Bottled soybean oil has once again become harder to find in Bangladesh’s retail markets, with traders reporting a sharp reduction in supplies from companies. The disruption is already affecting alternative edible oils, pushing up the prices of loose soybean and palm oil. At the same time, consumers are facing fresh increases in egg prices, while broiler chicken and several varieties of fish remain expensive.
Retailers say oil companies are releasing smaller quantities of bottled soybean oil than required to meet normal market demand. Dealers, in turn, are supplying shops with reduced quantities. According to retailers, some dealers have told them that companies are seeking another price increase and have reduced supplies amid that process.
The shortage is particularly visible in smaller retail shops. A visit to Mohammadpur Town Hall market found that several shops had only a handful of soybean oil bottles available. At least six shops had just four or five bottles each. Some had no one-litre bottles, while others had run out of the two-litre size. Five-litre bottles were also not available in quantities matching demand.
Retailers, however, said supplies had not stopped completely. Rather, deliveries were significantly lower than the volume normally required. Some shopkeepers are also keeping part of their limited stock away from public view so that they can meet the needs of regular customers.
Iman Ali, a grocery retailer at Mohammadpur Krishi Market, said his shop normally needs around 10 cartons of soybean oil every day. On this occasion, he received only four cartons from his dealer.
“I have to give oil to regular customers when they ask for it. That is why I keep some bottles separately,” he said.
The reduced availability of bottled soybean oil is also putting pressure on the loose oil market. When consumers cannot find bottled oil in the shops, many turn to loose soybean oil as an alternative. This increases demand and can quickly affect retail prices.
According to data from the Trading Corporation of Bangladesh (TCB), the price of loose soybean oil rose by around 1 per cent over a week to Tk 190-195 a litre. Loose palm oil also increased by about 0.88 per cent to Tk 170-175 a litre. In retail terms, prices of the two oils have risen by roughly Tk 2-4 per litre.
Another price increase under discussion
The latest disruption follows two earlier episodes of supply pressure this year. The first emerged around February. Towards the end of April, the price of bottled soybean oil was raised by Tk 4 a litre to Tk 199.
Another supply shortage was reported around July. On 3 September, the price was increased by a further Tk 5, taking the retail price of bottled soybean oil to Tk 204 a litre.
The latest shortage therefore comes after repeated disruptions in the same market within a relatively short period. For consumers, the concern is not simply the availability of oil on shop shelves, but whether another price adjustment will follow.
Edible oil refiners and producers are seeking a further increase. The Bangladesh Vegetable Oil Refiners and Vegetable Fat Manufacturers Association sent a letter to the commerce secretary on 20 September requesting another price adjustment.
The government has not, however, agreed to an immediate increase. Commerce Minister Khandakar Abdul Muktadir said in Sylhet on Wednesday that the government would consider the traders’ demand carefully. He said edible oil prices would not be increased before the matter had been examined.
The issue has direct implications for household budgets because edible oil is a basic cooking ingredient used daily by families across the country. A higher price can therefore increase the cost of preparing even ordinary meals, particularly for households with limited incomes.
Egg prices rise by around Tk 10 a dozen
The pressure on consumers is not confined to cooking oil. Farm egg prices have also increased during the past week.
A dozen eggs are now selling for Tk 155-160, around Tk 10 higher than a week earlier. At neighbourhood grocery shops, four eggs cost about Tk 55. For low-income households that often buy eggs individually rather than by the dozen, the cost can reach around Tk 15 per egg.
Eggs are commonly considered a relatively affordable source of animal protein, especially for families unable to buy meat or larger quantities of fish regularly. When egg prices rise alongside chicken and fish prices, however, the range of affordable alternatives becomes narrower.
Broiler chicken prices have also remained elevated. For around two months, the price has stayed close to Tk 200 a kilogramme. There has been no significant reduction despite the prolonged period at that level.
Fish prices remain high as well. Ruhu weighing between two and two-and-a-half kilogrammes is selling for Tk 380-400 a kilogramme, while pabda costs Tk 400-450. Tilapia is being sold at Tk 250-260 a kilogramme and pangas at Tk 250-280.
For households already operating on tight budgets, the simultaneous pressure from several essential food items is particularly difficult to absorb. Consumers may respond by buying smaller quantities, choosing cheaper varieties or reducing their consumption of some foods.
Ansar Hossain, a security guard in Dhaka’s Shekertek area, said his income was limited and that broiler chicken and eggs were among the foods he could still afford.
“I do not have much money. With what I earn, I can manage to buy broiler chicken and eggs. But the price of broiler chicken has not fallen for two or three months, and eggs have now reached Tk 160 a dozen,” he said.
The immediate focus in the edible oil market is now on whether bottled soybean oil supplies will return to normal and whether the government will approve another price adjustment. Until a decision is reached, retailers and consumers are likely to remain closely watchful of both availability and prices at the market level.
