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Price hike of food staples in NY Southeast Asian communities

Just like in Bangladesh, the price of daily essentials for Bangladeshis in New York is becoming too high.

Since the beginning of Ramadan, the Muslim holy month, the prices for all kinds of products, including Hilsha fish, tomatoes and onions, have increased at a considerable rate, something not seen in decades in the United States. These hikes are not limited to Bangladeshi groceries, but all stores that cater to Indian, Arab and Pakistani communities are feeling the effects.

Inquiries in Bangladeshi grocery stores found that each packet of daal (lentils) which used to sell at $3 is now selling for $5, dates which used to sell at $3 per pound now sell at $5, tomatoes went from $1 to $2. The price per pound of Hilsha increased by $1.50, beef by 50 cents, lamb by 75 cents, and chicken by 25 cents. Though the importation of vegetables continues uninterrupted, prices have increased abnormally.

Mahmudunnabi Arif, owner of the Kalamilata Grocery, said that suppliers had increased the price of almost all commodities just prior to the beginning of Ramadan. The importation of daal from India is no longer possible because the production of lentils has decreased in India.

Arif said, however, there is no dearth of supply. Tomatoes and dates are also produced in the United States; all kinds of vegetables are produced in and around New York state. So there is no discernible reason for the commodities to have doubled in price.

Siddique Manik at Shapla Supermarket said importers had increased their prices, taking advantage of a Hilsha crisis in Bangladesh – allegedly a U.S.-based a company is buying large amounts of Hilsha fish from Bangladesh and other surrounding countries and has a virtual monopoly, putting Bangladeshi importers at great disadvantage. Buyers also complain that the Hilsha found in the market is imported from Myanmar, where the packaging is different than it is in Bangladesh. As well, commodities cannot be legally imported from Myanmar to the United States, since there is no trade pact between the two countries.

According to Siddique, Hilsha fish that used to sell at $3 per pound is now selling at $5 per pound. The cost of ayer (little coral fish) has increased to $4 per pound from $3. Masud of Progoti Grocery said he normally purchases dates from California, but natural disasters in that state have affected production, resulting in price hikes.

The president of the Bangladeshi Businessmen Association in Jackson Heights, Queens, Mr. Mannan said the price increases is for daal that comes from India. But as masoor daal is being imported from Turkey, that has minimized the crisis to some extent, otherwise prices would increase more.

Transportation costs and x-ray costs add to the cost of goods for importers. Also they have to pay rent for the use of the port until their containers are unloaded. Similarly, transportation costs for goods from other U.S. states has doubled due to fuel price hikes and increased tolls, affecting all groceries.

Haji Obaidul Haque, Brooklyn president of the Bangladeshi Businessmen Association, told Weekly Thikana that the price of commodities depends on international markets and production costs. Labor costs in the U.S. agricultural sector and in the factories have increased; illegal immigrants are not able to work since they now fear being arrested. As a result the owners of farms and factories have to employ legal immigrant workers. Illegal immigrants used to work at cheap rates. Legal workers don’t work so cheaply. They even have to be paid overtime.

Mohsin Naoni, the owner of Hatbazar of Jackson Heights, told this paper that the community can now see the impact of Hurricane Katrina and fuel price hikes on the market. “A family used to spend $400 a month for essential commodities, now they spend $550 a month. In comparison, their incomes have not increased to cover the added costs. But we, the businessmen, are not responsible for the price hike,” he Naoni. “Since we have to buy goods at high prices, we have to sell them at higher prices too.”

Though the buyers are objecting to the price hikes, the volume of sales has not diminished. Restaurant owners said that sales for Iftari (breaking fast at sun set) have increased. Every day, people throng to the restaurants for jilapi, dates, piazu, eggplant fry, and lentil fry. On Saturdays and Sundays, Iftar parties are being organized by local social organizations. Hundreds of people who are fasting gather at these parties and break their fast Bangladeshi style

 

In News section of Edition 242: 19 October 2006

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