Dhaka consumers pay up to 404% more for rice than production cost: DCCI | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Tuesday
July 22, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
TUESDAY, JULY 22, 2025
Dhaka consumers pay up to 404% more for rice than production cost: DCCI

Bangladesh

TBS Report
17 October, 2024, 06:55 pm
Last modified: 17 October, 2024, 11:05 pm

Related News

  • Govt mulls OMS sale of potatoes to ensure fair prices for farmers
  • Bodies of 3 killed in Gopalganj exhumed on court orders, sent to hospital morgue
  • Questions raised over training jets flying above crowded city
  • Inside the Milestone school plane crash: What kind of aircraft was it?
  • Election under PR system will open door to extremism in Bangladesh: Tarique Rahman

Dhaka consumers pay up to 404% more for rice than production cost: DCCI

The study reveals that the prices of other essential commodities like onion, ginger, potato, salt, turmeric, and dry chilli have skyrocketed in Dhaka

TBS Report
17 October, 2024, 06:55 pm
Last modified: 17 October, 2024, 11:05 pm
File photo of different varieties of rice. Photo: TBS
File photo of different varieties of rice. Photo: TBS

Dhaka consumers pay 404% more for one kilogram of fine rice and 260% more for coarse rice compared to the producer-level prices, finds a study conducted by the Dhaka Chamber of Commerce and Industry (DCCI). 

The prices of several agricultural products, including rice, onions, potatoes, garlic, and turmeric, rise abnormally at the retail level in Dhaka as they pass through the hands of producers, wholesalers, and retailers, shows the study.

The results of the study titled "Food inflation: An analysis on price dynamics of essential commodities" were presented at an event organised by the Dhaka chamber in the capital's Motijheel today (17 October). The research was presented by AKM Asaduzzaman Patwary, executive secretary (R&D) of DCCI. 

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

The study, which was primarily conducted to investigate the reasons behind the food inflation rate surpassing 14% in July, shows the price of one kilogram of locally produced onions is 365.12% higher than the production cost.

Similarly, the price of ginger increases by 332%, potatoes by 190%, salt by 200%, turmeric by 316%, and dried chilli by 110%, it shows.

"Although prices increase from producers to consumers, producers often do not receive a fair price."

Ashraf Ahmed, president, DCCI

Among these, the lowest price increase has been observed in beef, where the price rises by 5.71%.

The production cost of one kilogram of coarse rice has been found at Tk16.67 (an average of the minimum and maximum prices obtained from the field). The producers sell it for Tk23.75, which includes their profit and associated costs, reflecting a price increase of 42.50%. 

The wholesalers, after adding transportation, labour, storage, and other related costs, set the buying price at Tk26.25, where the increase is 10.53%. The wholesalers then sell the rice to the retailer at Tk50, marking another significant price hike of 90.48%. 

The retailers set the purchase price at Tk56, where the price increases by 12%, and with an additional 7.14% profit, the rice is sold at Tk60. Throughout the entire process, despite a total price increase of 260%, it is the wholesalers who are found to have contributed significantly to the abnormal price hike.

In the case of fine rice, even more alarming data has been revealed. After purchasing the product, the wholesalers make up to 220% profit on the price at which they sell it.

It has been found that for nine imported products — soybean oil, wheat, onion, ginger, garlic, lentils, sugar, milk powder, and red chilli — the price increase from production to retail level ranged between 1.69% and 32.99%. The highest price increase has been observed in wheat, at 32.99%, while the lowest is in milk powder, at 1.69%.

Asaduzzaman Patwary, DCCI executive secretary, said the primary reason for the current food inflation is the lack of coordination between the demand, production, and import of essential commodities.

He said that the increase in commodity prices is driven by several factors, including rising production costs, limited supply, inefficient market systems, high transportation costs, and market dominance with limited bargaining power.

Additionally, factors such as artificial shortages, difficulties in opening letters of credit (LCs), seasonal price fluctuations, currency devaluation, inefficiencies in the supply chain, inadequate storage facilities, and limited market access for producers have also been found to have contributed to price volatility.

