Onion prices soaring in Khulna, relaxed market monitoring?

Onion

Khulna, Apr 21 –  The price of onions has suddenly surged in Khulna after remaining stable throughout Ramadan, even though it is currently peak harvesting season.

Onions that were selling for Tk 30–35 per kg only days ago are now being sold at Tk 48–50 per kg in Khulna’s wholesale markets, depending on quality. In retail markets across the city, prices have reached as high as Tk 60 per kg.

Consumers have attributed this abrupt hike to a lack of effective market monitoring.

According to traders, some buyers who usually purchase onions directly from farmers have allegedly begun hoarding supplies instead of releasing them into the market. They are reportedly using the excuse of a ban in Indian onion imports to make the market unstable.

By stockpiling locally produced onions during peak season, these traders are believed to be fueling an artificial crisis.

Consumers in Khulna have already started feeling the impact of the price spike and expressed concerns that the situation may worsen in the coming days. Many households have begun stockpiling onions in fear of further price increases, increasing the demand in local markets.

Frustrated consumers have urged the authorities to take immediate legal action against hoarders and strengthen regular monitoring of the market.

The Directorate of National Consumer Rights Protection (DNCRP), Khulna, stated that those responsible for the price manipulation will be identified and brought under legal recourse as soon as possible.

During a visit to several wholesale markets in Khulna on Saturday, the UNB correspondent found that traders collecting onions from areas such as Shailkupa and Langolbandh in Jhenaidah, Pangsha in Rajbari, Kumarakhali and Panthi in Kushtia, as well as Chourangi, Rashgram, Chakmohra, and Hazirhat, are reportedly hoarding supplies rather than releasing them into the market.

Currently, onions are being bought at Tk 1,800–1,900 per maund (around 40kg), or Tk 45–47 per kg in the wholesale market. Traders say if hoarding can be prevented, prices could quickly return to normal.

Retail traders, meanwhile, claimed they are not responsible for the price hikes, stating that they sell onions based on wholesale rates with a minimal profit margin.

Consumers, however, alleged that an organised syndicate manipulates onion prices every year, and this year is no different.

During Ramadan, local onions were selling at Tk 30–35 per kg, which increased to Tk 40 post-Eid, and has now reached Tk 60 per kg.

During visits to retail markets in Moylapota, New Market and Daulatpur on Saturday, the UNB correspondent found onions selling at Tk 60 per kg in the first two markets and Tk 53 per kg in Daulatpur.

Zahid Hasan, a shopper in Daulatpur, said, "Market instability has returned. During Ramadan and Eid, prices were under control, but now dishonest traders are making things difficult. The onions I used to buy at Tk 30–35 now cost Tk 55–60. If this trend continues, prices will rise further. The government should resume the level of market monitoring seen during Ramadan and Eid."

Touhidul Islam, a wholesaler at Sonadanga market, noted that the price hike is largely demand-driven. He added that panic buying and stockpiling at home are further pushing up prices.

He also mentioned that some dishonest traders are hoarding onions fearing that LC (Letter of Credit) for imports may not resume, adding more pressure to the supply chain.

Abu Sufian, owner of M/s Jonaki Bhandar, said that onions are being purchased at elevated prices in the wholesale market for stockpiling, and this has impacted the entire supply chain.

Retailer Harun Moral said, “Retailers have no role in this price surge. We sell at the rates set by the wholesalers.” He also blamed illegal hoarding for the sudden price increase.

Kawser, a retailer at Moylapota market, said they are purchasing onions at Tk 54 per kg from the Sonadanga wholesale market and selling them at Tk 60. “The price hike is due to hoarders,” he said.

Advocate Qudrat-e-Khuda, Secretary of Sushashoner Jonno Nagorik (Shujan), Khulna City unit, said although the government had effectively controlled prices during Ramadan, the trader syndicate remains active.

“Prices have doubled in just a few days. If this syndicate isn’t broken and market monitoring isn’t reinforced, the situation will spiral out of control,” he warned.

He urged the government to take strong action against such syndicates and called on the Directorate of Consumer Rights to play a more proactive role.

Mohammad Selim, Deputy Director of DNCRP, Khulna Division, said the agency is conducting regular monitoring and market raids. “We’re already taking legal action, including imposing fines on those violating consumer rights. Since being informed about the hoarding issue, we will monitor the market closely and take necessary steps. Anyone found operating outside government policies will face strict action,” he added. - UNB