The recent surge in edible oil prices has prompted the government to take the necessary steps to keep the essential item's prices stable in the domestic market.
Under the move, the commerce ministry is going to sit with the Bangladesh Trade and Tariff Commission (BTTC) today (Monday) to review prices and tariff structures of edible oil.
The decision came following the rising costs of soybean oil recently both in the global and domestic markets, said officials.
"The task force committee of the commerce ministry also held a meeting on Sunday, headed by senior commerce secretary to analyse the edible oil market," said a senior official of the ministry.
He said the ministry would also sit with the BTTC on Monday to evaluate the prices of soybean and other types of edible oil, their tariff structures, and so forth.
The outcomes of the meeting will be delivered to Commerce Minister Tipu Munshi for his concern.
After the analysis, the official said, they are also going to meet with the stakeholders (importers, refiners and other relevant players) to review prices of edible oil, which has gradually been increasing in the global market for the last six months.
Meanwhile, prices of branded soybean oil increased to Tk 143-144 a litre at the retail level in Bangladesh from Tk 140-141 a litre, as refiners raised prices in a week.
Maximum Retail Price (MRP) of a one-litre bottle of soybean of Rupchanda brand, a product of Bangladesh Edible Oil Ltd, has been fixed at Tk 144 while its two-litre bottle at Tk 286.
However, five-litre bottles were increased to Tk 670-685 from Tk 660-670 and it is likely to rise further, said Belal Hossain, a grocer at Jafrabad in West Dhanmondi in the city.
Meanwhile, loose soybean and palm oil prices also witnessed Tk 2.0-3.0 a litre hike.
Loose soybean was retailed at Tk 124-126, super palm Tk 115-118 and normal palm at Tk 108-110 a litre on Sunday, according to traders.
The Trading Corporation of Bangladesh (TCB) recorded a 3.0 -9.0 per cent surge in edible oil in the last seven days.
Director of the City Group Biswajit Saha, which markets Teer brand edible oil, said they were reviewing prices following the rising import costs.
He said the Bangladesh Vegetable Oil Refiners and Vanaspati Manufacturers Association (BVORVMA) sent a proposal to the Bangladesh Trade and Tariff Commission, asking for raising prices in line with the rising import costs.
He claimed that the production cost had increased to above Tk 162 a litre in March-April when the global price of crude soybean oil crossed US$ 1480 a tonne.
And the price of the oil continues to rise in May, he said.
He said refiners were also waiting to sit with the commerce ministry to discuss their proposal with a view to reviewing the prices.
A refiner, seeking anonymity, said they had proposed revising upward the MRP of bottled soybean oil to Tk 156 a litre.
Secretary of Consumers Association of Bangladesh (CAB) Md Humayun Kabir Bhuiyan recently said the government should exempt crude soybean oil imports from all kinds of taxes for a certain period as the global prices continue to surge.
Bangladesh imports 2.2-2.6 million tonnes of edible oil a year, including 0.7-0.8 million tonnes of soybean oil and 1.4-1.6 million tonnes of palm oil.
Above 95 cent of local demand is met through imports.
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