A first look at the pricing table may give the impression that it has been picked up from a history book depicting the era of Moghul ruler Nawab Shaista Khan.
Nawab’s tenure of Bengal during the 17th century has been widely fabled for the uncannily low prices of essentials, attaining proverbial attributions.
However, the reality is that the table is from the 21st century and actually shows the prices at which contractors supply food items to the Dhaka Medical College Hospital (DMCH) - at a time when price hikes of essentials have constantly remained one of the biggest talks of the town.
Investigations conducted by this correspondent have revealed a story of cunning corruption by a syndicate of private contractors who make huge profits by supplying food items to the DMCH.
The food items that are supplied to the hospital are classified into nine groups according to their type.
For example, group six consists of three fruits: bananas, apples and oranges. Two companies: Mrs Sko Trading Company and Mrs Rahat Enterprise, both from the capital’s Mohakhali area, have the work order for supplying these fruits. They have jointly won the competitive tender by quoting Tk2.59 per banana, and stunningly, one paisa per kilogram of apples or oranges.
Bananas are one of the most regular featuring items in meals that the hospital authorities provide to patients. The market price for a six inch long “Sagar” banana is around Tk6-Tk7. The average market price per kg of apples and oranges is not less than Tk150.
So, how do these contractors manage to supply these fruits at such low prices? Sources said there are a number of ways in which the contractors make up for the low prices they quote.
The first discrepancy lies in the amount or volume of items they supply. The contractors reportedly make secret deals with the person in charge of receiving the supply consignments on behalf of the hospital. The person in charge would accept a consignment for, say, 500 bananas on paper, but the actual amount supplied would not be more than 300 pieces. The contractors allegedly bribe the hospital employee to sign the invoice.
As for apples and oranges – the contractors can supply these two fruits at only one paisa per kg because they generally do it only once or twice a year at best, especially during the two Eid festivals.
Group five consists of 16 vegetables for which contractor Rahat Enterprise quoted Tk45.09 per kg to bag the work order. In that list, potatoes and green papayas are the only two heavily consumed vegetables that feature on the hospital menu almost every day. Potatoes and papayas are both quoted Tk20 per kg, and the prices of the remaining 14 rarely consumed items only Tk5.09.
The contractor covers for the items in this group in the exact same way the contractors cover for the low prices of the items in group six.
The supply invoice from April 25, 2013, shows that on that date, contractors supplied 750kg rice, 90kg pulse, 88kg edible oil, 86kg onion, 65kg potato, 540kg vegetables, 154kg fish and 154kg chicken.
According to the papers that the Dhaka Tribune has accessed, potatoes were quoted at Tk20 and most of the other vegetables at one paisa per kg. Soybean oil was supplied at Tk40 per kg despite its market price being between Tk108 and Tk112. “Moshur,” the most widely consumed pulse at the hospital, was supplied at Tk50 per kg, although its market price was not less than Tk80.
Sources said the contractors must have manipulated the weights because otherwise they would not have been able to supply at such low prices.
There are also allegations that the contractors sometimes supply low quality and rotten items, especially vegetables, posing serious health risks to the hospital patients.
On July 1, the hospital authority raised the price of a meal from Tk75 to Tk125.
The Dhaka Tribune has come to learn about a syndicate of contractors. The syndicate is an active group of suppliers who work together collectively to fix and manipulate tenders and prevent independent suppliers- who quote realistic prices- from bagging any work orders. Together they quote such low prices that it becomes impossible for independent suppliers to compete in the tender process.
This correspondent has repeatedly tried to contact the suppliers but none agreed to comment on the allegations.
When asked, DMCH Director Brigadier General Mustafizur Rahman claimed that there had been no irregularity in the tender process.
Deputy Director Dr Musfiqur Rahman said there were separate committees in place at the hospital to scrutinise the documents that the contractors submit and to maintain the quality of the food items supplied.
