Retail prices of onion remained unchanged at their highs despite slight fall in wholesale market amid improved supply yesterday.
On the day, per kilogram locally produced onion sold for Tk110 to Tk115 while imported one sold for Tk100 in different kitchen markets in the capital.
Prices of the essential kitchen item shot up soon after the Indian government’s ban on exports of onion and its earlier directive setting the minimum export prices (MEP) at $850 per ton, up from $350.
During visits to wholesale markets in Dhaka and Chittagong, Dhaka Tribune found slight fall in the prices of onion, but the retail prices remained as high as before.
The supply of onion improved amid imports from China, Egypt and Myanmar, while government monitoring also helped to offload stocks of local onion into the market.
According to Chittagong Port Authority, on Monday about 364 tons of onion entered the country from China and Egypt Myanmar through Chittagong Port, the country’s premier maritime port.
In addition, Bangladesh also imported onion from Myanmar through Teknaf Land Port.
“Onion prices went up slightly on Monday due to higher demand, which came down today (Tuesday) by around Tk5-10 per kilogram,” Hazi Md Mazed, an importer and owner of M/S Raj Trading at Shayam Bazar, told Dhaka Tribune.
On the other hand, supply of onion increased due to bulk imports from Myanmar, Mazed mentioned.
He claimed that prices of onion also went down at retail level.
As per the data of land port, Bangladesh imported 3,735 tons of onion from Myanmar, of which a larger amount was imported during last couple of days.
“There is an adequate stock of the bulbs in the wholesale market. We are held hostage by the importers as they dictate the price,” Jahangir Alam, president of Chaktai-Khatunganj Wholesale General Merchants Welfare Association, told Dhaka Tribune.
He also predicted that onion prices would come down to a tolerable level with the import from a number of countries.
“In last two day, I sold over 2,000 kg onion, which came down to 1000 to 800 kg today (Tuesday) but the prices at wholesale Bazaar at Pabna and Shyam Bazar have remained high,” Akbar Ali, a wholesaler at Karwanbazar, told Dhaka Tribune.
He also claimed they had to sell incurring losses of Tk3 to Tk5 per kg as the demands fell due soaring prices.
Akbar was selling per kilo local onion at Tk100 as a wholesaler.
He, however, hoped that the prices would come down if hoarders started to offload stocks.
Price at retail and wholesale markets
As of yesterday, per kilogram of locally produced and imported onion sold for Tk110 to Tk115 and Tk100 respectively in different kitchen markets in the capital.
At wholesale markets in Dhaka and Chittagong, local onion sold at Tk95 to Tk100 and imported one at Tk90.
However, imported onion sold at Tk70 Tk80 per kilo and local one at Tk70 to Tk80 per kilo at Shyam Bazar, the largest wholesale market in Dhaka.
“It is most frustrating for the country that a kilogram of onion is being sold at Tk115, which is beyond the reach of common people,” Mohammad Asraf Ali, a retired government official, told Dhaka Tribune at Mirpur 14 kitchen market.
For the low income or fixed income people, it would add to their already heavy burden of expenses, said Ali.
He blamed lax monitoring and greedy businesspeople for this situation.
Calls for monitoring
The Consumers Association Bangladesh (CAB) has urged the government to intensify market monitoring to contain the soaring prices of onion.
“The price of onion has already gone through the roof. Whenever the commodity market turns volatile, the wholesalers and the retailers engage in a blame game. But the consumers get the short end of the stick. Intense market monitoring, import from alternative sources and open market sale through the Trading Corporation of Bangladesh (TCB) will make the market stable,” said CAB Central Vice President SM Nazer Hossain.
Meanwhile, the sales of onion both in retail and wholesale market saw a decline. Merchant said consumers were not willing to buy at higher prices, while they were also not stocking hoping fall in prices.
Drive sends prices down in Ctg
When this correspondent visited the commodity hub at Khatunganj early in the morning, onion was found selling for Tk 90-100, depending on their varieties and quality.
However, the onion prices abruptly fell by Tk20-25 per kg with the arrival of a mobile court of Chittagong District Administration.
Executive Magistrate Touhidul Islam, who led the mobile court at the wholesale market, told Dhaka Tribune that they checked the papers and found that that the wholesalers were selling onion at a much higher price than their purchase price.
The mobile court found that Ms Achhiuddin Traders purchased Burmese variety at Tk42 on Monday but sold at Tk80 on Tuesday.
Ms New Shah Amanat Traders sold Indian variety of onion at Tk45-60 on Sunday. The wholesaler sold the same variety at Tk90-100 on Monday.
Ms Shahjalal Traders sold Indian variety of onion at 50-60 on Sunday and Tk90-100 on Monday.
