Letter To the Editor
Onion price and inflation
Onions price hike was volatile in the last few years in Eid season. But this time, local onion price soars up more than century. Price of the spice, which has been showing an upward trend over the last few days, rose to Tk 110 a kg in the wholesale markets.
Inflation does not mean a higher price level; rather it is the continuous or persistent increase in the price level which is regarded as inflationary. Recently, all media have begun writing on price hikes of onions, an essential kitchen ingredient. It seems to the consumers that government has neither control nor has any plan how to handle the consumers' plight. What happens in our country, once the price level increases, it never goes down. Governments endeavor seems a failure.
The commerce ministry used to peg the necessity commodity prices including onion before every Eid, but failed due to the uncontrolled open market. Due to this price hike of onions, inflation creeps in and the purchasing power of the middle and lower classes go out of control. The standard of their living thus erodes. No doubt, this time onion price is much mightier position than inflation.
The government should have a long term plan how to produce the essential goods domestically and compensate the farmers during production; otherwise, the same plight will be prevailed in future.