Market syndication is a widely discussed and contemporary problem in the economy of Bangladesh. This syndicate is largely responsible for the rising prices of products every day and the artificial crisis in the market. Especially in the case of essential products, the manipulation of syndicates has a direct impact on the daily life of consumers. Fixing the market, however, is not a simple task. This is the result of many different and complex issues that cannot be resolved by merely administrative or legal means. Because of the numerous stakeholders' interests, administrative flaws, political favors, and a lack of consumer awareness, this issue requires an economic, political, and social analysis.
The first problem that needs to be addressed is policy paralysis. Although there are various policies to control the market in Bangladesh, their proper implementation often fails. Instructions are sometimes issued by the government to control the price of the product, but there are doubts about how effective it is in the field. One of the main reasons for the existence of syndicates in the market is the laxity or incompleteness in the application of such policies. For example, when the price of a product suddenly rises abnormally, the government announces inspections or raids, but these measures are often temporary and fail to address the root cause of the problem.
The problem of administrative weakness and corruption follows. Law enforcement and market regulatory organizations frequently have a tendency to be corrupt, which increases the syndicate's recklessness. By accepting bribes or other benefits, market regulators frequently fail to notice the syndicate's operations. Many times, it is seen that the concerned traders get advance information before conducting raids, which is a big example of administrative weakness. As a result, the members of the syndicate are able to easily increase the price or create an artificial crisis by controlling the market.
Apart from this, political influence and support also play a big role in the expansion of the market syndicate. Sometimes members of large business groups or syndicates in the market have close ties with political parties. Such political connections make it difficult to take legal action against them. In the reality of Bangladesh, the administration cannot be strict against some influential businessmen as they are under the patronage of political parties. If there is no real will on the part of the political leadership to end the syndicate, then administrative action is also not effective.
Another major challenge in market syndication is the lack of technological advancement. At present, it is possible to ensure market transparency and accountability using information technology, but the proper use of this technology in Bangladesh is limited. The impact of syndicates could be reduced if the supply chain of products could be monitored through digital platforms or transparency in pricing could be brought. However, the limitations of the technical infrastructure and the lack of expertise of the concerned officials hinder this effort. Lack of competition in the market also contributes to the formation of syndicates. Where there is less competition in the market, certain traders get the opportunity to control the market easily. In many markets of Bangladesh, certain big business groups have absolute control over the supply of goods. As a result, they can raise or lower their prices. Entering the market for new traders involves a variety of regulatory complications and capital crises, which fail to create an environment of competition.
Consumer ignorance is also a major challenge in eliminating market syndicates. Most of the consumers in Bangladesh are not aware of the actual price or market situation of the products. As a result, they can easily fall victim to fraud. Even though the Consumer Rights Protection Act has been used to safeguard consumers' rights, there are still concerns about how it should be implemented and how to raise consumer awareness. Things might be different if customers knew their rights and began to fight syndicates. The lack of coordination of various agencies in controlling the market is also a big problem. However, there is often a lack of coordination between these organizations. When one company takes an action, the other company does not coordinate with it, as a result of which a permanent solution does not come in the market. This incoherence creates a favorable environment for the syndicate.
Changes in the international market also affect the domestic market, and syndicates take advantage of this opportunity to raise prices. A product's price increase on the global market or a disruption in supply also affects the local market. However, many times the syndicate unnecessarily increases the price of the product by giving the excuse of this global situation. As a result, it is a challenge to balance the local market with the international market.
Concerted action is needed to address these challenges. There is a need to take strict action against administrative corruption and ensure accountability of market regulatory bodies. Through the use of technology, it will be possible to keep market information transparent and monitor the supply chain of products, reducing the impact of syndicates. Educating customers, encouraging new business owners to enter the market, and fostering a competitive atmosphere are also crucial. Without the political leadership's will and the administration's firm stance, this issue cannot be resolved permanently.
The process of facing market syndication is ongoing and prolonged.It is not only the responsibility of the government or the administration; rather, it is possible to implement through the joint initiative of business, consumer, and civil society. Market syndicates can be controlled through political will, administrative transparency, and the integrated use of technology. However, it requires a well-structured and sustainable policy that will ensure economic progress and social justice in the country.
The writer is a student, Department of Sociology, University of Rajshahi