Rising production costs push green chili prices up amid floods
Shahariar Islam Sovon :
Bangladesh is experiencing a significant rise in green chili prices due to a combination of domestic production challenges, climate change, and rising costs of production and transportation.
The price of green chilies has soared to unprecedented levels, reaching Tk 400-600 per kg in retail markets and Tk 350-375 in wholesale, hitting urban consumers particularly hard.
The floods have wreaked havoc on the country’s agricultural sector, wiping out nearly 80% of summer crops, including green chili, which has led to a sharp supply shortage in the market.
To address this crisis, the Bangladesh government has turned to large-scale imports from India. A total of 593 tons of green chili arrived through the Benapole land port in Jessore over the past two days.
On Tuesday alone, 10 tons and 956 kilograms were imported, following Monday’s shipment of 581 tons and 970 kilograms.
Traders at Karwan Bazar confirmed the skyrocketing prices, attributing it to the decreased domestic supply and recent natural disasters. Agricultural experts noted that recent rains and floods have damaged around 80 percent of summer crops, exacerbating the chili shortage.
Benapole Customs sources revealed that 28 Bangladeshi importers collectively brought in green chilies worth approximately 3 crore 33 lakhs. The cost of importing each kilogram stands at 96 taka. Masudur Rahman, a customs revenue officer, confirmed that the imported chilies were cleared after all duties and taxes were paid.
The price hike is largely a result of reduced local production, which has forced the government to rely on imports. Experts are advising an urgent focus on boosting domestic output to reduce dependency on foreign supply.
Several key factors have contributed to the reduction in local production, including adverse climatic conditions and the misuse of pesticides.
Additionally, rising production and transportation costs have worsened the situation, leading to higher consumer prices for not only chili but also other staples like cooking oil, lentils, and rice.
The government’s decision to import green chilies is expected to increase market supply and provide temporary relief by lowering prices. However, agricultural experts emphasize the need for a long-term solution.
To strengthen local production, they recommend providing farmers with high-quality seeds, fertilizers, and pesticides, alongside training in modern farming techniques to ensure sustainable growth.
In addition to flooding, climate change and improper use of pesticides have also contributed to the decline in green chili output.
Rising production and transportation costs have further exacerbated the price hike, impacting not only chili but also other essential items like cooking oil, lentils, and rice.
Experts are urging the government to prioritize sustainable agricultural practices by providing farmers with improved seeds, fertilizers, and training in modern farming techniques to reduce future dependency on imports.