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Govt mulling cut in OMS of rice

25pc rice unsold, says commerce adviser

Staff Correspondent
The government is considering trimming down open market sales (OMS) of rice following a sharp fall in the number of consumers rushing to the outlets for the staple, Commerce Adviser Hossain Zillur Rahman said yesterday.
“The OMS programme drew a large number of consumers at the beginning. Now some 25 percent rice provided for the programme is being returned," Hossain Zillur told reporters after a review meeting in the commerce ministry on market prices of essentials and the supplysituation.
The adviser said the recent fall in rice prices slowed down the sales of OMS rice.
He said the demand for OMS rice is falling even in the northern part of the country.
The adviser was upbeat about the stock of rice and said the present stock reached 11.87 tonnes, which is a record for the month of September. The stock was at five lakh tonnes in September 2007.
On price hike of essentials, Hossain Zillur said administrative measures alone cannot help contain the price differences between wholesale and retail markets.
He said the gap can however be narrowed through a market managementsystem.
The adviser said prices of some essentials came down while some others remained stable, and a few like aubergines and cucumbers went up.
Prices of aubergines and cucumbers went up because those are 'off season' Vegetables, he added.
The government is continuing its efforts to keep market prices within reach of the people, he said. "We are trying to maintain the supply chain, so prices remain stable all the time, and not only for a day."
Keeping the prices stable and making special arrangements for the poor by providing subsidies are the two other issues that will be given importance, he said. On the caretaker government's 100-day employment generation programme, the adviser said. "The programme will start on September 15 and some 20 lakh people will receive Tk 20 crore a day through the programme."
He hoped the 100-day employment generation programme will have a positive impact on the market.
At the meeting, Hossain Zillur said market monitoring is a regular work for the government. Various organisations including the food directorate, Trading Corporation of Bangladesh, and Bangladesh Rifles are doing the job.
"We have spoken to the organisations about the present international price situation, and supply of commodities to the market. We have also discussed whether any step could be taken to keep the market at a tolerable level during the Ramadan," he added.