Politics won’t influence commercial dealing with India: Finance adviser

Salehuddin Ahmed, finance adviser to the interim government, has said that ongoing political issues will not impact commercial dealings with India. 

He made the statement after chairing a meeting of the Advisers Council Committee on Government Purchase at the Secretariat today (4 December).

During the meeting, the committee approved proposals to import 1 lakh tonnes of Atap (non-parboiled) rice from Myanmar and 50,000 tonnes of non-Basmati parboiled rice from India to ensure food security, along with several other proposals.

"Products will be imported from suppliers who can deliver quickly, at competitive prices, and with good quality, regardless of the country—be it India, Myanmar, or Vietnam. Politics will not influence these decisions," Salehuddin said.

Responding to a question about a West Bengal politician's comment regarding halting rice exports to Bangladesh, Salehuddin said, "That is for diplomats to handle. Rice and onions are produced in India; when there is excess, where will they sell it?"

Salehuddin also addressed concerns over the prices of essential goods, stating, "I do not agree that the prices are entirely unstable. The prices of goods are somewhat decreasing." 

He noted that decisions on the import of rice and lentils had been made, and prior approval for food imports had been granted.

On the rising price of soybean oil, Salehuddin acknowledged the significant increase and mentioned that discussions were ongoing to address it. "Imports are already happening. The duties on everything have been reduced," he added. 

However, he also expressed concern over the impact of reduced duties, stating, "That is a bit of a concern for us. However, overall, the government is trying to control the prices."

When asked about the unavailability of five-litre bottles of soybean oil in the market, he confirmed, "Yes, this is a bit of a problem. The price of soybean oil has increased a lot abroad."

In addressing the issue of syndicates, Salehuddin highlighted that such groups operate in various sectors, saying, "Syndicates are not confined to one place. If you try to break a syndicate, it's still operating somewhere else, controlling things."

When questioned about the potential for price relief during Ramadan, Salehuddin reassured the public, "There will be comfort in the prices of essential goods during the upcoming Ramadan. The letter of credit for importing dates has already been opened, and they will arrive."

Govt's import approvals and plans

According to sources from the meeting, the Directorate General of Food will buy 1 lakh tonnes of Atap rice from the Myanmar Rice Federation at $515 per tonne, costing Tk618 crore, under a government-to-government agreement.

The 50,000 tonnes of non-Basmati boiled rice from India will be imported through an international open tender. The Directorate General of Food will purchase it from Mondal Stone Products Private Limited at $467.70 per tonne, totalling Tk280.62 crore.

To prevent food shortages, the interim government is increasing food grain reserves. It plans to import 6 lakh tonnes of food grains (2 lakh tonnes of rice and 4 lakh tonnes of wheat) for the 2024-25 fiscal year. The import process for rice and wheat will be faster, reduced from 42 days to 15 days.

Additionally, the government will purchase 15,000 tonnes of sugar and lentils from two local companies through an open tender, which will be sold at subsidized prices by the state-run Trading Corporation of Bangladesh (TCB).

City Sugar Industries will supply 5,000 tonnes of sugar for Tk59.215 crore at Tk118.43 per kg, while M/S Payel Traders in Chattogram will provide 10,000 tonnes of lentils for Tk96.69 crore at Tk96.69 per kg.

The government has also approved the import of 60,000 tonnes of urea and 30,000 tonnes of rock phosphate at a total cost of Tk338.94 crore.

Finally, the government has begun the re-tendering process for two highway projects—"Satkhira-Sakhipur-Kaliganj" and "Kaliganj-Shyamnagar-Vethkhali"—with a combined estimated cost of Tk231.95 crore.