The New Nation - Internet Edition

UNB, Dhaka

Amid an unusual crunch in the food sector, the government cancelled the license of 1,969 delinquent rice mills across the country, mostly those that didn't cooperate in the public procurement drive.

According to an official disclosure, the owners of most of those mills had either kept their mills closed or rented out to others instead of operating on their own, "breaching the rules of the business".

The decision of canceling license was taken according to the decision of the Food-grain Collection and Monitoring Committees of different districts, who are playing the watchdog in the wake of food-price spirals, partly blamed on hoarding by profiteers.

An official announcement yesterday said the action was taken against the 1,969 rice mills among a total of 13,986 licensed ones countrywide.

The axe fell on a wider scale in Rajshahi division, considered country's granary. License of 1,513 rice mills was cancelled in Rajshahi division alone, while 268 in Dhaka, 160 in Khulna, 17 in Chittagong, 10 in Sylhet and one in Barisal Division.

Earlier, the authorities had requested the rice- mill owners to sign agreement with the government for supplying rice at fixed price in an effort to make the current Boro-collection drive a success in different districts of the country.

Following the request, most of the rice-mill owners signed agreement with the government. But a few did not do any deal.

"It was found out through investigation that those who didn't sign agreement were not operating rice mills according to the law," says the government disclosure.

The license of the 1,969 mills was cancelled for violating the Rice Mills Operation Ordinance 1943, said the announcement.

Moreover, it was also a demand of the rice-mill owners who entered into agreement to take action against those who went freewheeling.