Workers suffering from rising commodity prices must be addressed

In the fragile situation of the economy in Bangladesh, there has been instability in the daily commodity market. The prices of goods are gradually increasing due to various reasons. Buyers are not able to go to the market to settle the accounts due to the increase in price inflation. As a result, common people and working people are somehow forced to cut down on expenses. Now the main topic of discussion in Bangladesh is the unbridled increase in the prices of daily necessities. The price of these products is constantly increasing. Some products have doubled or tripled in price. The common people of the country are in extreme trouble due to the abnormal increase in the prices of these products over the past few months. The sufferings of the laborers have reached an extreme. Prices of almost every essential commodity, including rice, pulses, eggs, sugar, and oil, are now skyrocketing. Chicken, beef, and beef are out of reach.

It is an undeniable fact that the prices of almost all types of goods, including daily necessities, have skyrocketed. There are no items that are rumored to have reduced prices. This price increase is not commensurate with the personal income earning of a salaried working poor common citizen. The market situation is now at such a stage that the normal rules of the market system are on the verge of collapse. One price shock after another has become the norm in the market. It goes without saying that this situation brings about miserable conditions in the lives of the working people of the country with limited income. In 2022, commodity price growth exceeded all previous records.

The trickery with rice does not stop. There is no way to close it. Although the price of rice is expected to be normal during the full season of Aman, the opposite picture is seen in the market. In the last week of May 2022, the rice market became mysteriously turbulent. The price is increasing every day. The middle class, lower class, and hard-working people are facing extreme difficulties due to the increase in the price of rice. At this time, the price of rice decreases every year. Now it’s the opposite. Manipulation of mill owners and traders, famine is coming, such statements from the ruling elite, and hoarding are the reasons for the increase in prices. Rice traders say that the price of coarse rice has not increased in the space of a week, but the price of thin rice has increased. Thin rice has increased by Tk 3 to Tk 65 to Tk 68 per kg; medium or pajam rice has increased by Tk 2 to Tk 54 to Tk 56; and coarse rice has increased by Tk 2 to Tk 48 to Tk 50 per kg, according to the government’s marketing agency, TCB. However, retail traders in the market say that rice is being sold at a higher price of Tk 5 to 7 per kg than TCB data. Aman paddy has started coming from the field to the farmers. And new rice has already arrived in the market. At present, there is no logical reason for the price increase, but the price of rice is increasing. Basically, a cycle capitalizing on a possible global recession in 2023 has already started raising the price of rice so that they can make extra profits in the long run.

Those related to the rice market say that there is no shortage of rice anywhere in the country’s retail market, wholesale market, or millgate. Still, the price of rice is increasing abnormally day by day due to various excuses. The rise in prices has hurt the middle class, low-income people, and the working class. The suffering of working people has already started. When determining the cause of the price increase, four reasons have come to the fore, according to the traders’ information. These are-

1. Additional production costs: the cost of production has increased in Aman.
2. Corporate companies stockpile rice from the market;
3. In recent times, people have been buying extra rice for their sudden needs due to the news of the crisis. People are buying extra rice due to the news that there may be a crisis next year.
4. Seasonal traders are buying paddy from farmers at a low price and storing it. There has been renewed unrest over flour and sugar prices.

The price of flour has increased by Tk 10–15 per kg. Those related to the market in the capital say that the price of packaged and open flour has increased in all shops. Open flour is now being sold at 65 Tk per kg. Which was earlier Tk 50–55 per kg. And a two-kg packet of flour is being sold for Tk 145–150. Which was earlier 125–135 Tk. Packet flour is being sold at Tk 85 per kg, an increase of Tk 5. Sugar prices are skyrocketing now. It is known that the government decides the price of sugar based on the demands of traders. Open sugar is 102 Tk, and packet sugar is 108 Tk per kg. But retail traders said that they stopped selling sugar as they could not sell it at the fixed price in the market. All types of sugar are now being sold in the market at Tk 115–120 per kg. Retailers say that sugar is not available on the market as per demand. Their sugar cost 112 taka. So they don’t even buy sugar; they don’t even sell.

On the other hand, imported garlic is selling for Tk 130–140 per kg. Bottled oil is being sold at Tk 190 per liter. Besides, beef is being sold at Tk 700 and Khashi meat at Tk 900 per kg in the market. Golden chicken is being sold at Tk 280 to Tk 300 and domestic chicken at Tk 500. Besides, chicken eggs are being sold at Tk 120 per dozen and duck eggs at Tk 210 per dozen. The prices of not only the above products but all the products are constantly increasing in the market. However, due to various reasons, the purchasing power of ordinary working people has come down to a marginal level.

