April 4: Prices of essential food commodities especially rice is seeing an increase over the past few months. Today the price of a 50 kilogram bag of rice has increased by upto Nu. 50.

The National Statistical Bureau says the rise in food prices is due to an international increase in prices.

The Director of the Bureau says factors like erratic weather conditions, cost of fuel, losing agricultural land to urban development and future trading speculation are pushing up the prices.

The Food Corporation of Bhutan (FCB) says in the last three months the price of pulses and edible oil has increased by 5-6 %. The Regional Director of FCB in Thimphu says efforts are being made to keep the prices of food reasonable and stable.

The increase in price of essential food commodities has hit both consumers and shopkeepers. The shopkeepers say they have to explain to every customer why prices are increasing. They said some customers leave without buying the goods.

Meanwhile, the Department of Trade says since the prices of food and other essential commodities have increased at the source of supply, not much can be done.

Bhutan imports food commodities mainly from India. Recently the Indian government banned the export of non-basmati rice to try and control soaring domestic food costs.