Ginger, garlic, onion prices down before Eid on oversupply

Highlights

• Wholesale price of ginger down by Tk30-40 in last 2 weeks
• Traders blame oversupply and poor demand for decline in spice prices
• The prices of other spices also see downtrend
• Traders may lose Tk4 to Tk5 lakh per container of ginger and garlic

With only three days left for Eid-ul-Adha, the second biggest religious festival of Muslims, sales of raw spices at the wholesale markets in Chattogram have seen a downtrend, thanks to the oversupply of the products and its falling demand amid the Covid pandemic. 

Traders at Khatunganj wholesale market said ginger prices and sales have fallen drastically over the last two weeks. Currently, Chinese ginger sells at a wholesale price of Tk120-130 in Khatunganj, which was Tk170-180 two weeks ago. Currently, the Myanmar variety of ginger is selling at Tk60, which was Tk90 per kg two weeks ago. 

The wholesale price of garlic has come down by at least Tk15-20 in the last two weeks. Two weeks ago, the Chinese variety of garlic sold at Tk140-145 and the local variety went for Tk60-65.

Currently, the Chinese garlic is selling for Tk125-130 per kg, and the local type for Tk40-45, with a decline of Tk20 per kg.  Currently, the Indian onions are selling for Tk30-35 per kg, the Myanmar variety for Tk28-32, down Tk5-7 per kg from last week. 

Last week, the Indian onion sold at Tk38-40, the Myanmar variety at Tk37-38. 

Mohammad Ayub, a raw spice trader in Khatunganj, said there are only three days left for Eid. At such times of every year, sales of raw spices in the market increase exponentially. But this time the situation is very fragile. 

They have increased the supply of all local and foreign spices in view of the upcoming Eid with the hope that there will be a good spice business. But the ongoing pandemic has dashed their hopes. The three main spices are not sold in that proportion and the prices also come down, he added. 

Khatunganj Hamid Ullah Market Traders' Welfare Association General Secretary Mohammad Idris, said, "We have never seen such a dull business in our life. The sales that were supposed to be ahead of Eid are not happening. Even though we had the last Eid-ul-Adha amid Covid but sales were better than this year. "

The prices of many products have come down. Even in the last few days before Eid, they have to sell raw spices at a loss. There is no possibility of rising prices of spices in the next three days due to oversupply, he added.

Mohammad Jinnah Ali, the proprietor of JM Traders, an importer of raw spices, said the cost of importing garlic from China is Tk145 per kg and ginger is Tk155 per kg. But the products have to be sold in two markets at a loss of Tk20-25 per kg. 

Businessmen fear that they will have to count the loss of Tk4 to Tk5 lakh per container of ginger and garlic.