Government Exceeds Paddy and Rice Procurement Targets Amid Rising Prices

According to a press release from the Ministry of Food, the government had set targets to procure 350,000 tonnes of paddy, 1.4 million tonnes of parboiled rice, and 50,000 tonnes of atap rice by 15 August for this season.

The ministry reported that actual collections surpassed these targets: 376,942 tonnes of paddy (26,942 tonnes above target), 1,406,533 tonnes of parboiled rice (6,533 tonnes above target), and 51,307 tonnes of atap rice (1,307 tonnes above target).

Earlier, the government set the procurement prices at Tk 36 per kilogram for paddy and Tk 49 per kilogram for rice. Officials highlighted that this represents the highest rice procurement in Bangladesh’s history.

Despite the record procurement, rice prices continue to climb across the country. Since August last year, prices have risen in waves, even during the peak Aman and Boro harvests. Consumers are now paying Tk 5–17 more per kilogram compared to the same period last year, despite bumper production, substantial imports, and large government reserves.

The General Economics Division of the Planning Commission noted that rice remains a key driver of food and overall inflation in Bangladesh. Its August outlook, released on 17 August, indicated that rice’s contribution to food inflation increased from 40% in May to 51.55% in July. Prices of all three main rice categories — fine, medium, and coarse — have risen, with medium and coarse varieties experiencing double-digit inflation since December last year.

Analysts say the high Boro yield since June has not eased price pressures on the staple, leaving consumers facing higher costs despite abundant supplies.