Bangladesh’s trade deficit, the gap between what it buys and sells abroad, widened by 17.44 percent in the July-January period of fiscal year 2025-26, due mainly to higher imports and weaker export earnings.

The deficit reached $13.79 billion during the seven months, up from $11.74 billion in the same period a year earlier.

According to Bangladesh Bank (BB) data, import bills rose 4.6 percent year-on-year to $39.88 billion. Export earnings, meanwhile, slipped 1.1 percent to $26.09 billion.

The widening gap has raised concerns at a time when the US-Israel war on Iran has rattled global oil markets and disrupted shipping routes. Since tensions escalated in the Middle East, the Bangladeshi currency, the taka, has begun to weaken. A softer currency could raise import costs and place further strain on the trade balance.

At the same time, exports have not shown clear growth, while war-driven inflation may reduce demand in Bangladesh’s major export markets.

Despite the wider trade gap, the country’s current account deficit narrowed.

This measure, which tracks the net flow of money in and out of the country through trade in goods and services as well as income flows, stood at $381 million in July-January of FY26. A year earlier, it was $1.31 billion.

The financial account also strengthened during the period.

Supported by higher net foreign direct investment, the surplus in the account, which records cross-border flows from investment, loans, aid and other financial transactions, climbed to $2 billion from $331 million a year earlier.

Taken together, the changes pushed Bangladesh’s overall balance of payments (BoP) into a surplus of $2.28 billion. In the same period last year, the country posted a deficit of $1.22 billion.

In an article, Sadiq Ahmed, vice chairman of the Policy Research Institute of Bangladesh (PRI), said the fall in exports has raised concerns about the country’s BoP outlook.

He added that strong remittance inflows have provided a key support. Remittance earnings rose sharply, bringing in $9 billion more in FY2025 than in FY2022.

However, Ahmed warned that foreign exchange reserves may fall in the second half of FY26 because of weaker exports and rising imports. Still, unless there is a major policy setback or a prolonged Iran war, reserves are expected to stabilise at around $30 billion.

He added that declining exports, rising external debt and debt servicing, and the Iran war raise questions about the sustainability of the current BoP position.

To address these risks, Ahmed recommended diversifying exports, saying double-digit export growth will not be possible without it.

“One key requirement is flexible exchange rate management that avoids appreciation of the real effective exchange rate,” he added.

His second priority was removing anti-export biases in trade policy and improving the country’s investment climate.

The Office of the United States Trade Representative (USTR) has opened investigations into the manufacturing sectors of 16 economies, including Bangladesh, over concerns of structural excess capacity and production under Section 301 of the Trade Act of 1974.

According to a Federal Register notice, Bangladesh faces scrutiny over government-provided cash incentives for export sectors, which the USTR says have contributed to a $6.15 billion bilateral goods trade surplus with the United States.

Bangladesh ships more than $8 billion worth of goods to the US each year, with ready-made garments making up the bulk of exports. The government offers cash incentives across 43 sectors, including textiles and leather products.

The notice also singled out Bangladesh's cement industry, claiming it is operating well below its production capacity. In 2024, national cement consumption fell to 38 million tonnes, less than 40% of production capacity, and is expected to decline further in 2025.

US Trade Representative Jamieson Greer said the investigation will examine whether the policies of these economies are "unreasonable or discriminatory" and whether they burden or restrict US commerce. "The United States will no longer sacrifice its industrial base to other countries exporting their problems with excess capacity," Greer added.

Other economies under review include China, the European Union, India, Vietnam, Indonesia, Malaysia, Thailand, Cambodia, South Korea, Japan, Mexico, Singapore, Switzerland, Norway, and Taiwan.

Cash incentive payments will no longer be kept pending, governor tells garment exporters

Mahmud Hasan Khan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), described Bangladesh's inclusion in the investigation as "uncomfortable" and "without logical basis".

"If such allegations are proven, they may impose additional tariffs," he said.

"Export incentives in Bangladesh are minimal," Mahmud said, adding that while questions might arise about agricultural subsidies, the US itself heavily subsidises its farmers, whereas Bangladesh primarily subsidises fertilisers.

Mostafa Abid Khan, former member of the Bangladesh Trade and Tariff Commission, told The Business Standard, "The incentives fall within the WTO policy. I do not think the level of support encourages overcapacity, though production levels may be questioned."

The USTR has requested consultations with Bangladesh and other countries under review. A public comment docket opens on 17 March, with a hearing scheduled for 5 May, allowing stakeholders to submit written comments and testify.

Crisis-hit People's Leasing and Financial Services Ltd (PLFS), a non-bank financial institution (NBFI), has formally sought a financial stimulus of Tk 7.50 billion from the government to complete its restructuring process and resume full-scale operations.

In a letter sent to the Ministry of Finance, the company outlined a comprehensive 'revival plan' aimed at safeguarding depositors' interests and restoring confidence in the troubled NBFI sector, according to sources.

The company said the proposed financial support would help bridge the gap between its recoverable assets and outstanding liabilities, enabling it to complete the court-supervised reconstruction process.

