The New Nation - Internet Edition

Syful Islam

The outgoing year 2007 will be remembered as the 'year of price hike' as price of almost all commodities increased significantly.

Inflation rose to as high as 10 per cent officially in the year but informally it climbed more than 20 per cent in some areas.

Inflation reached intolerable level following the two phases of floods and devastating cyclone Sidr that extensively damaged crops.

According to the statistics of the government market-monitoring arm the Trading Corporation of Bangladesh (TCB), price of coarse rice rose throughout the year and reached Tk 28 in December 2007 from the previous years Tk 18. Price of rice rose by 44.74 per cent over the year.

Price of flour reached as high as Tk 38 during the last quarter of the current year marking a 41.51 per cent rise. Middle and low income people experienced intolerable pressure following the price hike of flour after coarse rice.

Per kilogram of edible oil is now being sold between Tk 86 and Tk 92 from last year's Tk 60, marking a 40.16 per cent rise in the price. Per kilogram of milk powder is now selling at Tk 515, which was selling at Tk 330 last year. Price of mutton rose by 38.10 per cent over the year while price of beef rose by 19.35 per cent, according to the TCB statistics.

Other essential commodities like price of potato rose by 10 per cent, lentil by 10 per cent and onion by 6 to 10 per cent over the year.

In the middle of 2007 price of most of the essential commodities rose by over 50 per cent on an average. At that time per kilogram (kg) of flour was selling at Tk 31 from last years same period's Tk 19 marking a rise by 56.41 per cent. In the mid 2007 last year's Tk 50 per litre loose Soyabean oil was selling at Tk 86, which marked a rise by 50 per cent.

That time onion price rose by 85 per cent. Per kg of onion was sold at Tk 40, which was Tk 24 last year. For the imported onion, price hike recorded 105.88 per cent, while the local varieties 65.22 per cent compared to the previous year.

The price hike of most of the essential commodities has compounded the misery of people, especially the middle and lower income people.

However, several measures of the government including, duty withdrawal failed to make any dent on the commodity outlay, as unscrupulous businessmen were bent upon earning huge profit.