Wheat price easing as India lifts embargo

The price of wheat in Bangladesh has gone down by Tk 4-5 per kilogram as supply issues eased on the back of India resuming exports through the the country's northern land port Hili_ in Dinajpur district.

The traders said they bought wheat at Tk 36-37 per kilogram on Saturday_ which was Tk 40 -41 per kilogram last week.

Mustafizur Rahman_ general secretary of the Hili land port export-import group_ told that the price of wheat decreased due to increased supply recently.

India_ the biggest economy of South Asia imposed an embargo on wheat export to maintain supply of the food grains in their domestic market on 13 May.

The wheat import allowed by India under the previous LCs since 29 May this year. The importers who opened LCs to import wheat through railway containers now have to import it by road due to some problems with the railway line_ Mustafijur said.

The traders said the price of wheat increased to Tk 1600 per maund from Tk 950 only before the Russian invasion of Ukraine. One maund equals more or less 40kg.

Wheat is the second staple of Bangladesh and the annual consumption of these grains is nearly 8.5 million tonnes_ which is increasing by 5% to 6% per year.

Until January of fiscal year 2021-22_ India supplied 66% of the wheat Bangladesh imported. Of the rest_ 15% was from Ukraine_ 7% from Russia_ 6% from Canada_ and 5% from Australia.