Crooked retailers sell sugar at higher prices

Opportunists are selling sugar at higher prices amid an ongoing volatility in the market, looking to cash in on the crisis.

Consumers from different areas in the capital complained on Thursday that retailers have hiked sugar prices by Tk5 within a day after the Bangladesh Sugar Refiners Association (BSRA) announced a price increase that is due to come into effect from February 1.

According to the announcement, from next month, per kg refined open sugar will cost Tk 107 and refined packaged sugar Tk 112. The increase in price comes amid a supply crunch of the essential commodity.

Although there are a few days left before the new price comes into effect, retailers are already selling sugar at the hiked price, this correspondent found out visiting several kitchen markets in the city in the Shantinagar, Segunbagicha, Malibagh and Rampura areas.

Consumers complained that retail shops have run out of sugar, especially packaged sugar, soon after the BSRA announcement.

The few shops where the essential food product is available, traders are selling it at higher prices than the rate fixed by the government.

“Sugar has not been available in the shops for the past few days. But some shops, which do have the commodity, are selling it at higher prices. I bought 2 kg of packaged sugar from Shantinagar Kacha Bazar at Tk 110.

Shahidul Islam, a retail trader at the kitchen market, told The Business Post that the sugar market has been unstable for the past few days and wholesale shops have run out of stock.

“Two bags of sugar each were sold within hours of opening the shop. Most of the time, we are failing to give sugar to customers,” he said

Rahim Ahmed, owner of Ema Store at Segunbagicha Kacha Bazar, told The Business Post, “I got only two bags of sugar from the wholesaler within the last one week and all of it is sold out. Now I am waiting again for new supply.”

A local resident named Nafiul Alam was looking for sugar at a grocery shop in the Segunbagicha area of the capital.

Talking to The Business Post, he said, “Suddenly the price of sugar has increased. Now it is not available again. I need 3 to 4 kg of sugar per month. It is becoming difficult to get it.”

According to the Bangladesh Trade and Tariff Commission (BTTC), the annual sugar demand in the country is 18 to 20 million metric tonnes. This demand is almost completely dependent on import, which has dwindled in recent days.

Sugar prices were already on the rise due to price increases of raw sugar. On top of it, a strong dollar has increased the import cost of the commodity, leading to a supply shortfall two weeks ago.

Kamal Ahmed, a grocer at Rampura Kacha Bazar said, “I ran out of sugar in my shop a few days ago. Wholesalers are not supplying us the product citing a shortage.”

In the meantime, even though there is a scarcity of packaged white sugar, traders are selling red sugar at higher prices.

Riyad hossain, a resident of Malibagh, said he did not find white sugar anywhere in Malibagh. “Packet red sugar is being sold at Tk 150 per kg. I was forced to buy it at a high price,” he said.