People's Leasing has been embroiled in a severe liquidity crisis and financial irregularities during the 2003-2014 period, which eventually prompted the High Court to order its liquidation.

However, in July 2021, the apex court stayed the liquidation order, and constituted a new board of directors to facilitate the company's restructuring under judicial supervision.

Since then, the new management claims to have made notable progress in stabilising the troubled lender.

According to the company, approximately Tk 2.0 billion has been recovered from defaulting borrowers since July 2021, and around Tk 840 million has already been repaid to nearly 1,900 depositors.

As part of cost-cutting measures, the company shifted its head office to a self-owned floor in Purana Paltan, saving nearly Tk 1.0 million per month in rent

It has also cleared a backlog by holding seven pending annual general meetings covering the years 2019 through 2025 to ensure regulatory compliance.

To complete the turnaround process, People's Leasing has proposed several restructuring measures alongside the government support. The measures include converting existing liabilities into interest-free principal payments over a specified period, exploring the conversion of depositor claims into company equity, and restarting SME and collateral-based lending to generate fresh revenue.

The company has also proposed confiscating shares held by former directors allegedly involved in past financial irregularities, and reissuing them to new investors.

In the letter, PLFS Managing Director Md Sagir Hossain Khan said the primary objective of the revival efforts is to ensure protection of public deposits under the supervision of the High Court and the Bangladesh Bank.Bangladesh market research

"To transform the institution into a profitable and functional entity in the public interest, a financial assistance of approximately Tk 7.50 billion is essential," the letter reads.

If the proposed stimulus is provided, the company plans to normalise its operations by 2026, including maintaining the mandatory cash reserve ratio (CRR) and statutory liquidity ratio (SLR) with the central bank, signalling a return to regular financial activities.

Top US and Chinese economic officials are set to launch a new round of talks in Paris on Sunday to iron out kinks in their trade truce and clear a smooth path for US President Donald Trump's trip to Beijing to meet with Chinese President Xi Jinping at the end of March.

The discussions, led by US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng, are expected to focus on shifting US tariffs, the flow of Chinese-produced rare earth minerals and magnets to US buyers, American high-tech export controls and Chinese purchases of US agricultural products.

The two sides will meet at the Paris headquarters of the Organisation for Economic Cooperation and Development, a source familiar with their planning said.

China is not a member of the club of 38 mostly wealthy democracies and considers itself a developing country.

US Trade Representative Jamieson Greer will also join the talks, which continue a string of meetings in European cities last year aimed at easing tensions that threatened a near collapse of trade between the world's two largest economies.

US-China trade analysts said that with little time to prepare and Washington's attention focused on the US-Israeli war with Iran, prospects for a major trade breakthrough are limited, in Paris or at the Beijing summit.

"Both sides, I think, have a minimum goal of having a meeting, which sort of keeps things together and avoids a rupture and re-escalation of tensions," said Scott Kennedy, a China economics expert at the Center for Strategic and International Studies in Washington.

Trump may want to come away from Beijing with major Chinese commitments to order new Boeing aircraft and buy more US liquefied natural gas and soybeans, but to get that he may need to offer some concession on US export controls, Kennedy added.

Instead, Kennedy said chances were high for a summit that "superficially suggests progress but that really just leaves things about where they've been for the last four months."

Trump and Xi could potentially meet three other times this year, including at a China-hosted APEC summit in November and a US-hosted G20 summit in December that could yield more tangible progress.

Iran war oil concerns

The US-Israeli war on Iran will likely come up at the Paris talks, especially in reference to the spike in oil prices and the closure of the Strait of Hormuz, through which China gets 45% of its oil.

Bessent on Thursday night announced a 30-day waiver of sanctions to allow the sale of Russian oil stranded at sea in tankers, a move to raise supplies.

On Saturday, Trump urged other nations to help protect shipping in the Strait of Hormuz after Washington bombed military targets on Iran's Kharg Island oil loading hub and Iran threatened to retaliate.

China's state-run China Daily newspaper in an editorial called for continuity in the US-China dialogue as a "stabilizing anchor" amid the uncertainty of the "ongoing crisis in the Middle East" and the best way to address specific differences on issues including strategic materials, technology, market access and agriculture.

Bangladesh's fruit imports more than doubled this fiscal year, yet prices have remained stubbornly high this Ramadan, keeping many popular items out of reach for low- and middle-income consumers.

At Chattogram's fruit markets, wholesale prices of fruits are Tk10-Tk30 per kilogram higher than before Ramadan, while retail prices have risen by Tk50-Tk150, limiting the benefits of higher imports.

Traders blame strong demand during Ramadan and excessive duty-tax burdens for soaring fruit prices, while consumers point to market manipulation and weak oversight.

Data from the Plant Quarantine Station at Chattogram Port shows that in the first seven months of FY25, fruit imports stood at 221,327 tonnes. During the same period in FY26, imports rose to 558,020 tonnes. Imported varieties included apples, oranges, grapes, pears, malta, pineapples, pomelo, guava, and dates.

However, enquiries at Chattogram's major wholesale fruit market, Folmondi, reveal that although prices of different imported fruits fluctuate, overall rates remain higher than before Ramadan.

