As the government starts open market sale (OMS) of rice from Sunday, prices of the staple increased last week in the city retails.
Seasonal coarse rice Swarna sold at Tk 48-Tk 52 while hybrids at Tk 46-Tk 48 a kg on the city retail markets on Thursday-a Tk 2.0 hike in a week.
Fine-quality Miniket, Jeerashail and Najirshail were traded at Tk 65-Tk 72 a kg while medium variety Brridhan-28, Paijam sold at Tk 55-Tk 60 a kg-a Tk 2.0-Tk 3.0 hike at per kg during the period.
The current prices of rice are 35-40 per cent higher than a year back, according to data from the state-run Trading Corporation of Bangladesh.
Traders attributed the latest hike in rice prices to low production in Aman season while experts blamed a section of importers and millers for the hike.
Md Kaikobad Hossain, a Babubazar-based trader, told the FE that rice prices increased by Tk 2.0-Tk 2.5 a kg at mill-gates in Naogaon, Jaypurhat, Rajshahi, Kushtia, Rangpur and Dinajpur in the last one and a half weeks.
He said traders were selling local Swarna at Tk 48 a kg while imported variety at Tk 46 a kg to retailers.
K M Layek Ali, secretary of the Bangladesh Auto Major Husking Mill Owners Association, told the FE Aman production fell significantly this year, which pushed up paddy prices.
He said paddy prices were all-time high this season considering any Aman harvesting seasons in the country.
He said the season started with Tk 920-Tk 950 a maund (40 kgs) in November, which is now Tk 1,000-Tk 1,020 a maund.
He said milling cost of Swarna is now minimum Tk 41.5 a kg.
He said Najirshail paddy is now selling at Tk1,450-Tk 1,500 a maund when milling cost is minimum Tk 60.5 a kg.
He said quality Swarna prices have increased by Tk 2.0 in the last two weeks and are now selling at Tk 42.5 to Tk 43 a kg at mill-gates.
Mr Ali, however, noted that prices of Miniket and Jeerashail are higher as it is off season of those varieties.
Consumers Association of Bangladesh (CAB) president Golam Rahman said the government monitoring should be stricter focusing key wholesales and mills in paddy-growing districts.
He said importers should also come under close observation so that they couldn't make unethical profits at the cost of consumers.
He said import costs of Swarna were now Tk 36-Tk 37, which are trading at Tk 50-Tk 52 a kg in Dhaka.
A large price gap persists between mill-gate and the retail level, which should be minimised, he said.
According to the food ministry, the country imported 3.15 million tonnes of rice in eight months of the current financial year.
The ministry data said import cost of rice is now Tk 36-Tk 38 a kg based on varieties (US $386-$430 per tonne).
Golam Rahman said the government's OMS and FFP programmes should be continued until the next Boro harvesting season to give the commoners a relief.
Meanwhile, the government is going to start OMS programme from next Sunday in the capital and all district towns in the country.
The food department will provide rice at Tk 30 a kg and Aata (flour) at Tk 17 a kg through OMS trucks.
A total of 806 OMS trucks are going to be deployed across the country, including 109 in the capital. Each of the dealers might get one tonne of rice and flour (aata) for distribution.
The department has also started distributing rice at Tk 10 a kg in village level targeting 5.0 million people under its FFP programme.
It has now 1.12 million tonnes of rice in its stock.
