Price rise of rice and Bangladesh Bank

OVER the last two months prices of different varieties of rice have unusually increased by 20 per cent in retail markets when harvesting of winter paddy has concluded. Usually, during this period of the year price level of rice is the lowest in the year.  
The fact is that large rice millers have received huge amount of short-term loans from agriculture banks and commercial banks. They used the money to hoard rice and reduce supply in the market. On the other hand, it was just the reverse during the last decade when Bangladesh Bank (BB) instructed all banks to recover such loans within a month. Magically the price of rice started coming down within a week. The central bank should be asked to repeat the same measure to protect the interest of the common consumers.
Md. Ashraf Hossain
8/A, Ramna, Dhaka-1000.
[email protected]