Commodity price of growth because

The reasons for the continuous increase in commodity prices in Bangladesh are as follows:

1. Business people syndicate: One of the main reasons for the increase in commodity prices in the country Due to the manipulation of the syndicate, the price situation in Bangladesh has reached an unbearable level. Countrymen are in the hands of middlemen and syndicates. Traders make crores of rupees by increasing the price of commodities through crooked manipulation by syndicates, which is forbidden in Islam. Due to the usurpation of the rights of others in this way, disaster will come in the hereafter, and its evil consequences in this world also appear severely.
2. Hoarding: Hoarding is one of the reasons for the increase in commodity prices. It is often alleged that a class of highly profitable unscrupulous traders control the market by hoarding commodities. In other words, unscrupulous traders control the market through hoarding. They create artificial crises and suddenly or deliberately raise prices. Illegal hoarders are abhorred in Islam. The Prophet (peace be upon him) said that a trader who stores food products with the intention of selling them when the price increases will be kept in a world of scarcity and disease. It is the strategy of business hoarders to raise commodity prices during crises.
3. Extortion: Extortion in transport is one of the reasons for the increase in prices. Extortion on roads, highways, markets, footpaths, and places where goods are sold increases the price of goods. Extortion of large amounts of money by industrial owners, entrepreneurs, producers, and traders is one of the reasons for the increase in commodity prices. Traders and producers compensate for the loss of levies paid by extortionists by increasing the price of goods. As a result, consumers are affected. In other words, due to extortion, common people are subjected to price aggression. Even if the producer does not get the right price for his product, there is no shortage of money for the extortionists. Donations are also demanded on various occasions. Businessmen and shopkeepers are victims of fancy extortion every day. If businessmen and entrepreneurs don’t pay the enormous sum that the top terrorists demand, they will become victims of terrorist attacks. Extortionists extort money by force. Extortion is a form of oppression.
4. International in the market Increase in commodity prices: The effect of an increase in commodity prices in the international market is also felt in the domestic market. When the price of a product increases in the international market, its price naturally increases in the domestic market. Traders often talk about price increases in the international market due to the upward trend in the price of daily commodities, but in fact, wholesalers are selling products at several times higher prices than in the international market.
5. internal in the market of good governance Deficiencies: There is a lack of good governance in the country’s internal market system. Due to this, the prices of daily necessities are increasing. Not only inflation but also the price variation of the same product from market to market has raised serious questions recently. Even the price lists of government agencies have various inconsistencies. Which reminds me of the anarchy of Bangladesh’s market system.
6. A very profitable cycle Conspiracy: A cabal of highly profitable, unscrupulous businessmen often tries to destabilize the market, thereby harming the common consumer, the helpless working people.
7. Accountability Deficiency: Looking at the overall situation, it is not inconsistent to point out that the accountability of the authorities has decreased due to the weak democratic governance in Bangladesh. As a result, the prices of daily commodities have increased and the sufferings of the citizens have increased, but no one is being held accountable.
8. Riba or Interest: Due to the presence of riba, or interest, the price of goods increases gradually. In an interest-free economic system, producers, entrepreneurs, and traders add transport costs, duties (if any), other incidental costs, and normal profit to the cost of production. But in an interest-based economy, extra interest is added to these natural costs of commodities. Three to four times, in some cases more than that, is added to the interest on the particular commodity, so that the commodity goes beyond the purchasing power of the people. Price volatility is crushing for people. The consumer is forced to pay this high interest rate. In an interest-based economy, there is no other change than this.
9. Extra transport fares: Additional transportation fares also affect commodity prices. On the pretext of high transport costs, traders increase the prices of goods.

Commodity price growth; laborer of people Suffering And to be done

As a result of the unbridled increase in commodity prices in the country, the suffering of the working people is extreme today. The workers are very helpless today. Purchasing power has gone beyond the reach of the working class. Constantly, the price of some products is increasing. The suffering of working people is only increasing. Except for a small group of people in the country, the income of most people did not increase. In addition, the income of many, especially the working class, has decreased. Many industries have closed down. Many of the workers are unemployed. But even in such a situation, the cost of living has increased abnormally. Even in such a situation, the prices of all kinds of daily commodities have been very high for the past several months. As in the case of imported products, the same trend is observed in the case of domestically produced products. Prices of all types of consumer goods are increasing without any logical reason. It has already been said that the excessive profit greed of our business community is responsible for this situation, as well as the weakness of market management. Due to the weakening of basic state management, the common working poor are in dire straits. The excessive sectarianism of the ruling class has exacerbated the problem.

Meanwhile, the following can be done:

1. Keeping the issue of food security in mind, it is a priority to ensure that the emergency food supply is in order. have to give
2. Appropriate authorities should keep an eye on market management.
3. The market must ensure the supply of essential commodities at the right price so that the common man and the working class can purchase the goods they need.
4. Working people should be brought under the social security program.
5. Informal sector workers should be brought under the social protection sector.
6. Waste must be prevented.
7. A balanced short-term economic strategy should be adopted. For this reason, more attention should be paid to the research.
8. The wages and labor prices of the workers should be increased so that they can survive at least twice a day.
9. In the plight of the workers, the owners and all the rich should stand by them with a spirit of support. 10. Islamic labor policy should be popularized in all areas; it should be remembered that the welfare of the workers is included in it. One should always seek the help of Allah, who is the real owner of sustenance.

Author: Economic Analyst and the Banker