TBT DESK: Consumers Association of Bangladesh (CAB) on Tuesday urged the government to take strict action against the Soybean oil syndicate as 'edible oil is going beyond the reach of consumers due to the manipulation of syndicates' in the domestic market.
This demand was made in a statement.
In the statement, the organisation said an old syndicate-active again since August 5-is now dominating the soybean oil market.
The group is creating an artificial crisis by raising prices, thereby putting pressure on the government while securing hefty profits, it said.
The statement said that despite government policy support-such as duty waivers and VAT reductions-several powerful companies have deliberately reduced oil supply, destabilising the market.
Although the government approved a price hike of Tk 14 per litre from April 14, the syndicate is now reportedly trying to push for an additional Tk 7 increase.
Citing global trends, CAB noted that the international price of soybean oil dropped from USD 1,667 per ton in 2022 to USD 1,022 in 2024 but the domestic prices have continued to climb.
Currently, loose soybean oil is being sold in the retail market for Tk 180 per litre-Tk 11 more than the official rate.
CAB blamed four to five major companies for controlling the market saying they used similar tactics during the previous government to exploit consumers.
"They are still creating instability in the same way," the statement said. "If the syndicate is not dismantled and market transparency and competition are not ensured, the crisis will only deepen."
CAB urged the government to take immediate, strict action against the syndicate, strengthen market monitoring, and ensure proper implementation of policy support measures.
The organisation also criticised traders for failing to boost supply after the National Board of Revenue removed a 5 percent import duty following the Commerce Ministry's price hike decision.