Dhaka, June 6 -- Spice prices are showing signs of moderation ahead of Eid-ul-Azha, offering some relief to consumers used to sharp seasonal surges.

A visit to Dhaka's Karwan Bazar and Saat Tala Market on Thursday revealed that while prices for a few items have edged up, the spice market in general is cooler compared with previous years.

"Prices haven't exactly dropped, but they're definitely lower than last year," said housewife Rasheda Begum, shopping for Eid essentials.

Traders attributed the relatively stable market to several factors: the ease of opening import letters of credit (LCs), "absence" of pricing syndicates, and an influx of spices from India through unofficial channels.

At Moulvibazar, Dhaka's largest wholesale spice h...