TCB plans open-market sale of essentials outside Smart Family Card system

The state-run Trading Corporation of Bangladesh (TCB) is planning to launch a pilot initiative to sell selected essential commodities in the open market outside its existing Smart Family Card distribution system, aiming to ease market prices and provide relief to consumers.
Under the plan, commodities procured from international markets at comparatively lower prices will be sold to consumers at prices below prevailing market rates without any government subsidy, TCB Chairman Brigadier General Mohammad Foyshol Azad told BSS.
“This is completely a new initiative and it’s a thought of the present government,” he said.
The initiative will initially focus on edible oil, with the first shipment of around 20,000 metric tons expected to arrive in the first week of September.
“If we can procure lentils at a lower price, we will also sell lentils. If we can procure sugar at a lower price, we will sell sugar as well,” the TCB chairman said.
Unlike the Smart Family Card programme, the open-market initiative will allow all consumers to purchase the selected commodities.
“Everybody will be able to buy the items through open sale,” he said, adding that the pilot will initially run for around three to four months to assess the market response.
The first shipment will be treated as a pilot lot, and continuation of the initiative will depend on TCB’s ability to sell the procured commodities effectively.
The government will not provide any subsidy for the programme. Instead, TCB will seek to benefit consumers by procuring commodities at competitive prices and selling them with a lower margin.
According to the chairman, depending on the commodity and procurement cost, prices could be around Tk10 to Tk12 lower per unit than prevailing market rates.
He said the initiative would not be seasonal and could be expanded if the initial pilot proves successful.
Edible oil was selected for the first phase because of its high current price and strong market demand. Other essential commodities, including sugar and lentils, could later be included if they can be procured at competitive prices.
The chairman said TCB would not intervene in every commodity market continuously. Instead, specific products would be brought into the market when necessary to address supply or price pressures.
The proposed open-market sales will operate alongside, rather than replace, TCB’s existing subsidised sales programme through the Smart Family Card system.
“The subsidised operation is different. But, this will be at the market rate, but below the prevailing market price,” he said.
Brigadier General Foyshol said the initiative would operate under TCB’s existing mandate and would not require a separate programme title.
He also said no additional budgetary allocation would immediately be required for the pilot as provisions for TCB operations have already been included in the current budget.
“If the pilot is successful, it will go for extension,” he said.
The TCB chairman expressed hope that increased availability of essential commodities at competitive prices through open-market sales would help reduce overall market prices.
“If we can put the products into the market, prices will naturally start coming down,” he said.