Prices of paddy, a staple food of the country, have been hiked with the going up of the price up from Tk 200 to 300 per mound than one week before.
Concerned said that the government, millers, traders and hoarders have been buying paddy together from the market amid apprehensions of possibility of floods and import disruptions due to coronavirus pandemic. Besides, many people are not selling paddy apprehending possible cultivation disruptions and future hard time due to corona virus pandemic.
As a result, the amount of paddy expected to rise in the market has not increased. That is why there are more buyers than the supply of paddy in the market. Due to this the price of paddy is increasing.
Showing the increase in the price of paddy, the prices of all types of rice have gone up in a week at the mill gates of different areas including Sylhet, Kushtia, Noagaon, Dinajpur and Sherpur. The mill owners said that the price of rice is increasing by adjusting with the price of paddy.
Talking to retailers, it was learned that the rice which was Tk 32-33 per kg in June last year is being sold at Tk 45 per kg at the same time this year. This is the highest price of rice in the last two years.
Those concerned with the rice business said that the price of rice will continue to rise till the end of the Amon season. Many unscrupulous traders, middlemen and hoarders are stockpiling rice thinking that it is not easy to import rice from outside due to corona virus situation.
Speaking to mill owners, farmers and food officials, it was learned that Boro paddy harvesting started in full swing across the country in Ramadan. With the arrival of new paddy in the mills, the price of rice is gradually declining.
Until Eid, the prices of Miniket, Kajal lata, Basmati, Atash and coarse varieties of rice reduced from Tk 3 to 4 per kg at the mill gate. But the picture after Eid is completely different. Rice prices have been rising steadily since Eid.
Sirajul Islam, a farmer from Jurirpar village in Juri upazila of Moulvibazar district, told the Bangladesh Post, that “Me and many farmers in my village are not selling paddy. Because there is the possibility of flood ahead. It is uncertain how much I can make Amon paddy.”
He said, “I found out that this time the government will not be able to import rice from abroad. If rice is not imported then the price of rice will go up further. If I sell paddy at a lower price today, then I will have to buy rice at a higher price.”
Misir Ali, a rice trader from the same village, said, “The season is now full of paddy. There is a lot of rice in the market.”
“This time the Farias (Middle men) are buying more paddy in the villages than in the market. Since the price of paddy is high, those who are selling paddy are selling from home,” he added.
Bodrul Islam, owner of an auto rice mill in Sylhet, told the Bangladesh Post that the prices of all varieties of paddy have gone up by Tk 200 to Rs 250 per mound. Especially the prices of Atash, Kajal lata and Miniket (narrow) varieties of paddy are much higher now. The price of paddy which was Tk 700 to 750 at this time last year is now in the thousands.
Sumon Khan, a retailer in Bogura, told the Bangladesh Post that the market is higher now than before Eid. It will not be easy to bring rice from outside because of corona virus, the opportunity seekers have bought and stored a lot of paddy and rice, he added.
He said that Miniket rice which was Tk 45 per kg before Eid, is now being sold at Tk 50, Atash rice increased from Tk 28 to 48 and Kajal lata is also being sold at the same price. Even the price of coarse rice, which was Tk 30, has gone up to Rs 40 now.
Abdur Rashid, president of Bangladesh Auto Rice Mills Owners Association, told media that no syndicate is needed to increase the price of rice. Now is the time for competition. Paddy prices are high all over the country. The market price of rice is increasing in coordination with the paddy market. Although 15 percent of paddy was lost in the country due to cyclone Amphan, the yield has been good. This will not lead to a crisis of paddy and rice in the domestic market.
“Farmers are getting good prices for paddy. Paddy prices may rise further. If the price of paddy goes up, there is a danger that the price of rice will also go up,” he added.
Finance Minister AHM Mustafa Kamal on Thursday proposed an allocation of Tk 9,500 crore as subsidy for agriculture sector in the upcoming fiscal. Besides, he set aside Tk 200 crore as incentives for farm mechanisation.
“We’ve taken some important steps to maintain the growth in agriculture, and thus ensure food security for our people. Subsidy in the agriculture sector has been increased to Tk 9,500 crore,” the minister said while placing the proposed national budget for the fiscal year 2020-2021 in Parliament.
In addition, the minister said, they have raised the target for government procurement and distribution of rice and paddy by 2 lakh metric tons in FY 2020-21 to make sure that farmers get fair prices for their produces while the retail market price of rice remains stable.
Earlier, Food Minister Sadhan Chandra Majumder on Wednesday directed the officials to expedite the procurement of paddy and rice to increase stocks at government warehouses. If necessary, the food-friendly programme card will be digitised, he said.
He made the remarks while interacting with the Chattogram Division officials through a video conference from the official residence of the minister on Minto Road.
Farmers are getting bumper yields and fair prices in this Boro season. The speed of government procurement of paddy should be increased, said Sadhan warning that strict action would be taken against anyone committing irregularities in buying paddy and rice.