This decision of Modi government increased the difficulty of Bangladesh, sought help from Russia
The ban on India’s wheat exports has left many countries facing a food crisis, including neighboring Bangladesh. Bangladesh used to buy the wheat it needs from India but now due to the ban, it has to look for other options. Bangladesh’s government and business officials said that now Bangladesh is talking to Russia to secure its wheat supply.
According to a Reuters report, Bangladesh is trying to buy wheat from Russia so that it can get wheat at lower prices than other options. A senior Bangladesh Food Ministry official said that the wheat deal with Russia is being finalized. Bangladesh has held a virtual meeting with Russia on Thursday to give
“We will initially ask for at least two lakh tonnes of wheat from Russia,” the official told Reuters on condition of anonymity. When the Bangladesh Food Ministry was questioned in this regard, no response was received.
Bangladesh buys maximum wheat from India
Bangladesh imports around 7 million tonnes of wheat and last year more than two thirds of it was imported from India. After the ban on India’s wheat export, Bangladesh tried to buy wheat from other countries but it has to pay a very high price for the same amount of wheat. In view of this, Bangladesh has canceled the expensive wheat deals from those countries.
“A Mumbai-based dealer of a global trading firm reported that Bangladesh was paying less than $400 hundred (Rs 31,303) per tonne of Indian wheat cost and freight but now other suppliers are paying $460 per tonne (about 36 thousand rupees). Rs.) This has increased the prices of wheat and flour in Bangladesh.
In the month of May, inflation in Bangladesh reached the highest level in eight years, due to which the common people are facing a lot of trouble. Bangladesh’s wheat stock has also reached the lowest 1 lakh 66 thousand tonnes in three years.
A New Delhi-based dealer working with a global trading firm said, “There are many countries that can supply wheat to Bangladesh, but the major issue is the price. Russia may offer Bangladesh a discount on global prices. Bangladesh will initially buy small quantities of Russian wheat and if everything goes well from payment to shipping of wheat, it will increase wheat procurement.
Difficulties in buying wheat from Russia
Bangladesh will benefit from buying wheat from Russia, but there is still doubt between the two countries regarding the process of procurement. Western countries and America have imposed sanctions on Russia for the invasion of Ukraine, due to which it is not able to trade in dollars. It is also a big challenge for Bangladesh how to pay for Russian wheat.
On this, the Bangladesh government official said, ‘All issues including payments will be discussed in the meetings. Let’s see what happens.’
