If necessary, special Open Market Sale (OMS) programs will be initiated, the adviser said.

Tribune Desk

To stabilize rice prices, the Ministry of Food has been instructed to increase rice imports from any available sources, said Finance Adviser Dr Salehuddin Ahmed.

During a press briefing at the Secretariat on Tuesday following a meeting of the Cabinet Committee on Government Procurement, the adviser addressed the rising rice prices.

He said that measures are being taken to bolster buffer stocks of rice, and if necessary, special Open Market Sale (OMS) programs will be initiated.

Responding to questions, Dr Salehuddin Ahmed said: “The price of a specific item like rice has slightly increased. However, the overall price hike of other items is not significant. The increase in rice prices is due to supply chain issues.”

He added: “We are closely monitoring the situation to ensure that middlemen do not exploit the market to raise rice prices, which is a major concern. As soon as the price started to rise, I immediately informed the advisors for food and commerce.”

The advisor disclosed that the Ministry of Food has been instructed to import non-Basmati parboiled rice and increase imports from wherever possible.

He urged the ministry to maintain sufficient buffer stocks and initiate special OMS programs if required.

On the supply and pricing of essential commodities during Ramadan, Dr Salehuddin Ahmed said: “Chickpeas, lentils, and dates have already been imported, and the price of soybean oil has also stabilized to some extent. If needed, we will revisit the decision on soybean oil. The primary focus is on intensifying market monitoring.

“Relying solely on the Consumer Protection Act will not suffice. For example, the price of onions dropped from Tk200 to Tk40 per kilogram. In our country, prices often fluctuate significantly, unlike in developed nations where they remain relatively stable,” he said.

When asked whether onion import duties would be reintroduced, the adviser said: “We will not alter the duty structure before Ramadan. A message has been sent out that no changes will be made to tariffs until Ramadan ends.”

On expanding income tax coverage and withdrawing certain exemptions, the finance adviser said: “We will rationalize income tax. Those with the ability to pay must contribute equally. If someone has the means but tries to evade taxes through alternative means, that must be addressed. We need to increase tax revenue and expand the tax base, albeit not excessively.”

Dr Salehuddin Ahmed also highlighted that many businesses lack VAT registration and do not pay income tax. “I have instructed the National Board of Revenue (NBR) to conduct a quick survey. For instance, a grocery store at a police station headquarters often generates significant revenue. Many businesses have not benefited from a level playing field so far. We aim to encourage them.”

Reflecting on the country’s economic measures, he said: “If we had not taken proactive steps, our reserves would not have reached $22 billion, nor would we have cleared the $4.5 billion in arrears. Inflation has decreased by 1%. If the trend improves further, we expect inflation to drop even more.”

Published Date: January 8, 2025