Rice Prices Climb Again Despite Normal Supply: Buyers Pay Tk 1–3 More per Kg in a Week
Rice prices have risen again in the capital's markets within a week. Depending on variety and quality, buyers now have to spend Tk 1 to 3 more per kilogram. Although rice supply in the market is normal, the higher prices have put ordinary people in difficulty, and the pressure on the monthly budgets of low-income families has grown further.
On Friday (October 23), at rice shops in the Shanir Akhra and Jatrabari markets of the capital, buyers were seen checking the prices of different varieties. Some were looking for cheaper coarse rice, while others tried to find good-quality medium rice within their budget. Shopkeepers quoted prices for various types, and buyers moved from shop to shop comparing rates.
There is no shortage of rice in the market, but the chance to buy at the old price has shrunk. Coarse rice is comparatively cheaper, but medium and fine rice cost extra money. Aromatic rice, meanwhile, is far more expensive than ordinary rice. Families are therefore choosing the type of rice according to their needs and means.
Traders said coarse varieties such as Guti Swarna and China Irri are selling at Tk 51 to 56 per kg. Medium-quality BR-28 sells at Tk 62 to 66 and Paijam at Tk 58 to 65. Among fine rice, Miniket sells at Tk 70 to 80 depending on quality and brand, and Nazirshail at Tk 74 to 95 per kg.
Prices of the same variety, however, are not identical in every shop. Price depends on quality, the producing mill, the brand and the time of purchase. Shops holding older stock can in some cases still sell at the previous price, but sellers said anyone buying fresh stock has to pay more.
Because coarse rice is comparatively cheaper, many low-income families are shifting toward it. But families long accustomed to a particular variety cannot easily change the type of rice they eat.
Traders blame higher transport costs and changes in wholesale market prices for the increase. When truck fares and other transport costs rise to bring rice to Dhaka from different trading hubs across the country, the effect reaches wholesale and retail markets. Since there is no major supply shortage, however, they do not see a rice crisis as the reason for the price rise.
Abdus Sobahan, manager of Sabuj Rice Agency in Shanir Akhra, said, "We have to buy rice at higher prices than before. Transport costs have also gone up. So selling at the old price leaves no profit. But there is no shortage of rice in the market."
Ramzan Hossain, a trader in Jatrabari, said, "When prices rise in the wholesale market, the effect is felt at the retail level too. But a price rise does not mean there is a rice crisis in the market. Rice is arriving regularly. If purchase costs fall, there will be scope to lower selling prices as well."
Buyers say traders' statements should be checked against the actual price changes in the market. How much effect higher transport costs really have, and what the gap is between wholesale and retail levels, needs to be made clear. They complain that when prices rise despite normal supply, the justification should be examined — and that not just the rice market but price increases of all daily essentials need regular monitoring.
The impact of higher rice prices falls hardest on families that must buy rice regularly, because rice consumption cannot easily be reduced. A family buying 60 kg a month will pay an extra Tk 120 a month from a Tk 2 per kg rise; at 70 kg, the extra cost stands at Tk 140. With other essentials also expensive, coping with this additional burden is becoming difficult.
Sanaul Haque, a buyer from Shanir Akhra, said, "Rice is something needed every day. Even if you buy less of other things, the amount of rice cannot be cut much. When the price creeps up bit by bit, the effect is felt at the end of the month. Now I have to keep accounts of everything when I go to the market."
Al Kayes, a buyer in Jatrabari, said, "The same rice now costs more than before. Prices also differ from shop to shop, so I have to check prices at several shops before buying. It needs to be ensured that rice prices do not rise without reason." Another buyer, Ataur Rahman, said that checking at which stage prices are rising and what lies behind the increase would give a clear picture of the market.
Aromatic or polao rice is also part of buyers' discussions alongside ordinary rice. Varieties such as Chinigura and Kalijira are far more expensive depending on brand and quality; some packaged brands sell at Tk 200 to 230 per kg, while loose aromatic rice sells at Tk 180 to 200 depending on quality. Buyers believe any abnormal rise in aromatic rice prices should also be investigated.
Market watchers are now looking to the new Aman paddy. Once the new harvest starts arriving, rice production and supply are likely to increase, which could ease price pressure. But there is no guarantee retail prices will fall as soon as the new paddy arrives; prices will also depend on paddy collection costs, mill production costs, transport and market demand.
Traders believe a larger supply of new Aman could have a positive effect on the market. Before that, however, monitoring is needed at different levels to keep prices stable — especially the gap between purchase and sale prices at the mill gate, wholesale depots and retail shops. Checking whether prices are being raised unjustifiably at any stage would help market management. For now, rice is available, but buyers have no relief of buying it at the old price.
