Cooking oil scarcity sparks allegations of market manipulation

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Consumers in Dhaka are being compelled to buy additional products such as rice or salt in order to purchase cooking oil, as retailers cite supply shortages and low-profit margins, raising concerns of artificial market manipulation.

Staff Correspondent

Publisted at 8:58 AM, Fri Feb 21st, 2025

Consumers across Dhaka are grappling with an ongoing scarcity of edible oil, with many reporting that retailers are coercing them into purchasing additional goods to obtain the essential commodity.

This practice, allegedly driven by supply disruptions and thin profit margins, has sparked allegations of artificial market manipulation.

Reports from various city markets reveal that retailers are conditioning the sale of cooking oil on the purchase of other staple items such as rice, salt, or sugar.

"I came to buy a five-litre bottle of soybean oil, but the shopkeeper insisted that I also buy a packet of lentils and detergent," said Rafiq Ahmed, a resident of Dhanmondi.

"It feels like an orchestrated crisis to exploit consumers."

Market traders, however, claim that dwindling supplies and restrictive wholesale pricing have left them with little choice.

"We are barely making any profit on cooking oil because suppliers are charging us higher prices. To sustain our business, we need to balance margins by selling other products alongside oil," explained Abdul Karim, a grocer in Karwan Bazar.

Bangladesh Vegetable Oil Refiners and Vanaspati Manufacturers Association recently assured consumers that there is no legitimate shortage and that supply lines remain intact.

However, retailers contend that delays in stock replenishment and unregulated middlemen are fuelling the crisis.

Government officials have pledged stringent monitoring to curb malpractice.

"We are investigating reports of unfair sales tactics and will take necessary action against traders found engaging in unethical practices," stated an official from the Directorate of National Consumer Rights Protection.

Meanwhile, consumers continue to bear the brunt of soaring prices and restricted access to essential commodities, raising pressing concerns about market governance and regulatory oversight in ensuring fair trade practices.

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