Cold storage operators in Bangladesh have proposed that the government include potatoes alongside rice in its upcoming food-friendly initiative, which targets 5.5 million low-income households. The program, set to launch next month, will provide rice at a subsidized rate of approximately $0.13 per kilogram, according to sources.
The Bangladesh Cold Storage Association (BCSA) has recommended a baseline price of about $0.22 per kilogram for potatoes at the cold storage gate. A formal proposal was submitted to the Ministry of Commerce on July 20, with copies sent to the ministries of Finance, Agriculture, and Food.
In the letter, the BCSA stated that Bangladesh produced around 13 million metric tons of potatoes in 2024, exceeding domestic demand by approximately 4 million tons. This surplus has led to lower prices in production areas, where potatoes are currently selling for $0.11 to $0.13 per kilogram, according to cold storage operators.
The association estimates storage costs for potatoes at $0.22 per kilogram, with total production and storage expenses amounting to about $0.15 per kilogram. To ensure fair returns for farmers, the BCSA has called for a minimum cold storage gate price of $0.22 per kilogram.
Additionally, the BCSA has suggested that each of the 5.5 million families enrolled in the government's food-friendly program receive at least 10 kilograms of potatoes. Without the implementation of a fixed price at the storage level, the association warns that farmers may be discouraged from cultivating potatoes in the 2026 season.
At present, approximately 3.5 million metric tons of potatoes are stored in around 350 cold storage facilities across the country. Operators caution that 20–30% of these stocks may remain unsold unless pricing policies are adjusted, which could lead to significant financial losses for storage owners by year-end.
Source: Financial Express