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“The panjabi that costs Tk 85,000 takes about a month to make and is produced only upon advance order. Its accessories are imported from China,” the official said.

Mohammad Abu Sayeed Saddam, manager at Abaya and Gown in Banani, said their products are either made in-house or imported from Dubai and China.

He said the high-priced items are made from muslin fabric. “Our primary customers are middle-class women,” he said, adding that Eid sales have been strong so far.

Similarly, Md Hasnat Ali, manager of AZWA, a premium fashion and lifestyle brand for women, said prices mainly depend on fabric and design.

For exclusive sarees and lehengas, they take advance orders and can produce them at any price range. This Eid, products in the Tk 5,000 to Tk 10,000 range have been the bestsellers, he said.

Maria Hossain, a jobholder at a multinational company, was looking through the catalogue at a branded shop when this reporter approached her. Asked why she had chosen the particular outlet, she said, “Apart from matching my taste, the quality of the product here is much better. So, I don’t mind buying it for a higher price.”

Khalid Mahmood Khan, a director of Kay Kraft, a leading local clothing brand, said high prices are largely driven by perceived value.

“This is a psychological factor, and the actual production cost isn’t the only consideration,” he said.

“If a business can successfully sell an item at a high price, it means they have managed to convince customers of its creative and aesthetic value.

“In such cases, it’s not about balancing production cost with selling price; rather, it’s about whether the brand can make customers accept the value they are offering.”

What do analysts say?

Fakir Muhammad Munawar Hossain, director of operations and laboratories at the Directorate of National Consumers’ Right Protection, said that in a free-market economy, there is no legal framework for setting prices.

“The government regulates the prices of only a few essential commodities, which is an exception.”

If a buyer feels cheated after purchasing a product, they can file a complaint, and action will be taken against the brand if necessary, he said.

Similarly, Wajid Hasan Shah, a member of the Bangladesh Competition Commission, said this is a niche market with limited competition, which is why prices can be exceptionally high.

Selim Raihan, a professor of economics at the University of Dhaka, said that when inequality is high in a society and wealth becomes concentrated among a certain class, they seek premium products to distinguish themselves from others.

This drives demand for such products.

“If these individuals cannot find these products in the local market, they will look for them abroad,” he said.

He further said that there are significant questions about the high-priced products sold in Bangladesh.

“Are the prices truly justified? Sellers may not always have a clear answer,” he said, “In the absence of proper regulatory oversight, some businesses take advantage of the situation.”