Govt to amend anti-hoarding law for controlling manipulated price hike
Dhaka, Feb 13 (UNB) - The government has taken a move to amend the toothless anti-hoarding law in order to control the price hike of essentials, as reports say profiteers manipulate the market to make the most out of lax business rules.
Official sources said the government would immediately amend the existing anti-hoarding law so that stern action could be taken against unscrupulous traders.
Commerce Ministry has already asked the respective ministries, including ministries of law, food and home affairs, to give their respective suggestions on the amendment to make the law “more effective in market intervention and regulation”.
The government’s move to root out the market syndication came at a time when the retail prices of coarse rice have increased by Tk 10 per kilogram in the last three months.
“Prices of essentials have been on a rapid rise in the recent months as all market-intervention tools have failed, putting the government in an embarrassing situation since there is no reason for rise in rice prices as there is adequate stock with the government,” said one source.
According to the Trading Corporation of Bangladesh (TCB), the price of coarse rice was Tk 26 to Tk 28 a kg. But, prices of medium-quality rice, which was Tk 34 to Tk 36 a kg a week ago, went up to Tk 35 to Tk 37 today.
Prices of fine rice also went up to Tk 40 to Tk 45 from Tk 38 to Tk 44 per kg a week ago.
Retailers alleged that the millers were stocking rice because of rising prices on the international market. So, the rice prices have been on the increase in the recent days.
The last caretaker government had a plan to mend the Hoarding Law and a proposal was prepared defining the quantity and duration of hoarding nine essential items like paddy, rice, wheat, lentil, sugar, edible oil, onion, milk powder and baby foods, sources added.
The interim government suggested the stock-keeping period for traders would be maximum 30 days, but the business associations wanted the time limit to be 120 days.
Earlier, a Commerce Ministry draft had divided hoarding into three levels -import, wholesale and retail - and proposed highest one month for storage at each level.
