Home ›› 06 Mar 2022 ›› Front
Coupled with the price hike in the global market and in India as well, prices of imported wheat increased by Tk 130 to Tk 200 per maund in the country’s wholesale and retail markets.
As said by industry people, the demands and prices of wheat went up as the ongoing Russia-Ukraine crisis caused disruption in supply,
According to the wholesalers, per maund of Indian wheat is being sold at Tk 1,240 and Canadian one at Tk 1,860 at Khatunganj wholesale market in Chattogram.
According to reports of several Indian media, prices per tonne of wheat rose by Rs 4,000 to Rs 25,450 in the past couple of weeks.
“We imported wheat from Australia and Canada. They are still available in the market but the price is increasing every day,” Biswajit Saha, executive director of City Group, told The Business Post.
“Due to the Russia-Ukraine war, freight fares are also increased again. When adjusted, the total cost increases more,” he said.
“However, we have enough stock and there is no supply shortage in the local market,” he added.
After Russia’s attack on Ukraine, Bangladeshi importers concentrated on the Indian market as an alternative to procure wheat. As a result, imports from India saw a rise.
“A week ago, price of per maund of Indian wheat was at Tk 1,070 to Tk 1,080, which rose to Tk 1,200 on Thursday,” Mohammad Mustafa Haider, director of TK Group, told The Business Post.
The group purchases wheat from third party importers from different countries including India, said Haider. TK Group markets flour in the local market under the brand Pusti.
After the Russia-Ukraine war began, wheat import from has increased through the Hili land port, said the port users. Earlier, 40-50 wheat-laden trucks used to enter Bangladesh a day, which now increased to 60-70 trucks a day for the past few days, they said.
According to the Indian Ministry of Commerce and Industry, during April-December 2021, Bangladesh imported 29.6 lakh tonnes of wheat from India, which was 11.9 lakh tonnes during the same period a year ago.
Bangladesh is the fifth-largest wheat importer in the world and most of the wheat comes from India, Russia and Ukraine. Importers are enjoying a duty-free facility for wheat import.
According to Index Mundi, Russia is the largest wheat exporter, Ukraine is the third largest and India holds the ninth position among the world. The Majority of Indian wheat is exported to Bangladesh. “This trend is likely to continue till the arrival of new supply from April onwards,” according to Zee news.
On the other hand, per tonne wheat price in the global market reached to $396.25 which was $274 on February 14, according to the Business Insider.
Importers and millers claimed that they are able to open a Letter of Credit (LC) for wheat but price and freight fare was increasing every day. If this trend prolongs for a long time, the prices of flour and products made from flour will raise more, they said.
In FY21, Bangladesh imported 54.53 lakh tonnes of wheat, of which over 26 lakh tonnes were brought from Russia and Ukraine, as per the data of the Plant Quarantine Station at Chattogram Port.
During this period, Russia supplied 15 lakh tonnes and Ukraine 11.12 lakh tonnes, which are 27.50 per cent and 20.39 per cent of total import respectively, quarantine data showed.
From July-February of FY22, Bangladesh imported 31.03 lakh tonnes of wheat, of which 3 lakh tonnes came from Russia and 6.45 lakh tonnes from Ukraine.
Wheat flour price increased
Within a week, prices of packed flour have increased by Tk 5 for one kg packets and by Tk 8-10 for 2 kg packets in the market.
Fifty kg bag of flour (maida) is now being sold at Tk 2,400 which was Tk 2,300 to Tk 2,350 a few days ago.
Currently, loose flour (atta) per kg is being sold at Tk 35 to Tk 38 which was Tk 33 to Tk 34 a few days ago.
Meanwhile, as per the data of the Ministry of Food, there are about 2.25 lakh tonnes of wheat in its warehouses.
