To curb rising palm oil prices in Arakan State, a total of 40,491 visses of the edible oil were bought under a state regime council plan, according to U Tin Aung Oo, chair of the Arakan State Chamber of Commerce and Industry.

The oil, equivalent to about 145,767 lbs, was purchased from the Myanmar Economic Corporation at a price of K3,550 per viss, U Tin Aung Oo said.

“The state regime council asked us whether we would buy palm oil if we were given a chance to buy it at a fair price. So, we collected a list of traders who want to buy oil. The main intention is to control the price rise,” he told DMG, adding that the payment arrangements are already settled and the palm oil will arrive in Arakan State in the coming week.

“We made an agreement to sell the oil by taking not more than 2% profit by adding transportation expenditure. So, the price of oil will not be the same in all townships due to [variable] transportation expenses,” he explained. “The Consumer Affairs Department will supervise traders so they don’t take more than 2% profit.”

U Hla Maung Thein, an edible oil trader in the Arakan State capital Sittwe, said he will charge about K4,000 per viss of palm oil.

Part of the price increase is due to the supply of palm oil being lower than demand, according to traders, who expect prices to fall when more supply is made available.

“Most people buy palm oil in Arakan State because it is cheaper. The price of palm oil has reached more than K5,000 a viss now as it increased from K2,000 since the coup,” said one trader who asked for anonymity.

The prices of other basic foodstuffs in Myanmar have nearly doubled since the military’s February 1 coup.