The bottled soybean oil price has been reduced by Tk 14 a litre at retail.

The new price, Tk 185, is supposed to come in effect today, according to Senior Commerce Secretary Tapan Kanti Ghosh.

However, compared to the price drop in the international market, the 7 percent reduction seems inadequate. Unrefined soybean oil prices fell by 26 percent in the international market since June.

Each tonne of crude soybean oil prices dropped from $1,800 in April-June to $1,330 yesterday. 

The millers also agreed to reduce the prices of palm oil by Tk 6 a litre to Tk 152, Ghosh said.

As per the new price, a five litre bottle of soybean oil will sell for Tk 910 from the current Tk 980.

Edible oil prices are likely to fall significantly next month when the shipments of low-priced unrefined oil will begin to arrive.

Currently, a one-litre bottle of soybean oil sells for Tk 199, down from Tk 205 on June 27.

Unrefined soybean oil sold for between $1,330 and $1,358 per tonne in the international markets yesterday. The price hovered over $1,800 in April, May and June because of high shipping costs and fallout of the Russia-Ukraine war.

In May, Indonesia imposed a ban on export of palm oil, but the Indonesian government lifted the ban towards the end of June.

Bangladesh requires about 20 lakh tonnes of edible oil each year. Only around 2.03 lakh tonnes can be sourced from local production while the remaining demand is met through import.

Roughly 24 lakh tonnes of soybean seeds are imported as well to produce around 4 lakh tonnes of edible oil. Similarly, Bangladesh imports 11 lakh tonnes of unrefined palm oil, of which, some 85 percent comes from Indonesia.