The commerce ministry has cut the prices of bottled soybean oil by Tk14 and palm oil by Tk6 per litre.
The decision was taken at a meeting held with the edible oil millers at the Secretariat on Sunday, Tapan Kanti Ghosh, senior secretary of the ministry, told the media.
The reduced prices are scheduled to come into effect today (Monday).
As per the move, one litre of bottled soybean will be sold at Tk185, and 5 litres at Tk910, while the price of bottled palm oil will be Tk152 per litre.
Earlier on 26 June, the ministry reduced the prices of bottled soybean oil by Tk6 to Tk199 per litre. Prices of soybean and palm oil are dwindling due to the declining prices in the international market.
Bangladesh saw a record price hike of Tk205 per litre of bottled soybean oil recently as the price of the essential commodity spiralled on the global market in the aftermath of the Russia-Ukraine war and the Indonesian ban on its palm oil export.
However, the price of soybean and palm oil in the international market has been continuously decreasing since last May. Currently, crude soybean is selling at $1,300 per tonne and palm oil at $1,000 per tonne.
With the downward trend in international prices, the country's oil refining mills have been releasing their oil stocks to the market to reduce their business risks, sector insiders said. As a result, the price of soybean and palm oil in the open market has been on a constant fall.
"With current retail prices, the mills are giving higher profits to the distributors and retailers, which is not benefiting the consumers," a commerce ministry official, wishing to remain unnamed, told The Business Standard.
"Although the prices of crude soybean and crude palm oil in the international market have fallen by 30%-35% in the past few months, the millers are reluctant to cut the local prices accordingly, on the excuse of increased dollar price and freight costs."
Amid such a situation, the Bangladesh Trade and Tariff Commission has recommended a 10% reduction in the local prices of refined soybean and palm oil. "The final reduction that comes today is yet lower than the recommendation," he added.