Bijaya Dhoj Thapa, deputy general manager of the state-owned food supplier, said with the hike in rice prices, private retailers will be discouraged to purchase rice distributed by NFC to sell in higher prices in the coming days. He said NFC is selling more than 50 quintals of rice through its outlets in the capital everyday. [break]
NFC has been selling Sona Mansuli, Sawa Mansuli, Jeera Mansuli and Basmati varieties of rice. Last year, the state-owned food distributor sold rice at fair price through its mobile shops in the capital to intervene the market which was seeing high rise in rice price.
The government had also distributed sugar through NFC outlets to rein in soaring prices in the market. NFC had purchased 10,000 quintals of sugar from Salt Trading Corporation at Rs 77 per kg for the purpose.
NFC stopped selling sugar after private traders reduced the price to Rs 65 per kg. NFC has around 9,000 tons of sugar in its stock.
Private traders jack up prices of rice
Rice, the main staple of Nepali people, has become dearer by over 35 percent over a month´s period due to supply deficit amid tightening on illegal imports by India.
Pabitra Bajracharya, president of Nepal Retailers´ Association (NRA), told myrepublica.com the price of popular rice varieties have increased by more than 35 percent over the period and by 10 percent in the last one week.
“Most of the suppliers have attributed the price hike to stringent security check along the Nepal-India border to discourage cross border flow of non-Basmati rice varieties to Nepal,” said Bajracharya.
Some retailers, however, said the practice of hoarding by key suppliers in speculation of further rise in prices in the coming days is the major reason behind skyrocketing prices of rice in the market.
Bajrachayra said declining flow of Indian rice varieties in the domestic market has pushed up the prices of local rice varieties amid increasing supply deficit.
According to Nepal Retailers´ Association, price of popular rice varieties such as Pokhreli, Jira Masino, Basmati, Sawa Jira, Mansuli and Sona Mansuli have went up by more than Rs 5 per kg over the week. Price of Pokhreli rice has increased by Rs 5 to Rs 55 per kg in the market.
Likewise, the price of Indian Basmati rice has also increased by Rs 5 to Rs 70 per kg. Sona Mansuli -- the most popular rice variety -- has become dearer by Rs 2 per kg to Rs 42 per kg.
Of all the rice varieties, the prices of Mansuli rice, Silky Sona rice and coarse rice have become dearer by Rs 6 per kg in average. Prices of Mansuli and Silky Sona Mansuli have climbed to Rs 54 and Rs 50 per kg, up by Rs 6 per kg over the period.
Likewise, coarse rise -- a popular variety among low income groups -- has also become dearer by Rs 7 per kg to Rs 34 per kg.
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