Abdul Hamid, a buyer from Hamzar Bagh, said his children want fruits during Ramadan.

However, buying just one kilogram of good-quality grapes now costs Tk400 to Tk500. Unable to afford all types of fruits together, he buys smaller quantities than before.

Rakib Uddin, a retailer at Riazuddin Bazaar, justified the price difference, saying wholesale prices are already high. He added that transport costs, shop rents, and workers' wages further increase retail prices.

He also noted that fruits cannot be stored for long and carry the risk of spoilage, forcing traders to sell with limited profit margins.

More imports

Fruits are imported from various countries, with the majority entering through Chattogram Port, from where they are distributed across the country. Some imports also arrive via land ports.

Bangladesh imports fruits from India, China, Thailand, Bhutan, Egypt, Brazil, Tunisia, Portugal, New Zealand, Afghanistan, South Africa, and France. Different varieties of dates are imported from Saudi Arabia and other Middle Eastern countries.

According to the Plant Quarantine Station, imports of apples, oranges, and grapes through the port totalled 244,055 tonnes in the first seven months of FY26.

During the same period of the previous fiscal year, imports of these three fruits stood at 174,747 tonnes, an increase of nearly 70,000 tonnes within a year.

High fruit prices

A 15-kg carton of malta was selling for Tk3,400 to Tk3,600 at Folmondi. A 20-kg carton of Chinese apples was priced between Tk3,800 and Tk4,000, while local apples sold for Tk5,500 to Tk5,700 per 20-kg carton.

White grapes were being sold at Tk2,500 to Tk2,800 per 10-kg carton, and black grapes at Tk3,800 to Tk4,300 per 10-kg carton. An 8.5-kg carton of oranges fetched Tk1,700 to Tk1,900.

On-site visits show that retail fruit prices in the city have risen significantly compared with pre-Ramadan levels. Pomegranates, once sold at about Tk450 per kilogram, are now Tk550.

Chinese oranges, previously Tk250 to Tk300, now retail around Tk350 per kilogram. Malta, once Tk300, is now about Tk350. Apples, earlier around Tk300 per kilogram, are now Tk350 to Tk400.

Pears have increased from Tk400 to Tk450–Tk500 per kilogram. Black grapes, once Tk400, now cost Tk550 to Tk600 per kilogram.

'Prices rise with demand'

Muhammad Touhidul Alam, general secretary of the Chattogram Fruit Traders' Association, said many traders rush into imports after hearing about profits, but later incur losses and leave the business.

He added that syndicates cannot form in markets dealing with perishable goods. According to him, prices rise when demand exceeds imports and fall when demand is lower.

Other traders said international prices, dollar exchange rates, and the tariff-tax structure directly influence fruit prices. Besides, the exchange rate rose, increasing import costs and affecting market prices.

Duties on fruit import

Total duties on fruit imports were 89.32% in FY22. But, over the past three years, the total tax incidence on fruit imports rose to about 116%.

A report by the Bangladesh Tariff Commission states that under the Essential Commodities Act of 1956, fresh fruits are considered essential goods, not luxury items.

The commission recommended reducing the supplementary duty from 30% to 20%, cutting advance tax from 10% to 2%, and abolishing the 20% regulatory duty and 5% advance income tax. Later, the NBR reduced the supplementary duty from 30% to 25% and fully waived the 5% advance tax at the import stage.

Touhidul Alam said that even after some duty reductions, importers still pay Tk120-Tk136 in duties for fruits valued at Tk100, depending on the type.

Duties should be further reduced to Tk30-Tk40 to bring most fruit prices below Tk200, he said. "This would allow middle- and lower-middle-income people to afford fruits."

SM Nazer Hossain, vice president of the Consumers Association of Bangladesh (CAB), told TBS that chaos in the fruit market shows no sign of stopping.

"No matter how much fruit is imported or how much duties are reduced, the impact on prices is minimal because the market operates almost entirely without oversight," he said.

He added that Importers bring in goods under lower-duty categories but sell them as higher-duty products, misleading consumers, especially during Ramadan.

"The NBR must clarify which duties apply to which fruits and ensure regular monitoring. Otherwise, it will remain impossible for ordinary people to afford fruit," he said.

Gold prices slipped on Friday and were on track for a second ‌consecutive weekly decline, pressured by a stronger dollar and inflation worries driven by the Iran war, which weighed on rate‑cut expectations.

Spot gold fell 0.5 percent to $5,052.15 per ounce, by 1:44 p.m. ET (1744 GMT), ​and was down over 2 percent for the week so far.

US gold futures for ​April delivery settled 1.3 percent lower at $5,061.70.

The ongoing conflict in the Middle East and resulting airspace closures have disrupted flights across the region, affecting airlines operating routes between Bangladesh and Gulf countries.

As cancellations continue, carriers say they are losing a large number of passengers each day, leading to mounting revenue losses.

Airlines operating Middle Eastern routes say the cancellations have already translated into steep revenue losses.

