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Rice price gone beyond tolerable level

Food adviser admits

UNB, Dhaka
Food and Disaster Management Adviser AMM Shawkat Ali has admitted that the price of rice has gone beyond the tolerable level despite the government's hectic efforts to control it.
"There is no scope here to disagree that the price of rice has gone beyond the tolerable level although it's available in the market," he told a seminar on "Food Security in Bangladesh" at National Press Club yesterday.
However, the adviser didn't elaborate why the price of rice is going up although it is available in the market.
Former commerce minister Tofail Ahmed, former food and disaster management minister Kamal Ibne Yusuf, country representative of Food and Agriculture Organisation (FAO) AD Spijkers and rice importer Ttpu Sultan, among others, addressed the seminar.
M Asaduzzaman, research director of Bangladesh Institute of Development Studies, presented
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the keynote paper at the seminar.
Focusing on government activities for adequate rice import, the food adviser said the caretaker government has so far imported 29 lakh tonnes of rice in a bid to cool down its overheated market.
"The quantity of the imported rice is expected to stand at 40 lakh tonnes by June next. So, there is no lack of effort on the government part. But some difficulties arise in import of rice as per its demand due to some internal decisions of our neighboring nation, India," Shawkat All said. .
The adviser told the seminar that the government has decided to import five lakh tonnes of rice from five state-owned companies of India as soon as possible.
"One lakh tonnes of rice will be imported soon from Kolkata Essential Corporation. The rest will also be imported from four other state-owned companies of India," he said.
Rice importer Tipu Sultan said
rice in India is sold at Tk 14,000 per tonnes, but when private importers from Bangladesh want to buy it at the same rate, they demand Tk 26,000 per tonnes
"Our government should take immediate diplomatic steps so that India sells rice to Bangladesh's private importers at a reasonable rate. "Tipu said.
Asked what the government can do to convince India to sell rice at a reduced rate, the adviser said India has increased the export price of rice in order to discourage its exports.
"To ensure its own food security, India has technically increased the price of rice for the private importers. We’ll have to deal with the matter logically. But Bangladesh government, if necessary, can request India in this regard," Shawkat Ali said.
Oilier speakers at the seminar stressed the need for formulating long-term action plans to ensure food security of the country and keep the prices of essentials at a tolerable level in the future.
HOSSAIN ZILLUR SAYS GOVT MAKES NO FAULT
Our staff correspondent adds: Commerce Adviser Hossain Zillur Rahman yesterday said the government made no fault in its efforts to make the prices of essential commodities stable.
Admitting that prices of commodities, especially edible oil, are unstable, he said, "Just two weeks ago we made an arrangement with businesses about oil prices. I then went abroad and the price was normal until March 2 when it became unstable. We have to see where exactly theproblem is."
The adviser was talking to newsmen following the inaugural session of a two-day South Asian Sociology Conference organised by the South Asian Sociological Society (SASS) in association with Independent University, Bangladesh at Spectra Convention Centre in the capital yesterday.
"Monitoring of market is the main challenge... punishing someone will not be a solution. But if punishments
bring solution, we shall go that way." Hossain Zillur Rahman said, adding "We are learning and making strategies on howwe can address the pricehike issue because this is a very sensitive matter."
He said the problem should be looked at with the social point of view along with the economic point of view.
He said he was seeking recommendations from the importers, refiners and others concerned and trying to learn why the government efforts to make the market stable are failing. He said he would have a meeting with the chief adviser in a day or two after getting the recommendations.
"We shall let you know about the next course of action after making solid decisions," he said adding that they will also try to do something about the price hike of commodities in the international market
Hie decisions must be made considering the economic realities, Zillur said. There is OMS (open market sales) now for the underprivilegedconsumers, he said.