The government should widely disseminate prices of essential commodities at both importer and retail levels to expose excessive mark-ups and equip consumers with knowledge, which is key to the market stability, say experts.

They say the government should fix the wholesale and retail prices of items after measuring all costs and adding reasonable mark-ups, and publicise both prices through electronic and print media to prevent profiteering.

The experts have come up with the suggestion as it is often seen that the impact of the reduction in import duty is not reflected in the retail market while a product sells high though its import price is very low.

Prime Minister Sheikh Hasina on 29 January asked the authorities concerned to reduce the import duty on edible oil, sugar, date and rice to keep their prices affordable during Ramadan.

About the prime minister’s directives, agro-economist and researcher Dr Jahangir Alam Khan told the Daily Sun that the import duty should be reduced to zero till Ramadan to stabilise the commodity market.

“The government should fix prices of essentials at the importer level after adding all costs and reasonable mark-ups. It also should fix the retail and publicise both prices through electronic and print media to make people aware of the issue and prevent an unusual hike in prices,” he said.

Apart from publicity, the authorities concerned have to monitor the market regularly to ensure that traders are selling the products as per the prices fixed by the government, Dr Jahangir added.

Prices of most of the essential commodities, including edible oil, sugar, chickpeas, dried peas, onion, date, beef, broiler chicken, egg, mung beans, garlic, ginger and flour, have increased by many times in the country.

Prof ASM Golam Hafiz, a renowned farm economist, told the Daily Sun that the profiteering tendency of businessmen is responsible for the abnormal price hike ahead of Ramadan.

“Businessmen in most the countries, including India, reduce prices of essentials during Ramadan. It’s an ethical issue,” he said.

“Mere reduction in import duty may not cut prices of commodities. If the government can fix the wholesale and retail prices after measuring the import cost and profit margin and then monitor the market, there’ll be some impact,” he said.

Vice-President of Consumer Association of Bangladesh (CAB) SM Nazer Hossain said the government should monitor how much commodities are imported and how much they supply to the market.

He also said unscrupulous businessmen increase commodity prices after stockpiling those at their warehouses.

If the government sets a stipulated timeframe for marketing the essentials after import, this will be helpful, Nazer added.

According to government sources, Bangladesh imported substantial quantities of lentils, chickpeas, onions, garlic and ginger in 2023-24 fiscal year. The surge in imports is evident with a significant increase in imported sugar, crude edible oil, chickpeas, onions, and lentils compared to the previous year.

On Monday, the prime minister directed the authorities concerned to cut the import duty on rice, edible oil, sugar and dates ahead of Ramadan to rein in inflation and ease the inflationary pressure on people during the month of fasting.

During a briefing at the secretariat after the meeting, Cabinet Secretary Md Mahbub Hossain said, “The prime minister has emphasised the need for controlling inflation. She has also instructed the ministers concerned to work together on it.”

The National Board of Revenue is working on how much duty cuts on the four commodities can be allowed to bring down their prices, he said. “The prime minister has asked all the authorities concerned to monitor the market so there is no shortage of supply of goods.”