Dates dearer as traders disregard government-set prices

Even the wholesale prices exceed the government-set retail rates

The government has set prices of some kinds of dates, but absence of visible measures to identify and punish profiteers has forced customers to buy the imported fruit at higher rates than the ones mandated in Ramadan.

After calculating costs for import, duty, taxes, transport and profit margin, the commerce ministry said the maximum retail price of common dates would be Tk 150 to 165 a kg, and most sold Jaydi dates Tk 170 to 180.

But traders are charging customers Tk 200 for common dates and Tk 300 for Jaydi dates.

Bangladesh Fresh Fruits Importers Association said they cannot control the retailers, but added that the retailers can sell at the government-fixed rates if they keep the profit margin low.

The retailers blamed higher costs at the wholesale level for the price rise.

The commerce ministry informed the Bangladesh Fresh Fruit Importers Association and the Federation of Bangladesh Chambers of Commerce and Industries about the prices on Monday.

It also asked the importers to set the prices of other varieties of dates in light of the analysis.

State Minister for Commerce Ahasanul Islam Titu said that the ministry had directed traders to cap the price of dates between Tk 200-250 per kg during Ramadan.

Titu also sought to clarify a "misunderstanding" regarding tariffs on dates.

"Not all dates have seen a tariff reduction. The reduction applies only to dates sold in bags, not to luxury, premium, or more expensive varieties."

The prices set by the government are Tk 30-45 higher than the prices fixed last year.

HOW’S THE MARKET

On the fourth day of the month of Ramadan on Friday, trader Billal Hossain of Borobagh kitchen market in Dhaka’s Mirpur was selling Jaydi dates at Tk 300 a kg.

He claimed he bought the dates from Badamtoli wholesale market at Tk 270 per kg, one and a half times higher than the retail price fixed by the government.

He was selling the common quality dates in large-sized packets at Tk 200 per kg.

Billal was selling premium quality Maryam dates, whose price was not fixed by the government, at Tk 1,000 per kg, around Tk 300 higher than last year’s price. Ajwa date prices rose to Tk 1,100 per kg from Tk 700 a year ago.

Mohammad Firoz, a date seller at Mirpur-10, said he was selling ordinary dates at Tk 200 after buying at Tk 162.

Both Billal and Firoz said that sales declined this year because of high prices.

WHO IS RESPONSIBLE?

When asked why the government-set prices for dates were not being followed even after four days, Noruddin Ahmed, the general secretary of the Bangladesh Fresh Fruits Importers Association, said: "This is a new rule for us. How can we determine the retail price for these unpackaged dates?

“The wholesale prices might have been considered while fixing the rates because we don’t have control over retail stores."

“We’re not authorised to set retail prices. Those selling at the retail level must adhere to this directive," said Association President Serazul Islam.

Serazul dismissed the claim that even the wholesale prices were higher than the government-fixed retail prices.

"We are offering Jaydi dates at prices ranging from Tk 147 to Tk 152 per kg. If there's a retail markup of Tk 20 per kg, it will be priced at Tk 170 to Tk 180 per kg," he said.

But Moin Uddin of RZ Enterprise at Babubazar wholesale fruit market contradicted Serazul’s claim.

They were selling Jaydi dates at Tk 260 per kg in 10-kg sacks, Moin said.

He also said the wholesale price of common dates was between Tk 180 and Tk 185, or Tk 30 higher than the government-fixed retail price.

COMMERCE MINISTRY MUM

The reasons behind the deviation from fixed date prices and the actions taken by the commerce ministry are unclear.

Tapan Kanti Ghosh, a senior secretary at the ministry, left smiling when bdnews24.com asked for his comments on the matter.

Attempts to contact Rezwanur Rahman, the new head of the ministry's export-import cell, by phone were unsuccessful.

Ghulam Rahman, the president of the Consumers Association of Bangladesh, underscored the importance of enforcing price regulations.

“The government has fixed prices of many products, but the consumers want it to keep prices stable by making the supply chain normal. Now it has become the government’s duty to enforce the fixed rates,” he said.  

POTATO, ONION, EGG PRICES WERE ALSO FIXED

The government set the maximum retail price for potatoes, onions and eggs last September amid a lot of discussions over prices.

Considering the agricultural ministry’s recommendation, the maximum retail price of potato was fixed at Tk 35-36 per kg while the MRP of local onions was set at Tk 64-65.

The government set the maximum retail price of eggs at Tk 12 apiece following the fisheries and livestock ministry’s recommendation.

Efforts were visible mostly in the case of potatoes as the authorities conducted drives on cold storages across the country.

Many traders were fined for selling products at higher prices.

In reality, potato prices skyrocketed to Tk 70 a kg, onion prices Tk 120 while eggs were sold at Tk 165 a dozen.

[Writing in English by Arshi Fatiha Quazi and Shakhawat Hossain; editing by Osham-ul-Sufian]