tk 2,050�"2,080 per maund, equivalent to 37.32kg. 

“As the harvesting season is nearing its end, prices of different varieties of rice have recently increased by Tk 1 to Tk 1.50 per kg. This is normal for this time of year,” he said.

Meanwhile, the revised national pay structure for government employees took effect on July 1, 2026, raising the minimum basic salary from Tk 8,250 to Tk 20,000 and the maximum from Tk 78,000 to Tk 156,000. The government also planned to pay nearly three months of salary arrears alongside October salaries.

The additional income could boost purchasing power and demand for essential commodities. However, its actual impact on rice prices remains uncertain and needs to be assessed alongside supply, inventories, paddy procurement and consumer purchasing patterns. Many private-sector workers, day labourers and people on fixed incomes have not received comparable increases, leaving them more vulnerable to rising food costs.

Discrepancies have also emerged between market observations and official data. While market inspections indicated rising prices, a recent report citing Trading Corporation of Bangladesh (TCB) data found no weekly increase in rice prices and a slight decline in fine rice prices. A TCB official said the discrepancies would be examined.

Regular market monitoring, transparent price information and scrutiny of mill inventories and wholesale-retail margins are needed to establish the reasons for the increase. Authorities should ensure adequate supplies and investigate possible artificial shortages or unjustified price hikes to protect consumers.