Bangladesh authorises new rice imports from Pakistan.

Bangladesh approved the importation of 50,000 metric tonnes of white rice from Pakistan under a government-to-government agreement to stabilise domestic prices, officials announced on Tuesday.

The Cabinet Committee on Government Purchase approved the transaction at $395 per tonne, boosting Dhaka’s revitalised trading relations with Islamabad.

In Bangladesh, rice prices have surged by 15 to 20 percent over the previous year, with medium-quality rice priced at approximately 80 taka ($0.66) per kilogramme.

Notwithstanding heightened imports and the elimination of tariffs to alleviate supply limitations, prices for the essential grain persistently stay elevated.

The agreement comes after Bangladesh’s reestablishment of direct rice trading with Pakistan earlier this year, marking the first occurrence since 1971.

In February, it purchased 50,000 tonnes of rice from Pakistan at a rate of $499 per tonne under a comparable agreement.

Diplomatic relations between the two South Asian nations have enhanced since an interim government, headed by Nobel laureate Muhammad Yunus, assumed power following major protests that compelled then Prime Minister Sheikh Hasina to seek refuge in neighbouring India last year.

The government has authorised an additional 50,000 tonnes of parboiled rice via an international tender, as part of a string of recent acquisitions intended to stabilise local prices.

Pattabhi Agro Foods of India obtained the contract with the most competitive bid of $355.77 per tonne.