TCB to import 3.30 cr litres of soybean oil from two foreign companies without tender

Trading Corporation of Bangladesh (TCB) , the state marketing agency, will import 33 million (3.30 crore) litres of soybean oil from two companies, one from United Arab Emirates and another from Canada, through direct purchase method (DPM) without any tender process.

Cabinet Committee on Government Purchase (CCGP) in a meeting on Wednesday approved a proposal placed by the Commerce Ministry in this regard.

The committee also approved two separate proposals on fertiliser import which shows that the price of urea fertiliser has substantially decreased in the global market.

Finance Minister AHM Mustafa Kamal presided over the virtual meeting while members of the committee joined it.

According to the proposal, some 22 million (2.20 crore) litres of edible oil will be procured from Ferrani Polaska Spzoo Food Stuff Trading LLC, UAE (local agent: Shan Trading Ltd, Dhaka) while 11 million (1.10 crore) litres of oil from Canada INC, Canada (local agent: Haque Group, Dhaka).

The entire import will cost Tk 448.82 crore, with each litre costing $1.44 (equivalent to Tk 136) valuing each dollar Tk 94.45. The TCB will sell the edible oil in bottles, each having two litres of oil.

Besides, Bangladesh Chemical Industries Corporation (BCIC) under the Industries Ministry will procure 30,000 metric tons of bagged granular urea fertiliser from Karnaphuli Fertilizer Company Limited (Kafco) at a cost of Tk 157.32 crore, with each metric ton costing $557.87. Earlier, such price was $567.50 per metric ton.

The BCIC will import another 30,000 mt of bulk granular urea fertiliser from Saudi Arabia-based SABIC Agri-nutrients Company at a cost of Tk 158.15 crore, each metric ton costing $560.83. Earlier such price was 597.57 per metric ton.

Meanwhile, the Cabinet Committee on Economic Affairs approved two proposals in principle for import of fertiliser under state-to-state contracts.

Under these contracts, BCIC will import 3.6 lakh metric tons of urea fertiliser from Fertiglobe Distribution Ltd, UAE, Qatar under state to state agreement while Bangladesh Agriculture Development Corporation (BADC) will import one lakh (100,000) metric tons of MOP fertiliser from UAE-based Falco General Trading LLC.

However, the two proposals will require a final approval from the Cabinet Committee on Government Purchase to start the import by stretching prices.

Source: United News of Bangladesh