Kamrul Islam, general manager (public relations) at US-Bangla Airlines, said the carrier is losing hundreds of return passengers each day due to reduced operations.

"We are losing about 600-700 passengers daily who would normally return from the Middle East," Kamrul told The Business Standard.

With the average one-way airfare at roughly Tk50,000, the airline is losing a substantial amount of revenue each day.

Since the crisis began, about 30 of the airline's Middle East-bound flights have been cancelled. The total financial loss is yet to be calculated as refunds and rescheduling continue.

Before the disruptions, US-Bangla operated multiple flights to Dubai, Abu Dhabi and Sharjah. Flights to Sharjah and Abu Dhabi remain suspended, while services to Qatar have also been halted.

The airline has announced plans to resume Sharjah flights on 13 April and Abu Dhabi flights on 14 April.

Before the crisis, airports in Dubai, Abu Dhabi and Doha served as major global crossroads.

Nearly 300,000 passengers pass through one of these hubs daily, about two-thirds of whom are transit travellers, according to a report published by The Guardian on 7 March.

When airspace closures disrupted flights through these hubs, the effects spread across the global aviation network, stranding travellers and forcing many to cancel trips.

The impact is particularly pronounced for Bangladesh, where a large share of international travellers rely on Gulf carriers such as Emirates, Qatar Airways, Etihad Airways and Saudia for onward connections.

The Bangladesh Securities and Exchange Commission (BSEC) has formed an investigation committee to examine allegations of irregularities surrounding board meetings and a leadership dispute at Navana Pharmaceuticals.

The securities regulator took the decision on 8 March and issued an official notification on 10 March, directing a four-member committee to conduct a detailed probe into the matter.

The committee consists of Lutful Kabir, additional director of the commission, Delowar Hossain, additional director, Motiur Rahman, assistant director, and Nizam Uddin, assistant director. The committee has been instructed to submit its report to the commission within seven working days, considering the urgency and importance of the issue.

The dispute stems from developments during the company's 65th board meeting held on 28 January. After approving the official agenda items, the meeting was formally closed by chairman and independent director Saiqa Mazed.

However, after the meeting was adjourned, another faction of the board reportedly convened and elected Javed Kaiser Ally as the new chairman and Sayeed Ahmed as the managing director, while also replacing the company secretary.

Saiqa Mazed later declared those decisions illegal, arguing that the appointments were made after the meeting had officially ended. She subsequently filed a petition with the BSEC seeking to annul the decisions and also lodged a case at Gulshan police station, citing threats from the rival group.

Following the allegations, the BSEC held a meeting with the board members and the company secretary of Navana Pharmaceuticals to review the situation before forming the inquiry committee.

According to the notification, the commission believes that the issue requires a comprehensive investigation as the composition of the company's board, the conduct of board meetings and corporate governance practices are closely linked with protecting the interests of general investors.

As part of the inquiry, the committee will examine several issues, including whether the company's 64th board meeting was actually held and if so, whether it was conducted in accordance with applicable laws and regulations. The probe will also review whether notices for the board meetings were properly issued as required by law and whether all eligible directors received those notices.

Investigators will also determine whether any external individuals received meeting notices or participated in the meetings and whether there were irregularities in setting the agenda, approving resolutions or preparing the minutes of the 65th board meeting.

The committee will further assess whether the processes related to appointing directors, removing the chairman and appointing or replacing the company secretary were carried out in accordance with legal requirements.

The regulator also directed that the board structure that remained in effect until the company's 63rd board meeting will continue unchanged until the disputed matters relating to the 64th and 65th meetings are resolved.

The reciprocal trade deal signed by the interim government with the United States limits Bangladesh’s ability to make independent decisions, economist Mustafizur Rahman said yesterday.

He made the remarks at a discussion titled “Unfair Trade Deal with the United States: A Threat to Bangladesh’s Economy, Security, and Sovereignty”, organised by the Communist Party of Bangladesh (CPB) at the Dhaka Reporters Unity.

Rahman, a distinguished fellow at the Centre for Policy Dialogue (CPD), said the deal increases tariffs from 15 percent to 34 percent and forces Bangladesh to buy large quantities of US products, including defence equipment and Boeing planes, according to a press release.

“This deal limits our ability to make independent decisions and threatens our economy, security, and sovereignty,” he said.

MM Akash, a former professor of economics at Dhaka University, said, “This agreement was rushed and lacks transparency. Only a few people were involved, and it clearly favours US interests over Bangladesh.”

CPB President Sazzad Jahir Chandon called the deal a serious threat to the country, saying, “It must be cancelled immediately, and those responsible must face punishment.”

CPB former general secretary Ruhin Hossain Prince said the deal essentially protects US interests and forces Bangladesh into a state of dependency.

“The government must make all agreements public, and the people must oppose any actions that serve foreign powers over national interests,” he said.

CPB Dhaka North President Hasan Hafizur Rahman Sohel said those who signed the deal against the interests of Bangladesh must be held responsible.

Bangladesh's foreign exchange reserves stood at US$34.29 billion, according to the latest data released by the Bangladesh Bank (BB) today (Wednesday). Bangladesh Economic Report

Under the International Monetary Fund's (IMF) BPM-6 accounting method, the reserves stood at $29.57 billion, it added, BSS reports.

