DHAKA: Leading sugar manufacturer and importer S Alam Sugar Mill company begins auctioning out 200 tons of sugar per day at Tk 42 per kilo Thursday, supplementing government effort to keep the market stable.

At the mill gate, the price will be one-taka less than the government-fixed rate.

The S Alam Group would hand over the sugar formally to Khatunganj Trade & Industries Association Thursday.

A total of 17 traders of Khatunganj will sell the sugar at Tk 44 per kilo on the wholesale market, the clearing sale will be monitored by Khatunganj Trade & Industries Association and the district administration.

Earlier, S Alam Group chairman Saiful Alam Masud made a commitment to the local businessmen and Commerce Secretary Golam Rahman to sell 200 tons sugar per day.

“The decision has been taken so that the consumers can purchase sugar at a cheap rate,” he said.

The government earlier had fixed the price of sugar at Tk 43 per kilo at mill gate and wholesale rate highest Tk 45 per kilo.

Khatunganj Trade & Industris Association President Mahbub Alam said the S Alam Group will supply 240 tons of sugar on the first day, Thursday. From the next day, 17 traders will distribute 200 tons of sugar.

If the traders of other major markets want, they can also collect the sugar at the same price from the mill gate.     

Talking to banglanews24.com.bd, Khatunganj association’s general secretary Syed Sagir Hossain said the sale would continue till the last day of Ramadan. “Once the wholesale price becomes stable, the retail price will automatically come down.”

On Wednesday, retailers in Chittagong sold sugar at Tk 50 per kilo.  

In the meantime, the government has decided to withdraw duty on the import of unrefined sugar to keep the deficient local market stable.

“The government has decided to withdraw Tk 2,000 specific duty on per-ton sugar from September 15,” a source in the National Board of Revenue (NBR) said Wednesday.  

BDST: 2250 HRS, SEPTEMBER 1, 2010.