In spite of the government fixing edible oil prices recently, the prices of loose soybean oil and palm oil have gone up at both retail and wholesale markets due to a supply crisis.

The prices of loose soybean oil and palm oil rose by Tk 410 to Tk 450 per maund (around 37 kilogrammes) at Khatunganj wholesale market in Chattogram within a week.

The impact of the wholesale market fell on the prices of both varieties of loose oil in the retail market.

Retailers at several kitchen markets in Dhaka were seen selling each litre of loose soybean oil for Tk 152 to Tk 158 per litre, about 3.7 per cent higher than the price prevailing a week back, data from the Trading Corporation of Bangladesh (TCB) showed.

Meanwhile, palm oil was being sold at Tk 140 to Tk 145 which was Tk 140 to Tk 144, as per the TCB data. However, the price of bottled soybean oil has remained unchanged in the capital since March 14.

According to the wholesalers, loose soybean oil at the Khatunganj wholesale hub sold at Tk 6,210 whereas it was Tk 5,800 and loose palm oil at Tk 5,620 whereas it was Tk 5,170.

Considering the price increase, the wholesalers were selling edible oil at Tk 15 to Tk 17 higher per litre in the Chattogram market though the government fixed the wholesale price of loose soybean oil at Tk 133 per litre and palm oil at Tk 127 per litre two weeks ago.

The retail prices of both varieties of oil have been fixed at Tk 136 per litre and Tk 129 per litre respectively.

The price of the products is increasing as the supply of oil is less in comparison to market demand, said Abdur Rahman, a wholesale trader in the Khatunganj market.

Market sources said the dealers have reduced the supply of oil of all brands in the market and the oil was not meeting even half of the market demand.

The wholesalers were forced to buy oil at a higher price than the government's fixed price for this reason, they said.