The Bangladesh government has sent a letter to India seeking energy assistance in light of the situation created by the ongoing war in the Middle East.

Indian High Commissioner to Bangladesh Pranay Verma confirmed the development today (11 March) after a meeting with State Minister for Power, Energy and Mineral Resources Iqbal Hassan Mahmood at the Secretariat.

Responding to questions from journalists, the Indian envoy said, "We have received a formal letter from the government of Bangladesh requesting additional assistance. I have accepted it and will forward it to the concerned authorities for prompt consideration."

Regarding the discussion at the meeting, Verma said India and Bangladesh maintain a very strong connection in the power and energy sectors, which is one of the key pillars of their economic cooperation.

He noted that cross-border electricity transmission lines and pipelines between the two countries are currently operational, adding that the meeting also discussed ways to further strengthen this cooperation.

President Donald Trump on Tuesday said Indian energy giant Reliance Industries was backing a deal to build the first new major oil refinery in the United States in half a century.

Trump made the announcement via his Truth Social platform, saying the company America First Refining would construct the new facility at the Port of Brownsville, Texas.

“This is a historic $300 billion dollar deal -- the biggest in US history,” Trump wrote, framing the project as a cornerstone of his energy agenda, but offering no details on the plan.

“Thank you to our partners in India, and their largest privately held Energy Company, Reliance, for this tremendous Investment,” he said, without specifying the company’s commitment.

Reliance is India’s biggest privately held conglomerate and its Jamnagar refinery is the world’s largest.

The America First Refining website says the company is a project of Element Fuels, which first announced plans in 2024 to build a Brownsville refinery at cost of between $3-$4 billion.

The facility would be the first refinery built on the Gulf of Mexico since the 1970s, and the only one designed to process 100 percent American shale oil, the company said.

Pubali Bank PLC has approved a plan to raise $100 million through a five-year Green Bond as part of the bank's sustainable finance initiatives.

According to a price sensitive information disclosure issued on Wednesday (11 March), the decision was taken at the bank's board meeting held on Wednesday at its Gulshan corporate branch.

The bank said in its statement, the fund will be raised through the issuance of a Green Bond with a tenure of five years to support projects aligned with sustainable and environmentally responsible financing.

The bank said the initiative will follow Green Bond Principles of the International Capital Market Association (ICMA), along with guidelines of the International Finance Corporation (IFC) and Bangladesh's Sustainable Finance Policy framework.

The proposed bond issuance will be subject to approvals from relevant regulatory authorities and compliance with applicable regulations.

Finance Minister Amir Khasru Mahmud Chowdhury said Bangladesh has sought a temporary waiver from the United States to purchase Russian oil, similar to the exemption granted to India, amid a global fuel crisis due to tensions in the Middle East.

"We told them [US] that if Bangladesh is given a similar opportunity, it would greatly support our economy. They have said the matter will be sent to Washington. Now we will see what happens," the minister told journalists after a meeting with US Ambassador to Bangladesh Brent T Christensen at the planning minister's office in Sher-e-Bangla Nagar today (11 March).

Indian refiners buying prompt Russian oil as Iran war hits supplies, sources say

Khasru said that the meeting mainly discussed the uncertainty in the international energy market, particularly regarding oil and gas supply.

Issues related to increasing investment, trade, and economic cooperation between Bangladesh and the United States were also discussed at the meeting.

The minister added that there were discussions on capacity building of various government institutions as well.

Govt seeks seamless fuel import from China, ramps up diesel imports from India

Responding to questions from journalists, he said that no specific decision was made in the meeting regarding a possible trade agreement with the United States.

He said, "A trade agreement is a matter between two countries. It is not possible for us to say anything specific right now. However, we are considering how the issue can be utilised in the best possible way for Bangladesh's interests."

In response to a question about the government's course of action if the current international conflict becomes prolonged, he said the government is preparing by considering different possible scenarios.

"Whether the war is short-term, medium-term, or prolonged we are planning by taking every situation into account. These issues were discussed in detail today," Khasru said.

Despite adequate imports and stocks of edible oil and sugar in Bangladesh, panic-buying triggered by fears over the ongoing US-Israel-Iran war has created shortages at the retail level in the capital.

Traders and importers say there is no actual supply crisis, noting that the country still holds sufficient stocks to meet demand for at least a month, while import activities remain normal.

A visit to several markets in the capital showed that loose soybean oil is being sold at Tk178-193 per kilogramme. Five-litre bottles are selling for Tk940-Tk955, while two-litre bottles are priced between Tk390 and Tk395. Palm oil is being sold at Tk158-Tk162 per kilogramme, and sugar at Tk100-Tk105 per kilogramme.

In many neighbourhood grocery stores, however, the supply of soybean oil appears insufficient compared with demand. Five-litre bottles are largely unavailable, according to retailers, a situation that has persisted for around two weeks.

Traders say the shortage is mainly due to a surge in consumer demand. Mohammad Saiful Islam, a trader in Dhaka's Shahjadpur, said companies are supplying very limited quantities of bottled oil.

