FBCCI checklist for bringing sanity in business

This is for the first time that the Federation of Bangladesh Chambers of Commerce and Industry has sent a clear message of waging a war against members of its own community, who are out to create artificial crisis of essentials for fleecing consumers during the holy month of Ramadan. The apex trade body has issued a dire warning to this effect. It has announced its intention of working together with the government in bringing under control the businesspeople accused of resorting to such trade malpractices. If this fails to produce the desired result, the FBCCI will extend cooperation to the government for sending recalcitrant traders to the prison.

President of the FBCCI, Mahbubul Alam made his organisation's intention clear during discussion on normal supply of daily commodities and their stable prices during the fasting month of Ramadan at a meeting held in the capital. Not many will, however, agree with his contention that there is less than one per cent of businesspeople willing to create artificial crisis of commodities. Had it been the case, the overwhelming majority of the members of the commercial and industrial sectors would prevail on those resorting to business malpractice and commodities one after another would not register outrageous price hikes on a regular basis for years together. Once it is staples, the next time it is cooking oil, then it is sugar followed by egg, broiler chicken, onion, pulse, spices and more that come under the purview of essential commodities have been subjected to business manipulation.

Yet the FBCCI president deserves appreciation for coming out forthright with strong words against the bad blood within the business community. He could not be more to the point when he says that the entire community must not take the blame for the few culprits within, who have earned the infamy of  dishonesty and trade syndication for all. He has questioned if there is any place for business syndicates in free market economy. Manipulative disruption of supply chain is unethical and his organisation has a strong objection to such ploys.

Mahbubul Alam is certainly in favour of profit for traders but it has to be under acceptable rules and regulations sans malpractices. This leads to monitoring of business owners' associations as well. In this connection, he recommends shunning of nefarious business practices that engineered price rise of onions by Tk100-150 a kilogram overnight following India's decision not to export the item until March next. Wholesale traders and importers of onion who went for this unethical business ploy are still reaping abnormal profits. Local varieties still sell at Tk 180 a kilogram whereas the onions imported from India sell at Tk 140-150 a kilo. New local crops known as 'muri kata' onion is priced at Tk 120. Most people, even the journalist fraternity, seem to be happy that the prices of different varieties of onion have dropped. What escapes the notice is that price of local variety was raised abnormally from Tk 40 to Tk 60 a kilo after the last Eid-ul-Fitr and from that point to Tk 80 and finally to Tk 100-110.

If muri kata onion did not appear at the market, the price would not come down at all. As for the imported Indian variety, its cost was Tk 30-35 a kilo inclusive of transportation cost. The selling price of it is now five times the imported cost. For the sake of refreshing the public memory, let it be noted that at the time of storing the local variety into cold storage, it cost Tk 25-28 after its procurement from growers at Tk 20-22 a kilo. This is the height of business malpractice. But why are the culprits not brought to book? Right now the crime is for everyone to see but there is no action against the perpetrators.

One could not agree more with the FBCCI president when he claims that business is for development of the country, for its people and their progress. It serves the nation by reaching foods to the people, creating employment for them. Its elevated role is, however, undermined if wicked elements act disreputably. Now that he has made an open declaration that there is no need for others to intervene but businesspeople themselves will rectify the prevailing wrongs within the community's fold, let it happen and happen now. The bad elements will be forced to reform themselves if the majority pressurise them.

Let's hope this pious intention is translated into immediate action and continue forever without limiting it to just the month of siam. Then what could be a better case than the volatility of onion market? Let a joint drive by the Directorate of National Consumer Rights Protection (DNCRP) and the FBCCI be launched to identify the culprits behind skyrocketing the prices of onion overnight and not bringing those to the earlier level which too was almost double the government-fixed rate. The cat-and-mouse game with egg is going on for months but at least the DNCRP could open the lid of the racket and even levy fines on two of the foul players. Onion traders must be made to stand in the dock as part of the FBCCI's exorcising exercise.

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