The recent surge in rice prices has left lower-middle-class and low-income families struggling to cope with rising food costs. Despite being the peak of the Aman season, a time typically associated with relatively low rice prices, millers and rice mill owners have raised prices by 5 to 8 taka per kg in the past month, causing widespread concern.
Market participants believe the rice market is being manipulated by syndicates, leading to instability even during a season when prices usually remain stable. Retail and wholesale sellers confirm that prices have risen at the mill level across different parts of the country, pushing up retail and wholesale prices.
Mosharraf Hossain, a seller at M/s Laksham Traders in Karwan Bazar, stated, “The price of rice per sack has increased by Tk200 to Tk 350. Due to the price hike, we are now having arguments with buyers. This time, the price of rice is higher than usual, which is due to the increase in the price at the mill level.”
According to the Trading Corporation of Bangladesh (TCB), fine rice prices have surged by 10% in just one week, and medium rice varieties like BR-28 and Paizm have seen a 4% price increase.
In Jhenaidah, a major rice-producing region, the price of rice per kg has risen by Tk5 to Tk8 in the past two weeks. Rice mill owners attribute this price hike to a decrease in the supply of rice across various areas of the country. Additionally, the price of rice per maund has increased by Tk150 to Tk200.
Retailers point out that unscrupulous traders and rice mill owners are exploiting the increased demand for coarse rice, creating a syndicate to artificially inflate prices.
Two weeks ago, the price of golden rice per kg in Jhenaidah markets ranged from Tk 48 to Tk 50, but it has now climbed to Tk 55 to Tk 57. Other rice varieties, such as Kajalalata, Saru rice, and Basmati, have also seen notable price hikes.
At the Wapda market in Jhenaidah, golden rice is now priced at Tk55 per kg, while Kajalalata costs Tk65, Miniket is priced at Tk74, and Basmati rice ranges from Tk90 to Tk92 per kg, depending on the variety.
Babu Mia, a tea shopkeeper, shared his frustration: “The rice I used to buy for Tk40 last year is now Tk55. I saw on TV that the government is conducting raids in many places, but I don’t see any action being taken against rice traders.”
Asadur Rahman, a rice trader in NotunHatkhola Bazar, echoed these concerns, saying, “A month and a half ago, the prices of Miniket and Basmati rice increased suddenly. Then, the mill owners raised the price of coarse rice by Tk 7 to Tk 9 per kg without any new instructions. They form syndicates and do whatever they want.”
Tapan Kumar, owner of Shuvo Agro Pragati Auto Rice Mill in Sadar Upazila, defended the price hikes, explaining, “The price of rice has not increased as much as the rising costs of transportation, labor, and electricity. The slight increase in some rice types per kg is necessary due to these rising operational costs.”
Under such a situation, the government faces mounting pressure to address the situation and curb price manipulation, which is putting additional strain on vulnerable communities already grappling with high living costs.
Meanwhile, the rice prices have seen a significant increase in Chittagong, with both wholesale and retail markets witnessing price hikes across various rice varieties. In markets like ChaktaiChalpatti and Pahartali, 50 kg sacks of betiatap were sold for Tk2,600 to Tk3,000 taka, while 25 kg sacks of pajama rice reached prices of Tk1,500. Miniket Siddha rice (25 kg) saw prices ranging from Tk1,450 to Tk1,850, and 5 kg sacks of coarse rice were priced between Tk2,550 and Tk2,720. Additionally, 25 kg sacks of jeerashail and katriatab were sold for Tk1,700 to Tk1,900 and Tk1,600 to Tk2,000, respectively.
Moazzem Hossain, the president of the District Rice Mill Owners’ Association, explained that rice availability in the market is lower than before, leading to the price increases. He stated, “Rice is not available in the market as before. As a result, we are unable to produce rice according to the demand of consumers. That’s why the price of rice has increased slightly. We do not have illegal hoarders and syndicates here.”
According to Md. Nizam Uddin, the former general secretary of the PahartaliBanikSamiti, rice prices in Chittagong are being influenced by the rising cost of paddy, which makes up 90% of the rice supply in the region. Paddy is sourced from areas like Naogaon, Chapainawabganj, Bogra, Dinajpur, and Kushtia. He highlighted that the price of paddy has surged by up to Tk 600 per 40 kg sack. “Now the same amount of paddy has to be bought for Tk 1,500, and as the price of paddy increases, the price of rice is also rising,” said Nizam Uddin.
The increase in rice prices is raising concerns among consumers, especially in light of the already high cost of living. While rice mill owners cite supply shortages and increased production costs, questions about market transparency and the role of supply chain disruptions continue to persist.
