The price of soybean oil has been increased by Tk4 per litre, with the new rates coming into effect today. Commerce Minister Khandaker Abdul Muktadir announced the decision at the Secretariat on Wednesday.
Under the new pricing, bottled soybean oil has risen from Tk195 to Tk199 per litre. The price of loose soybean oil has also been adjusted upwards from Tk175 to Tk179 per litre.
Muktadir explained that the adjustment was necessitated by adverse global conditions that have driven up prices at the source.
He highlighted that because Bangladesh is entirely import-dependent for soybean oil, any price hike at the source directly impacts the cost of imports. This pricing pressure has been persistent since the month of Ramadan.
Muktadir noted that importers and refiners had been consistently requesting a price adjustment, citing continuous losses that were depleting their capital. “In such a situation, we repeatedly verified the source prices and calculated all additional costs involved in the import process.
We found their claims to be valid,” Muktadir stated. He added, however, that the government could not fully meet the extent of the price increase requested by the businesses.
“We have decided on a slight upward adjustment. We hope that consumers will consider the global context,” the minister said, expressing hope that the move would help alleviate the burden of losses on traders and ensure that market supply remains normal in the coming days.
Mostafa Kamal, chairman and managing director of Meghna Group of Industries, observed that the supply chain had faced recent disruptions.
He noted that the industry had been seeking a price adjustment for the past six months, dating back to October and November during the tenure of the previous caretaker government.
According to Kamal, the Ministry of Commerce has been strictly monitoring the industry due to concerns over supply. He further noted that the prime minister is also very concerned about the situation.
While Kamal described the current hike as “extremely minimum” and noted it does not constitute a full adjustment of costs, he stated that the industry would abide by the government’s decision.
“The government’s word is an order for us. We will maintain supplies until Eid,” Kamal said.
He expressed confidence that the government would review the price situation again after Eid, noting that global market prices, duties, valuations, and processing losses are transparent and “open” for all to see.
