Dhaka: Commerce Minister Khandakar Abdul Muktadir announced today that the pricing of soybean oil in Bangladesh will be adjusted in alignment with international market rates, as well as domestic production and processing expenses.
According to Bangladesh Sangbad Sangstha, Muktadir emphasized that the pricing of edible oil is primarily determined by global market conditions, considering the costs of local production and processing. Speaking to journalists in Mohakhali, the minister highlighted that the country's dependency on imported soybean oil means that fluctuations in global commodity prices significantly affect local markets.
Muktadir elaborated on the Ministry of Commerce's specific formula for setting the price of imported edible oil, which involves adding freight, unloading charges, insurance, refinery processing fees, and transportation wastage to the Free on Board (FOB) price. He assured that both ordinary citizens and media professionals can verify these calculations through international price indices.
Addressing concerns about potential losses for traders, Muktadir noted that the edible oil sector in Bangladesh is heavily reliant on the private sector. He cautioned that prolonged losses for importers could disrupt the market supply, emphasizing the importance of maintaining a balance to ensure continuous supply and prevent entrepreneurs from exiting the business.
To stabilize the market, the government is providing essential commodities at subsidized rates to approximately 7.8 million families each month via the Trading Corporation of Bangladesh (TCB). Additionally, products are distributed through open trucks during the Eid festivals, and regular Open Market Sale (OMS) activities are conducted under the Ministry of Food's oversight.
On the sugar market, Muktadir mentioned that Meghna Group, a major refiner, has ample raw sugar inventory, and any production disruptions due to utility issues are expected to be resolved shortly.
Regarding the pay scale for government employees, Muktadir stated that salaries had not been revised for 11 years, and the planned adjustments are justified given current inflation rates. The new pay scale will be introduced gradually by July next year, mitigating concerns about market distortions or sudden price hikes.
On the topic of fragrant rice exports, the minister reported that only about 2,500 tonnes of rice have been exported against the approved quota. He warned that approvals for exporters who failed to meet deadlines would be revoked or significantly reduced.