The Consumers Association of Bangladesh (CAB) has called for urgent legal action against alleged syndicates accused of manipulating the soybean oil market and inflating prices under the pretext of rising import costs.
In a press statement issued on Monday, CAB expressed concern that despite a global decline in soybean oil prices, certain influential business groups are exploiting VAT and tax policy loopholes to artificially raise prices in the local market.
CAB urged the government to intensify monitoring and enforcement efforts to protect consumers from these unfair trade practices.
Citing recent market data, the association noted that although the government-fixed price of bottled soybean oil is Tk 163 per liter, retailers are charging as much as Tk 180—an unauthorized increase of Tk 17 that violates regulatory standards.
On April 21, the Bangladesh Trade and Tariff Commission adjusted the government-fixed price upward by Tk 14, attributing the move to rising international costs. However, CAB contested this justification, pointing out that global prices have significantly declined.
According to CAB, the international price of soybean oil reached $1,963 per ton in March 2022 but has since dropped to $969 per ton—more than a 50% decrease. The organization alleged that five to six major corporate entities, which dominate the country’s edible oil market, are responsible for manipulating prices to their advantage.
CAB warned that if the government fails to take immediate and decisive action, the situation could further deteriorate, leading to greater hardship for consumers.
The association called for urgent policy reforms, rigorous enforcement of laws, and consistent market monitoring to dismantle the syndicates and prevent future exploitation.
The statement was signed by Anwar Faruque, Information Officer, CAB.