Record potato production has created a surplus of the commodity in Bangladesh, yet the prices of potato have significantly increased in a week. A blame game is taking place among cold storage owners, traders and retailers over the price volatility, but market observers are pointing the finger at the profiteering of big players.
The Diamond variety of stored potato was sold at Tk 28-Tk 32 a kg last week, which was Tk 22-Tk 25 a kg earlier. Md Faruqe, a vegetable and potato wholesaler at Mirpur Section-1, said prices of the tuber crop have been witnessing a gradual rise in the last ten days.
He said granola potato was sold at Tk 22-Tk 24 a kg at cold storages in Rangpur and Munshiganj last week, from Tk 18-Tk 20 one and a half weeks back. Faruqe said that he sees no reason for the increased price of potato, as cold store houses have a huge stock.
According to the Bangladesh Bureau of Statistics and the Directorate General of Food (DGoF), potato production hit an all-time high of 9.4 million tonnes last financial year (2015-16) against a demand of maximum 7.0 million tonnes.
Consumers Association of Bangladesh (CAB) member, Mr Mosabber Hossain, said prices of most key essentials rose in the last one and half months due to the lack of government monitoring.
He said the price hike in potatoes, at such a high rate, is irrational as the country has more than 1.5 million tonnes of surplus potatoes. He said big market players raised prices intending to make windfall profits.
Cold storage owners, big traders and seasonal stockists are taking away a major portion of the profits that farmers and consumers deserve, he said.
The Bangladesh Cold Storage Association (BCSA) Chairman, Mr Jasim Uddin, said potato prices witnessed a slight hike a few days back due to rain in many places.
Many of the cold storage owners thought this rain could hamper cultivation of early varieties of potato, for which some store houses squeezed supply, he said.
But now potato is selling at Tk 17-Tk 18 a kg in Munshiganj and Rangpur, the two biggest cold storage hubs, he said.
Prices of imported garlic increased to Tk 180-Tk 200 a kg from Tk 160-180 a kg seven days back.
Meanwhile, some newly-harvested early varieties of winter vegetables like bean, radish, cauliflower, cabbage, coriander leafs, spinach (palong shak) were seen selling in the market at high prices.
Winter bean was sold at Tk 80-Tk 120, radish at Tk 45-Tk 50, and coriander leaf at Tk 250 a kg.
A tiny cauliflower was sold at Tk 35-Tk 45, while a bunch of spinach was selling at Tk 15-Tk 20.
(1 Bangladeshi Taka=0.013 USD)
Source: thefinancialexpress-bd.com
