Low prices upset Cox's Bazar, Ctg salt farmers

Thousands of farmers in Cox's Bazar and Chattogram have started working with the target to produce 26.1 lakh metric tonnes of salt this season, but they are disappointed with low prices.

They said they had sold salt at Tk 400 per maund last year. However, traders are not paying more than Tk 200 per maund this time, while production costs are Tk 200-220 per maund or even more. Farmers, who are in need of cash, say many of them are forced to sell their produce at reduced prices.

Farmer Monirul Islam of Kutubdia described this year's salt prices as very low. "I doubt whether we can recoup even the labour cost. We start working in fields every year amid worries and risks."

He said some traders, part of a syndicate, were passively discouraging farmers from salt production by reducing prices at the beginning of the season. "They are doing this so that salt can be imported on the pretext of shortages. When farmers realised they were compelled to sell at a loss, they cut production. That is why there is a risk that this year's production target will not be met."

In mid-October, farmers in Kutubdia upazila of Cox's Bazar were the first to start production. The first batch of salt was produced on November 4. On the other hand, farmers in Chakaria, Pekua, and Teknaf upazilas started production at the beginning of November. Production also began in Banshkhali and Patiya of Chattogram at the same time. In Chattogram and Cox's Bazar, 240 metric tonnes of salt were produced on November 14.

Bangladesh Small and Cottage Industries Corporation (BSCIC) says excluding all costs, the price of salt is now Tk 335-340 per maund, which is lower as stocks outweigh demand.

Ahmed Mia, a salt farmer in Kutubdia, said each maund had been sold at Tk 400-420 at the beginning of the season last year. "This time, expecting more profits, farmers got down to work earlier. But they were highly disappointed as they had to sell at a loss."

He said prices at the field level were Tk 5 per kg, while packaged salt was selling at Tk 35-60 per kg in the market. Ahmed further said there was no one to monitor why salt prices varied so much between the field and the retail market.

BSCIC data shows the target is to produce 26.1 lakh metric tonnes of salt in Teknaf Sadar, Kutubdia, Moheshkhali, Chakaria, Pekua, Eidgaon, Patiya, and Banshkhali in five months of the current season from November 15 to April 15.

Last year, 24.38 lakh metric tonnes of salt were produced on 68,505 acres of land, which was the highest in 62 years since the beginning of commercial salt production. This time, the temperature is high. If there are no storms and rains, production may exceed 2.6 million metric tonnes. The annual demand for salt in the country is estimated at 25.5 lakh metric tonnes. The current salt stock is four lakh metric tonnes.

In some places of Moheshkhali and Cox's Bazar Sadar, production has not started yet due to the accumulation of water used in fish projects. However, by next week, farmers will start working in full swing in all fields of the district. If the weather is favourable in the current season, farmers hope to exceed the production target.

BSCIC sources said more than 68,000 acres of land had been brought under salt production last year using modern polyethylene technology. This time too, salt will be produced in all fields using the technology, and farmers have been given training.

The polyethylene technology produces two and a half times more salt than conventional methods. At least 10 lakh people, including 44,000 marginal farmers and one lakh labourers, in Cox's Bazar are involved in salt production, marketing, transportation, and trade.

Leaders of the salt producers' association in Cox's Bazar district say the decrease in prices at the beginning of the season have made farmers upset. Fulfilling the target may be hampered because of a reduction in production caused by losses on the farmers' side, they also said.

The reason for lower prices should be investigated, they said. Besides, action should be taken against the traders who had deprived farmers and formed syndicates, they added.

Deputy General Manager of Cox's Bazar Salt Industry Development Office Zafar Iqbal Bhuiyan said farmers in Kutubdia had started working in fields at least 20 days before the start of the season in the middle of October.

"Then farmers in Pekua, Chakaria and Teknaf as well as Banshkhali and Patiya under Chattogram started work. Production has begun in 20 per cent of the fields.

On December 1, production will start in full swing in the remaining fields and continue for five months," he said.

According to Zafar, there will be a bumper production if the temperature is good. "If it rains, production stops for five to seven days. The daily production figure reached a record 45,000 metric tonnes in March this year during the previous season."