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Food stock drops

Officials say the situation may worsen if political unrest lingers

Rejaul Karim Byron
The government's food stock decreased by about 24 percent in the last three months, while officials apprehend the stock may fall further if the ongoing political unrest lingers.
In the last boro season, the government's target was to buy 10 lakh tonnes of rice against which 8.3 lakh tonnes were purchased.
Though the government's procurement target is two lakh tonnes in the current aman season, it is facing various problems in its procurement drive at the field level.
The total food stock was 9.69 lakh tonnes on December 8, down from 12.66 lakh tonnes at the end of September, according to the food ministry.
The government's food grain procurement drive may be hampered if the shutdowns and blockades continue, food ministry officials said.
However, in the first five months of the current fiscal year, the government has awarded permission for import of two-thirds of its target for the entire fiscal year to improve its stock.
The allocation for wheat import was Tk 2,203 crore in the current fiscal year. Till midDecember, orders were given for importing 6.5 lakh tonnes of wheat worth Tk 1,557 crore.
However, it is still unclear to the officials how much of the target can be achieved through procurement from local sources amid the political
unrest.
Due to shutdowns and blockades, the farmers are unable to transport their produce, while on the other hand, banks cannot make payment to them due to a cash crunch.
An official of a state-owned bank in Satkhira told this correspondent that they are unable to pay bills for food procurement due to a cash crisis.
The official said a major portion of the country's food grains comes from boro rice. But as the farmers did not get fertiliser and diesel in time, the boro production is likely to suffer this time.
The prices of diesel and urea fertiliser went up in the remote areas of the northern region.
In some places, a litre of diesel is being sold for Tk 70 or more against its official rate of Tk 68, while urea fertiliser was selling at as high as Tk 24 per kg though its official rate isTk 14.
However, an official at the Department of Agricultural Extension in Satkhira said there was a supply crunch in the region, but fertiliser was distributed in some areas on December 13 and 16.
As a result, there is no crisis at the moment, he said. But boro plantation will start in Satkhira area in January. If the blockades continue till the upcoming parliament election, there will be a supply crisis, which may hinder boro cultivation. FROM PAGE Bl
Zahid Hussain, lead economist at the World Bank's Dhaka office, said boro production may be hampered if the agricultural inputs cannot reach farmers on time and at fair prices.
Hussain also said food is still available in both public and private channels as a result of which there is no immediate risk on food security.
However, if the prevailing political turmoil lingers, the food security may be jeopardised, he said.
The WB economist also said, though the country's stock is satisfactory due to a good aman harvest, food prices may go up if the distribution is hampered.
In such an uncertain situation, food import also increased by about 46 percent in the first five months of the current fiscal year.
Wheat import was 11.55 lakh tonnes during July-November, up from 7.9 lakh tonnes in the same period last year, according to the food ministry.
Food ministry officials said the government increased wheat import to build up stock as the price was low in the international market.
However, rice import did not increase due to a good aman harvest. During July-November, rice import was only 988 tonnes against 13,400 tonnes in the same period last year.
According to a report of the International Monetary Fund, commodity prices fell by around 1.6 percent in the world market in November compared to the same month last year. Wheat prices dropped by about 6 percent.