The New Nation - Internet Edition

Syful Islam

Experts were of the opinion that only dominating role by the government on the private importers and businessmen through activation of Trading Corporation of Bangladesh (TCB) and creating some other similar institutions can help arrest price rise of essential commodities.

"At present there is no control of government on private importers and businessmen as the state can import very few quantities of essentials. The Government could dominate the price of essentials if it had the mechanism of import and

selling of at least half of the total demands of the foodstuffs," a Commerce Ministry official told The New Nation.

Price of essential commodities, from rice to edible oil, flour to milk powder, is increasing continuously without any let up.

For example, price of per 40 litres of edible oil rose by Tk 400 within the last three weeks. Despite commitment to the government not to raising the price of edible oil the mill owners raised price thrice in the last three weeks. Sector leaders are not responding to government plea of not raising price of essentials.

The commerce ministry official said the government has no effective arm to import and sell essential commodities in the market. The TCB is yet to be activated despite repeated call from the economists, civil society organisations and common people. And, the lone TCB will not be able to contribute in market control mechanism, he said.

He also said creation of several TCB like institutions, importing of huge quantity of foodstuffs and selling those in the market, and bringing change in the policy on hoarding can help halt the price hike.

On the other hand, the official said, execution of laws relating to the consumer rights can help arrest soaring price of essential commodities. The consumer rights protection ordinance is yet to be enacted as law.

Commerce ministry sources said at present seven Acts relating to protection of consumer rights are existing but hardly any use of those to protect the consumers against repeated onslaughts of price rises of essentials items in particular.

They said the government can control price spiral of essentials by strictly utilising the "Essential Commodities Price and Distribution Ordinance, 1970." It was enacted to control the dishonest and profit-mongering importers, producers and traders dealing with such essential commodities.

Under the law, the government can fix the maximum prices of essential commodities and display such price lists in open market places. And the traders are required to follow the price lists.

But currently, the government hardly acts to enforce the existing consumers right protection acts on the pretext of free market economy.

The existing acts in view to protect consumer rights are- Bangladesh Essential Commodities Control Ordinance -1956, Essential Commodities Price and Distribution Ordinance-1970, Safe Food Ordinance-1966, Drug Control Ordinance-1982, Trademark Act-1940 and Alternatives of Mother Breast Milk Market control Ordinance-1983-1993.

Secretary of the Consumers Association of Bangladesh (CAB) Abdul Malek yesterday told The New Nation that if the government properly applies the existing acts, the price of essentials would be reduced automatically.

"Essential Commodities Price and Distribution Ordinance -1970 is the appropriate act to manage the present situation of market price," he said.