Markets are facing a tightening supply of edible oil after the government declined a proposal for a price hike, industry officials and traders say.
Early signs of strain are emerging, with wholesale prices already rising in Chattogram amid constrained supply.
Refining companies say higher international prices and rising processing costs are squeezing margins, warning that continued price controls could lead to losses.
Consumers in parts of the capital say they are struggling to buy oil in the quantities they need.
Small neighbourhood shops report shortages, while some supermarkets have begun limiting sales to one bottle per customer.
The Bangladesh Vegetable Oil Refiners and Vanaspati Manufacturers Association wrote to the government on Thursday seeking an upward revision in prices.
The association proposed raising the price of bottled soybean oil to Tk207 per litre from Tk195, and Tk1,020 for a five-litre container, up from Tk955.
It also suggested increasing the price of loose soybean oil to Tk185 per litre from Tk176, and palm oil to Tk177 per litre from Tk164.
The Ministry of Commerce and the Bangladesh Trade and Tariff Commission reviewed the proposal in a meeting on Sunday, but no decision was announced.
A senior official of a company supplying oil to the market, speaking on condition of anonymity, said the industry had informed the government about rising global prices.
“In the current situation, some adjustment is necessary,” he said.
However, he added that the government, citing special circumstances, is not in favour of raising prices for now.
He said further meetings are expected as part of the ongoing review process.
Supply shortages hit Dhaka markets
Edible oil supply has tightened further in Dhaka, with retailers reporting shortages of bottled soybean oil across several key markets.
Visits to Mirpur, Karwan Bazar and Palashi on Saturday showed that most shops were unable to meet demand.
Popular brands such as Pusti, Rupchanda, Fresh and Bashundhara were largely unavailable.
Some outlets had limited stocks of Teer and Pure brands, but availability was uneven.
Retailers say supplies have fallen sharply in recent weeks.
Afzal Molla, owner of Dhaka Variety Store at Shah Ali Market in Mirpur, said he used to receive up to 10 cartons of oil from a single company before Ramadan.
“Now, even after placing orders, we are getting no more than three to four cartons,” he said.
Price pressures are also becoming evident at the retail level.
Retailer Robiul said he now buys one-litre bottles of soybean oil at Tk191 to Tk193, up from Tk185 earlier, but must sell at the fixed price of Tk195.
In the open market, soybean oil prices have also increased.
A week ago, loose soybean oil was selling for Tk176 to Tk178 per litre. It is now being sold at Tk185 to Tk188.
Suppliers point to reduced distribution and possible stockpiling.
Solaiman, a sales representative of Teer, said the company is supplying only limited quantities of five-litre bottles, while orders for one- and two-litre bottles remain pending.
“No new delivery orders are being taken, and this situation has continued for nearly a month,” he said.
An official at Meghna Group of Industries, speaking on condition of anonymity, said the company supplies more than 2,000 tonnes of oil daily.
He suggested that some retailers may be stockpiling in anticipation of a price increase in the international market.
Prices rise in Ctg wholesale market
Edible oil prices have risen sharply in Chattogram over the past two weeks.
Traders say prices have increased by Tk10 to Tk11 per litre in the port city during the period.
In the wholesale market, soybean oil is now selling at Tk206 to Tk207 per kilogram, up from Tk196 earlier.
Super palm oil is being sold at around Tk186 per kilogram, while palm oil is trading at Tk178.
At the retail level, bottled soybean oil is now priced between Tk210 and Tk211 per litre.
In Khatunganj, the country’s largest wholesale trading hub, super palm oil is selling at Tk181 per litre.
Traders link the rise to post-Eid market dynamics.
Md Irfan, owner of Haji and Sons in Khatunganj, said wholesale prices began increasing after Eid.
Import costs rise amid global price surge
Importers say the cost of edible oil has risen sharply due to higher global prices, increased freight charges and the depreciation of the taka against the US dollar.
The Bangladesh Vegetable Oil Refiners and Vanaspati Manufacturers Association said that when prices were last revised on 8 December, soybean oil was trading at around $1,100 per tonne in the international market.
Since then, prices have climbed to about $1,300 per tonne.
The association said it had applied twice for a price adjustment, but decisions were delayed due to elections and later the month of Ramadan.
Industry figures say costs have continued to rise further.
TK Group Director Mohammad Mustafa Haider said consignments currently being released were purchased at around $1,200 per tonne, while fresh imports are now costing close to $1,400.
Rising packaging costs have added to the pressure.
Traders say the price of raw materials used for producing bottles has nearly doubled, pushing up overall production costs.
Bangladesh imports edible oil in three forms – crude oil, refined oil and soybean seeds – which are processed at local refineries before being sold in the market.
Major importers include Meghna Group, City Group, Bashundhara Group, Square Group, TK Group and Edible Oil Limited.
Data from the National Board of Revenue show that Bangladesh imported nearly 700,000 tonnes of soybean and palm oil between January and March 2026.
This included about 260,000 tonnes of crude soybean oil and 445,000 tonnes of refined palm oil.
Separate data from the Plant Quarantine Station show that 964,000 tonnes of soybean seeds were imported through Chattogram port between July and December 2025.
Imports continued into 2026, with 331,103 tonnes in January, 64,634 tonnes in February and 184,494 tonnes in March.
Over the past two financial years, soybean seed imports have risen by nearly 45 per cent, increasing from 1.869 million tonnes in 2023-24 to 2.708 million tonnes in 2024-25.