"We hardly receive five-litre bottles, and two-litre bottles arrive only occasionally. Companies are saying they themselves do not have enough supply. People have also been buying more than usual, but at the moment I simply do not have the product to sell," he said.

Among consumers, anxiety about the war has also led to stockpiling. Israt Jahan Lipsa, a resident of Mohammadpur and a former banker, said she bought two months' worth of groceries after the war began.

"During crises or disasters, food prices usually rise and sometimes products become unavailable. We have seen this before, so I bought two months' worth of supplies in advance so that we would not face problems if shortages occur," she said.

At the wholesale level, however, traders say the supply of edible oil and sugar remains sufficient. At Karwan Bazar in the capital, wholesaler Mamunur Rashid said there had been minor disruptions for a day or two, but the situation has now normalised.

According to the commerce ministry, Bangladesh's annual demand for soybean and palm oil is around 25 lakh tonnes, while sugar demand stands at about 20-21 lakh tonnes.

Of this, only around 30,000-37,000 tonnes of sugar are produced locally. Demand for both commodities peaks during Ramadan, when around 3 lakh tonnes of each are required.

Ample storage confirmed by importers

Officials from oil and sugar importing companies also insist there is no real shortage. They say panic buying is largely responsible for the temporary supply pressure in the retail market, adding that private companies currently hold at least one month's stock.

Supplier companies have also rejected claims of a soybean oil shortage, saying the scarcity at local shops is the result of panic-buying rather than supply disruption. Some industry insiders, however, said a few companies, including Bashundhara, faced difficulties opening letters of credit (LCs), which may have created limited supply constraints.

Taslim Shahriar, deputy general manager of Meghna Group, one of the leading suppliers of consumer goods, said the company imported additional oil and sugar during January and February compared with regular months.

"We are supplying more than 50,000 tonnes of oil per month. There should be no shortage," he said, adding that if problems arise at the dealer level, the Directorate of National Consumer Rights Protection should take action.

Echoing the view, Biswajit Saha, executive director of City Group, said the company has not reduced supply. He noted that some smaller firms are struggling to import edible oil due to LC-related complications.

"The temporary shortage may be linked to the extra demand during Ramadan and stockpiling by some consumers," he said.

Zohurul Islam, business manager of ACI Limited, said the current stock of soybean oil in the country should be sufficient for about a month.

"So far, we have not increased prices, and there should be no need to do so within the next 15 to 20 days. However, if crude oil prices rise in the global market, it will inevitably have an impact everywhere," he said.

Strict monitoring urged

SM Nazer Hossain, vice-president of the Consumers Association of Bangladesh, said the issue cannot be blamed solely on consumers.

"During such situations, many dealers and retailers also start hoarding products, which creates artificial shortages and allows them to sell at higher prices," he said.

Nazer urged the government to conduct inspections of warehouses to check if there is any case of hoarding.

"According to our estimates, there are about six months' worth of crude sugar and edible oil either in stock or in the import pipeline. Since these products also require time for refining, there is no question of a real shortage. This appears to be an attempt to create an artificial crisis to raise prices," he added.

Oil prices rebounded on Wednesday as markets doubted whether the International Energy Agency’s reported plan for a ​record release of oil reserves could offset potential supply shocks from the US-Israeli conflict with Iran.

Brent futures traded up 59 cents, or 0.7 percent, at $88.39 a barrel ‌by 0727 GMT. US West Texas Intermediate (WTI) traded 98 cents higher, or 1.2 percent, at $84.43 a barrel.

Both contracts extended losses in early Asian trade, after plunging more than 11 percent on Tuesday, despite US crude prices leaping 5 at the market’s opening.

The IEA’s proposed drawdown would exceed the 182 million barrels of oil that IEA member countries put onto the market ​in two releases in 2022 when Russia launched its full-scale invasion of Ukraine, the WSJ said, citing officials familiar with the matter.

In ​a note to clients, Goldman Sachs analysts said that a stockpile release of that size would offset 12 days of the investment bank’s estimated 15.4 million barrel-per-day Gulf exports disruption.

The US and Israel pounded Iran on Tuesday with what the Pentagon and Iranians on the ground ​called the most intense airstrikes of the war.

The US military also “eliminated” 16 Iranian mine-laying vessels near the Strait of Hormuz on Tuesday, the US Central Command said, ​as US President Donald Trump warned any mines laid in the Strait by Iran must be removed immediately.

Some analysts were sceptical about the IEA’s proposal and its impact on oil prices.

“Moves like IEA SPR release are not the solution to the crisis. How oil prices will evolve will depend on the duration of the Iran war,” said DBS ​energy sector team lead Suvro Sarkar.

Near-term upside price risks will be “reined in through periodic strategic signalling moves like we have seen over the past couple ​of days to calm markets down”, Sarkar added.

G7 officials have also gathered online to discuss a potential release of emergency oil stockpiles to soften the market blow.

French President Emmanuel ‌Macron will host ⁠a video call with other G7 country leaders on Wednesday to discuss the impact of the conflict in the Middle East on energy and measures to address the situation.

