Not possible to sell dates at govt-fixed price

Although the commerce ministry yesterday fixed a price range for dates, a key food item for the fasting month of Ramadan, businesspeople opined that it is not possible to make a profit and sustain their trade selling the fruit at those rates.

In a notice on Monday, the ministry fixed the price of low-grade dates at Tk 150 to Tk 165 per kilogramme (kg). Prices of Zahidi dates, the widely-consumed variety, were set at Tk 170 to Tk 180 per kg, according to the notice.

The notice was sent to the Federation of Bangladesh Chambers of Commerce and Industry, and the Bangladesh Fresh Fruits Importer Association (BFFIA).

Serazul Islam, president of the BFFIA, told The Daily Star that it would not be possible to sell dates at the price fixed by the government.

"If you consider transport costs and profit margin after import, it will not be profitable to sell dates at the price fixed by the government," he said.

The government did not discuss with traders before fixing the price, Islam said, adding that it would have been better if the government had discussed the matter.

Around half of the 100,000 tonnes of dates imported annually to Bangladesh are consumed during Ramadan, according to an estimate by the Bangladesh Trade and Tariff Commission.

In Dhaka, dates of general grades were being sold for Tk 280 to Tk 450 a kg yesterday, which reflected a 22 percent year-on-year increase, according to market prices data collected by the Trading Corporation of Bangladesh (TCB).

In Dhaka, the retail price of general grades of dates edged up 4 percent over the last month, according to the TCB data.

In early February, the National Board of Revenue slashed import duty on dates from 25 percent to 15 percent in order to encourage traders to cut prices.

The new duty rates for the import of dates are already effective and will remain in force until March 30.

However, prices rose as demand grew ahead of Ramadan.