Although onion prices remained stable during Ramadan, they have suddenly spiked following the Bengali New Year (Pohela Boishakh).
Within just three days, the price per kilogram has increased by Tk 15–20. Allegations have surfaced that traders are stockpiling onions, leading to the sudden surge.
Consumers are expressing frustration over the price hike during what is supposed to be the peak season for onion harvesting.
Anis, a seller at the capital’s Karwan Bazar, said, “Local onions are selling at Tk 55–60 per kg in retail. Prices shot up all of a sudden. I don’t even know why.”
Another vendor, Amjad, said, “Retailers are not responsible for the price hike. We sell based on wholesale prices. We ourselves are unsure why it has gone up.”
However, wholesalers offer a different explanation. They say farmers incurred losses on the early-harvest ‘murikata’ onions due to low prices.
As a result, many have chosen not to release their produce in the market and are instead storing it, leading to reduced supply and impacting all levels—wholesale, semi-wholesale, and retail.
Wholesaler Abdur Razzak said, “Farmers didn’t get fair prices for murikata onions this year. Out of fear of losses, many are storing their produce instead of selling. This reduced supply has created an artificial crisis.”
Consumers have been hit hard by the sudden price surge. Many allege that a new syndicate is manipulating the market.
They urge immediate government monitoring at wholesale markets and storage points; otherwise, onion prices may rise even further in the run-up to Eid-ul-Adha.
A customer named Maidul Islam said, “It’s strange that prices remained stable throughout Ramadan but are rising now during peak harvest. The government must strengthen market monitoring immediately. Otherwise, the market may become extremely volatile before Eid.”
Market insiders admit that while supply has declined somewhat, the rate of price increase is excessive. They believe market syndicates are once again active, creating artificial shortages to profit unethically.
M. Nazer Hossain, Vice President of the Consumers Association of Bangladesh (CAB), said the sudden price surge reflects unethical business practices and manipulation by middlemen.
Earlier, delays in onion imports from India triggered price hikes. Now, local wholesalers, commission agents, and loan traders are hoarding onions, causing prices to rise in a poorly regulated market.
He added that the Department of Agricultural Extension is only involved in production and doesn’t monitor whether farmers are able to sell their produce. And some traders have made it a habit to exploit essential commodities for excessive profit.