Trump has repeatedly said the US is prepared to escort tankers through the Strait of Hormuz when necessary. However, sources told Reuters the US Navy has refused requests from the shipping industry for military escorts as the risk of attacks is too high for now.

The president and his energy team are closely watching the markets, speaking with industry leaders, and the US military is

Abu Dhabi state ​oil giant ADNOC has shut its Ruwais refinery ​in response to a fire ⁠at a facility within the complex following a drone strike, according to a source, marking the latest energy infrastructure disruption due to the US-Israeli war on Iran.

Saudi Arabia, the world’s largest oil exporter, is seen boosting supplies via ​the Red Sea, although they are still far below the levels needed to compensate for the drop in ​flows from the Strait ⁠of Hormuz, shipping data showed.

The kingdom is relying on the Red Sea port of Yanbu to help it boost exports to avert steep production cuts as its neighbours Iraq, Kuwait and the United Arab Emirates have already reduced output.

Energy consultancy Wood Mackenzie said the war is currently cutting Gulf oil and oil products supply ⁠to the ​market by some 15 million barrels per day, which could raise crude prices to $150 per barrel.

“Even ​a quick resolution probably implies weeks of disruption for energy markets yet,” Morgan Stanley said in a note.

Reflecting higher demand, US crude, gasoline and distillate stocks fell last week, market sources said, ​citing American Petroleum Institute figures on Tuesday.

Stocks ended almost flat today (11 March), with the DSEX – the benchmark index of the Dhaka Stock Exchange (DSE) – rising by 2.50 points after two days of recovery.

Following the trading session in two-days, most of the stocks today increased but turnover fell 12% to Tk523.59 crore as investors remained watchful of the current situation.

Within the two trading sessions (9 and 10 March), DSEX recovered 280 points to close at 5,290, mostly riding on large-cap blue-chip stocks, including banks.

On Tuesday, the DSEX surged 148 points, fuelled by price gains in shares of banks and telecom sector stocks with 87% of issues advancing after absorbing the recent massive sell-offs.

Earlier, stocks suffered a highest single-day fall in six years on Sunday, the first trading session of the week as escalating geopolitical tensions in the Middle East triggered panic selling across the market.

The index plunged 231 points, or 4.42%, to close at 5,008, hitting a two-month low and marking the biggest one-day decline since the Covid-19 pandemic era.

The other major indices – DSES, surged by 3.90 points to 1,062 and DS30 with 30 leading companies and is considered the exchange's investable index, declined 0.81 points.

EBL Securities in its daily market commentary said that the capital bourse displayed a mixed trading pattern as investors remained watchful amid ongoing developments surrounding the Middle East conflict, prompting the benchmark index to close largely on a flat note.

"Investors were active on both sides of the trading fence, while cautious investors utilized the recent market recovery to lock in gains from sector-specific large-cap scrips and preferred to observe the market's trend," it said.

Meanwhile, price appreciation was evident in several speculative and momentum-driven stocks as opportunistic investors continued to chase potential quick gains.

On the sectoral front, Pharma accounted for the highest share of turnover by 18.4%, followed by Bank 16.3% and Textile 11.4%. In the previous two trading sessions, bank stocks lead in strong recovery as most banks price surges.

Of the 391 issues traded, 236 advanced, 98 declined, and 57 remained unchanged.

People's Leasing topped the gainer list hitting upper circuit, a highest single day limit capped by the regulator, by 10% to Tk3.3 each at the DSE.

Followed by Fareast Finance by 10% to Tk3.3 each, Fas Finance by 10% to Tk3.3 each, HR Textile by 9.86% to Tk21.1 each, and Anlima Yarn by 9.73% to Tk20.3 each.

While on the losing side, National Bank topped the loser list as its shares price fell by 5.55% to Tk5.1 each, followed by Tung Hai Knitting by 5.40% to Tk3.5 each, Mithun Knitting by 3.63% to Tk15.9 each.

The port city bourse, CSE, also settled on a positive territory. The Selective Categories' Index (CSCX) and All Share Price Index (CASPI) advanced by 31.5 points and 48.5 points, respectively.

Bangladesh will purchase three more cargoes of liquefied natural gas (LNG) on the spot market from South Korean and UK-based companies at more than double the price paid in December, as the government moves to prevent a looming energy crisis.

The cabinet committee on public purchase approved the deal yesterday. The three shipments are expected to arrive between April 5 and April 13.

UK-based TotalEnergies Gas & Power Ltd will supply one cargo at $21.58 per MMBtu (Million Metric British Thermal Units), while South Korea-based Posco International Corporation will provide two cargoes at $20.76 per MMBtu.

The government will spend around Tk 2,660 crore on these deliveries, adding pressure on the fiscal budget.

Earlier, state-run Petrobangla secured two emergency LNG cargoes for March deliveries from the spot market at nearly three times December prices due to supply uncertainties caused by rising geopolitical tensions in the Middle East.

One cargo was purchased from US-based Gunvor at $28.28 per MMBtu, a 183 percent increase over December rates, while a second shipment from Vitol cost $23.08 per MMBtu, according to Petrobangla officials.