The research was conducted on 20-29 August across 49 districts in 8 divisions of the country, collecting data from 600 respondents, including producers, importers, wholesalers, and retailers. The study gathered information on 21 food items, of which 12 are locally produced, 5 are imported, and the remaining 4 are both locally produced and imported. Samples were collected from producers, importers, wholesalers, and retailers at various stages during the research.

Ashraf Ahmed, president of DCCI, said although prices increase from producers to consumers, producers often do not receive a fair price. "Sometimes, indirect costs are involved in raising prices. There should be initiatives to utilise satellite technology to assess agricultural production."

He went on to say, "If we can reduce production costs at the storage, transportation, and processing stages, prices will comparatively decrease. Additionally, by reducing post-harvest losses through processing, it is possible to significantly lower costs for perishable products."

The Dhaka chamber president said it is essential to emphasise the importance of obtaining supply and demand-based information, analysing data, and evaluating it. A tariff calendar could be developed to regulate commodity prices in the market, which would outline when tariffs will be imposed on imports and when they will be reduced, allowing for advance decision-making, he said.

Top News

rice / price hike / Bangladesh / DCCI

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Students stage protest demanding justice for the Milestone plane crash on 22 July 2025. Photo: TBS
    Milestone students demonstrate at Diabari over 6 demands after plane crash tragedy
  • People outside the National Institute of Burn and Plastic Surgery on 22 July 2025. Photo: Mehedi Hasan/TBs
    Milestone tragedy: Public rushes to donate blood at burn institute
  • The jet plane charred after crash on 21 July at the Milestone school premises. Photo: Mehedi Hasan/TBS
    Milestone plane crash: Death toll rises to 27 as five more injured children die

MOST VIEWED

  • Training aircraft crashes at the Diabari campus of Milestone College on 21 July 2025. Photo: Courtesy
    BAF jet crash at Milestone school: At least 20 including children, pilot dead; 171 hospitalised
  • Flight Lieutenant Md Towkir Islam. Photo: Collected
    Pilot tried to avoid disaster by steering crashing jet away from populated area: ISPR
  • An idle luxury: Built at a cost of Tk450 crore, this rest house near Parki Beach in Anwara upazila has stood unused for six months. Perched on the southern bank of the Karnaphuli, the facility now awaits a private lease as the Bridge Division seeks to put it to use. Photo: Md Minhaz Uddin
    Karnaphuli Tunnel’s service area holds tourism promises, but tall order ahead
  • Bangladesh declares one-day state mourning following plane crash on school campus
    Bangladesh declares one-day state mourning following plane crash on school campus
  • 91-day treasury bills rate falls 1.13 percentage points to 10.45% in a week
    91-day treasury bills rate falls 1.13 percentage points to 10.45% in a week
  • Air Force F-7 BJI training aircraft crashes at Milestone College in Uttara
    Air Force F-7 BJI training aircraft crashes at Milestone College in Uttara

Related News

  • Govt mulls OMS sale of potatoes to ensure fair prices for farmers
  • Bodies of 3 killed in Gopalganj exhumed on court orders, sent to hospital morgue
  • Questions raised over training jets flying above crowded city
  • Inside the Milestone school plane crash: What kind of aircraft was it?
  • Election under PR system will open door to extremism in Bangladesh: Tarique Rahman

Features

Illustration: TBS

Uttara, Jatrabari, Savar and more: The killing fields that ran red with July martyrs’ blood

12h | Panorama
Despite all the adversities, girls from the hill districts are consistently pushing the boundaries to earn repute and make the nation proud. Photos: TBS

Despite poor accommodation, Ghagra’s women footballers bring home laurels

1d | Panorama
Photos: Collected

Water-resistant footwear: A splash of style in every step

1d | Brands
Tottho Apas have been protesting in front of the National Press Club in Dhaka for months, with no headway in sight. Photo: Mehedi Hasan

From empowerment to exclusion: The crisis facing Bangladesh’s Tottho Apas

2d | Panorama

More Videos from TBS

The doctors arrived with bad news

The doctors arrived with bad news

1h | TBS Today
People flocked to donate blood

People flocked to donate blood

2h | TBS Today
State mourning and exams postponed today

State mourning and exams postponed today

2h | TBS Today
More training plane crashes in Bangladesh

More training plane crashes in Bangladesh

13h | TBS Today
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net