The New Nation - Internet Edition

Syful Islam

Consumers are not only paying more for edible oil but also suffering additional loss as they get 900 millilitres of edible oil is 1-litre bottles each.

"On Friday I paid Tk 115 to buy a 1-litre bottle of edible oil which actually contains 900 ml. 'Five litre' containers never carry more than 4.5 litres," said Rafiqul Islam, a private company employee in city's Demra area.

None of the retailers are following government fixed price of edible oil and charging Tk 115 to Tk 120 for per litre. The government last week fixed retail price of soybean oil at Tk 106.50 per litre and palm oil at Tk 99.50.

An investigation has shown that one-litre bottle of almost-all oil companies actually contains 900 ml of oil but consumers have to pay price of one litre of oil per bottle. The oil companies are thus breaching the Bangladesh Standards Testing Institute rules.

Informed sources said a strong syndicate is active to make the market of edible oil unstable and to earn extra profit.

"Syndicate is more active taking advantage of soft attitude of the government," said president of Bangladesh Economic Association Qazi Khaliquzzaman Ahmed.

The governments 'stop gap' arrangements to market essentials at lower price through RAB and BDR, is not effective, he said.

The government recently identified three companies, which have exported edible oil to neighbouring India at prices that are lower than the local market prices.

The three companies have exported per litre of edible oil at Tk 48 to neighbouring India while the local market price was at Tk 90 per litre. Commerce Secretary Firoz Ahmed said the government has already asked the National Board of Revenue and the Bangladesh Bank to take immediate action against the three exporters.

"This is a financial crime. It should be checked. The three companies, it is believed, under-invoiced oil export. The NBR will take action under the Customs Act while the Bangladesh Bank will find if there is a case of money laundering," Firoz told The New Nation yesterday.

"Three big exporters can export edible oil if the price is reasonable. If the export price is lower than the local market price, then what's the justification?" he asked.

He said last year edible oil export from Bangladesh increased significantly and it has now been recoignised as an item of export.

In the recent past edible oil importers and refiners have raised prices repeatedly crossing all the limits. The mill owners increased price of oil violating the government directives and breaking their commitments to the people. None of the market players--- importers, wholesalers and retailers-are flowing government directives.

The President of the Bangladesh Vegetable Oil Refiners and Banaspati Manufacturers Association MA Rouf Chowdhury on February 13 at a meeting in commerce ministry pledged not to raise edible oil price until February 24. But the price increased by Tk 250 per 40 litres within two days of the meeting.

He told newsmen that prices of oil will be re-fixed in every 15 days in consultation with commerce ministry and the law enforcing agencies. But the price went up again without any notice.