Previously, the government had approved LNG purchases at $9.99 per MMBtu in December and $11.97 per MMBtu in July, highlighting how sharply spot-market prices have risen. This situation highlights how vulnerable South Asian markets are to global price swings when shipping routes face disruption.

“We had to pay a steep premium because suppliers were increasingly reluctant to submit bids,” a Petrobangla official said on condition of anonymity. “The ongoing Middle East crisis has reduced the number of participants willing to make short-term deliveries to this region.”

LNG prices, which had been gradually falling, spiked last week due to the US-Israel war on Iran. Bangladesh had to turn to the spot market after failing to attract bidders for two consecutive days, even at more than double the usual rate.

This comes amid ongoing uncertainty over timely shipments from Qatar, as Gulf shipping remains heavily disrupted. Tehran has threatened to “set fire” to vessels in the Strait of Hormuz, a key oil chokepoint connecting the Persian Gulf with the Gulf of Oman and the Arabian Sea.

Bangladesh meets nearly 30 percent of its gas demand through imported LNG, while domestic output continues to fall short of the total requirement of about 2,650 mmcfd (million cubic feet per day).

The country also spends around $1 billion annually to import over 6 million tonnes of petroleum, mostly sourced from the Middle East, with more than half of LNG imports in 2025 passing through the Strait of Hormuz.

In other approvals, the government yesterday cleared the purchase of 3.10 lakh litres of rice bran oil and palm oil. Indonesian bidder Powerhouse General Trading will supply 1.30 lakh litres of palm oil, while local suppliers will provide rice bran oil.

Additionally, the cabinet committee on public purchase approved the buying of 240 megawatts of electricity from a gas-based power plant of the Electricity Generation Company of Bangladesh at a cost of Tk 23,880 crore, with a tariff rate of Tk 3.3664 per kilowatt-hour.

Garment exports from Bangladesh to non-traditional markets declined by 6.34 percent year-on-year to $4.24 billion in the July-February period of the current fiscal year.

Every market other than the European Union (EU), the UK, Canada, and the US is considered non-traditional or emerging for Bangladesh.

The total market share of garment exports to non-traditional markets stood at 16.44 percent during this time, according to data from the Export Promotion Bureau (EPB).

In the same period, Bangladesh’s total RMG exports reached $25.8 billion, registering a 3.73 percent year-on-year fall.

The EU remained Bangladesh’s largest export destination for RMG, accounting for 49.18 percent of total exports in this category. Export earnings from the bloc stood at $12.69 billion, registering a year-on-year decline of 5.49 percent.

The US retained its position as the second-largest market, with RMG exports amounting to $5.03 billion during the period. This represented 19.50 percent of total RMG exports, though shipments fell by 0.74 percent year-on-year.

Exports to Canada and the UK showed positive momentum. Apparel exports to Canada grew by 3.08 percent in July-February to reach $871.58 million, representing a 3.38 percent share.

Shipments to the UK slightly increased by 1.22 percent to $2.97 billion, accounting for an 11.5 percent share.

The knitwear segment recorded a 4.56 percent fall to $13.68 billion, while woven exports fell by 2.79 percent to $12.10 billion during the same period.

Gold edged higher on Wednesday on safe-haven demand and as ‌a retreat in oil prices calmed inflation worries, reviving expectations for potential Federal Reserve rate cuts this year as investors awaited US CPI data that may offer more cues.

Spot gold was up 0.1 percent at $5,198.29 ​per ounce, as of 0641 GMT. US gold futures for April delivery fell 0.7 percent ​to $5,206.40.

Oil prices dropped below $90 per barrel amid reports that the International Energy Agency proposed the largest release of oil reserves in its history to curb surging prices.

“With ​these (inflation) concerns having eased... hedging and safe-haven attributes (of gold) have once again come to the fore. So, ​I think from current levels we remain optimistic,” said Nikos Kavalis, Singapore managing director of Metals Focus.

The US and Israel pounded Iran with what the Pentagon and the Iranians on the ground called the most intense ​airstrikes of the war, despite global markets betting that Trump will seek to end ​the conflict soon.

The war has effectively shut the Strait of Hormuz, a chokepoint for a fifth of global ‌oil and liquefied natural gas, stranding tankers for more than a week and forcing producers to halt output as storage fills, driving energy prices soaring.

Bullion, traditionally viewed as a safe-haven asset, has risen more than 20 percent so far this year, notching successive record highs amid heightened geopolitical and ​economic uncertainty.

“I think it’s ​very likely that ⁠we’ll see gold get to over $6,000 an ounce by the third or fourth quarter this year, probably even higher early next year,” Kavalis ​said.

Markets are now awaiting the US consumer price index for February, ​due later ⁠in the day, and the Personal Consumption Expenditures (PCE) index - the Fed’s preferred inflation gauge - on Friday.

Investors expect the Fed to keep rates steady at the end of its two-day meeting on March ⁠18 ​but still see at least two rate cuts this year, ​per CME Group’s FedWatch tool.