Potatoes are being sold at higher prices despite the reduction in duty

An increase of 33 percent in one year

Recently, the National Board of Revenue (NBR) has reduced the import duty to 15 percent and waived the regulatory duty of 3 percent on potato, which is the top choice of consumers. Two days after the removal of duty, there was no change in the price of potatoes in the market.

Traders say that the price will not decrease as soon as the duty is removed. It will take time. On Friday, it was found that potatoes are being sold at Tk 60 per kg in several markets including Shantinagar, Turag area and Kawran market.

However, the government's marketing agency Trading Corporation of Bangladesh (TCB) has reported in its market price report that potatoes are being sold at Tk 52 to Tk 60 per kg in the capital's retail market. The price of potato per kg has increased by more than 33 percent in the last one year.

According to the information of the Directorate of Agricultural Extension, the annual demand of potatoes in the country is 8 million tons. In the last fiscal year 2023-24, potato production in the country was close to 10 million tons. In other words, in the last financial year, the country has produced 3 million tons of potatoes more than the demand. The cost of producing these potatoes is only 10 taka 51 paisa per kg. But it is being sold at 60 taka per kg in the capital market.

Those concerned said that the amount of potatoes produced in the country is more than the demand. Besides, the production cost is also very low. A syndicate is operating in the potato market. Potato prices are not falling in the retail market because they are making more profit. As a result low income people have to suffer.

They also said that even if 10 to 15 percent of potatoes are lost after production, the surplus of potatoes can easily meet the demand. Also, the price should not be so high. So a powerful syndicate is working in the potato market. They are the ones who keep the high price of potato in the market.

Meanwhile, the prices of other vegetables in the market of the capital have decreased slightly in the last one week. Among the different types of vegetables in the market yesterday, cabbage was sold at Tk 80, brinjal at Tk 70 to Tk 90 per kg. Which is less than 10 to 20 taka per kg in a week. Among other vegetables, patol is being sold at Tk 50 to Tk 60, crab, bitter gourd at Tk 60 to Tk 70, papaya at Tk 30 and Tk 450 per kg.

Bangladesh /FM