Six conglomerates behind rice price hike: Food minister

Food Minister Sadhan Chandra Majumder on Wednesday held six major industrial groups responsible for the sudden rise in rice prices at markets across the country.

Blaming Square Group, Pran Group, City Group, Akij Group, Bashundhara Group and ACI Group for the issue, Sadhan said the government plans to bar companies from buying rice from the open market, and then package it for sale at a markup.

Making the remarks at the Secretariat on Wednesday in response to a reporter’s question, the minister said, “We are planning to issue a circular restricting the sale of packaged rice which was brought from local markets.”

“They [the industrial groups] may import rice after paying a 67 per cent tax and then sell those in packets. The matter is currently in discussion.”

He further said, “We have prepared a summary of this circular so that it can be sent to the prime minister. Besides, the agriculture secretary, the food secretary, the commerce secretary and the industry secretary will hold a meeting to discuss this issue.

“The government will no longer allow the rice to be packaged after being purchased from the market.”

The food minister said he has received a tip off that the Square Group and Akij Group are hoarding rice at two places in the country.

He added, “We have found an additional 5,000 tonnes of rice worth Tk 40 crore in a warehouse of Square Group in Dinajpur. The warehouse has been sealed and the authorities concerned have been sued.

“These six companies have been found to pack rice for sale at Tk 80 – Tk 85 per kg after buying those at Tk 60 – Tk 65 per kg in Naogaon, Dinajpur, Bogura districts.”

Mentioning yet again that the hoarders do not belong to any party, Sadhan said, “I am making it clear that none [of the hoarders] will be spared even if they belong to a party. Any illegal stock of rice, exceeding the limit fixed by the government, will be sealed off.”

Drives against rice, paddy hoarders continue

The government on Wednesday continued the countrywide drive against illegal rice and paddy hoarders to maintain a smooth food supply chain for consumers.

In Dhaka, five special teams from the food ministry conducted drives against illegal stockpiling of paddy and rice in the capital’s Mohammadpur Town Hall and Krishi Market, Hatirpool market, Mirpur 1, Babubazar wholesale market, and Karwan Bazar.

Raids were also conducted at upazila and district levels across the country.

During the drives, the teams verified food department licenses of rice traders and the stock at their respective warehouses. The authorities found that most of the trading licences – issued by the food department – were expired.

The drive against the hoarders started on Tuesday, a day after the cabinet directed the relevant authorities to take action against illegal rice hoarders, and find out the reasons behind the rice price hike amid a full harvesting season.