Bangladeshi traders are becoming increasingly hesitant to import rice, particularly coarse white rice, from India due to a price disparity with the domestic market.

While the cost of importing rice from India is around 53 taka per kg, the domestic price of locally grown rice has dropped to 50-52 taka per kg, making imports financially unfeasible and potentially leading to losses.

This situation follows the Bangladesh government's decision to make rice imports duty-free in order to stabilize the domestic supply and control price hikes.

As a result, 1,340 tonnes of rice have been imported through the Binapole land port from November 18 to 27, with another batch of 410 tonnes arriving on November 27.

Despite the duty-free import policy, which has encouraged some traders, including those who were permitted to import 2,000 tonnes of Atap and 3,000 tonnes of Sela rice, the price of imported rice is still higher than local prices.

For instance, the cost of imported Sela rice is reported at 51 taka per kg, but when factoring in additional delivery costs of around 1.50-2 taka per kg, it becomes less attractive. Importers are thus refraining from further orders, especially since December 22 is the final date to import under the duty-free provision.

This reluctance to import is creating uncertainty in the rice trade, with traders preferring to avoid potential losses, leading to a slowdown in rice imports.