Essential goods prices rise due to major projects including the Padma Bridge says the Commerce Adviser

Dhaka, 25 January – Sheikh Bashir Uddin, the Government’s Trade Adviser, has voiced serious concerns over the financial burden created by large-scale infrastructure projects such as the Karnaphuli Tunnel, Payra Port, and the Padma Bridge. Speaking after a taskforce meeting at the Secretariat to review market conditions and prices of essential food items ahead of the upcoming Ramadan, he highlighted the adverse effects these projects have had on the economy.

“Unwarranted projects have significantly increased government liabilities,” he said. “The national currency has depreciated, and we have had to take substantial loans from the IMF. These factors inevitably impact the prices of everyday goods.”

However, the Adviser offered some reassurance to the public regarding food availability. He noted that the import of essential commodities has risen by 40 per cent compared to last year. “Consequently, the prices of some products will decrease this Ramadan, making them more affordable for ordinary citizens,” he added. Business representatives attending the meeting confirmed that supplies of essential goods remain stable, suggesting that prices are likely to remain under control and may even fall in certain cases.

Sheikh Bashir Uddin also reiterated his earlier claims that some infrastructure projects had been undertaken unnecessarily during previous administrations, and that the Padma Bridge, in particular, had failed to boost GDP as intended. “Instead of increasing GDP, costs soared. We had to curtail expenses in other areas to manage the fiscal burden,” he remarked.

On government expenditure for luxury flats for ministers, the Trade Adviser stated that he has no knowledge of any official allocations or projects in this regard. He further highlighted market stability: approximately 500,000 tonnes of rice bran have been released into the market, helping to maintain steadiness in the edible oil sector. “If this supply situation continues, the prices of essential goods may even decline further during Ramadan,” he said.

Previously, on 19 January at a public consultation in Netrokona, Sheikh Bashir Uddin pointed out that massive spending on the Padma Bridge had indirectly caused rice prices to rise. He claimed that had the funds been invested in irrigation instead, rice prices could have been at least 5 Taka lower. Instead, repayment obligations for the bridge have pushed rice prices up by 20 Taka.

Table: Key Mega-Projects and Economic Impacts

The Trade Adviser concluded that while some economic pressures persist due to past spending decisions, careful monitoring and increased imports should help maintain price stability in the run-up to Ramadan.