Comparative advantage in Bangladesh crop production

"This study uses data from 1996/97 through 1998/99 to examine the relative efficiency of production of crops in Bangladesh and their comparative advantage in international trade as measured by net economic profitability (the profitability using economic, rather than financial costs and prices), and the domestic resource cost ratio, (the amount of value of non-tradable domestic resources used in production divided by the value of tradable products). The economic profitability analysis demonstrates that Bangladesh has a comparative advantage in domestic production of rice for import substitution. However, at the export parity price, economic profitability of rice is generally less than economic profitability of many non-rice crops, implying that Bangladesh has more profitable options other than production for rice export. Several non-cereal crops, including vegetables, potatoes and onions have financial and economic returns that are as high as or higher than those of High Yielding Variety (HYV) rice. The relatively minor role in cropping systems of these crops despite their higher returns, can largely be attributed to high price risks associated with marketing, suggesting the need for further development of agro-processing industries, rural infrastructure, and marketing networks." Authors' Abstract

Rice price stabilization in Bangladesh

To meet its overall objective of ensuring food security for all households, the Government of Bangladesh undertakes several activities: it intervenes in markets to stabilize prices, targets food distribution to poor households and provides emergency relief after natural disasters. This paper provides measures of the variability of domestic and international rice prices, and examines the mix of government intervention and private sector participation in rice markets. The analysis shows that the relatively high degree of price stability achieved in the 1990s was due in large part to private sector imports that stabilized markets following major production shortfalls. Domestic rice procurement contributed relatively little to raising domestic producer prices at harvest time, involved only a small percentage of farmers, and incurred excessive costs following successful harvests because of procurement prices set far in excess of market prices.Price regulation ,Food security South Asia ,Government policy ,Markets Prices ,Rice Bangladesh ,

Food Security and Nutrition in Bangladesh: Progress and Determinants

For Bangladesh food security was synonymous with achieving self-sufficiency in rice production and stabilization in rice prices. The country has made good progress in increasing rice production through technological progress, facilitated by private sector investment in small scale irrigation. But, it is difficult to sustain the progress made in view of the growing pressure of population on scarce land resources. Domestic food grain production remains susceptible to floods and droughts thereby perpetuating the threat of major production shortfalls, inadequate food availability, and vulnerability from fluctuation in prices. The availability of other foods has not increased, and the progress in nutritional outcome has remained slow. Forty percent of the population lives below the poverty line, and income inequality has been worsening. This paper assesses the trends in factors that affect food production, availability of food and their impact on nutrition outcomes. It also probes into the trends in poverty and distribution of income and access to food through markets.Bangladesh, food security, nutrition, poverty, safety nets, natural disasters, Food Consumption/Nutrition/Food Safety, Food Security and Poverty,

Distortions to Agricultural Incentives in Bangladesh

Distorted incentives, agricultural and trade policy reforms, national agricultural development, Agricultural and Food Policy, International Relations/Trade, F13, F14, Q17, Q18,

Bumper crops, producer incentives and persistent poverty

Food aid has played a useful role in Government of Bangladesh efforts to increase food security in the last three decades, adding to foodgrain availability, supplying wheat for targeted distribution to poor households, and helping to finance development projects and programs. However, sustained increases in domestic production of both rice and wheat have increased the likelihood of disincentive effects arising from continued large inflows of food aid. The analysis shows that if good rice harvests continue so that real rice prices remain at their levels of 2000, and if international wheat prices return to their average 1995-99 levels, then public wheat distribution may need to be cut to levels below the current amount of food aid received (650 thousand tons in 2000/2001) to avoid reducing domestic prices below import parity. However, resources will continue to be required for programs that increase access to food by the poor, contribute to increased utilization of food and result in improved nutritional outcomes, even if the need for food aid to increase availability of foodgrains diminishes.Food relief Bangladesh. ,Food security. ,Development projects. ,Rice Prices Bangladesh. ,Wheat Prices. ,

YIELD AND PRICE RISK OF MAJOR CROPS IN BANGLADESH: AN ECONOMETRIC ANALYSIS

In this paper, estimates of yield and price risk of different crops in some selected regions of Bangladesh have been derived. The variance-covariance matrices of random disturbances associated with both output and prices were estimated utilising aggregate time series data in four districts. The general procedure adopted was to extract the systematic portion of aggregate time series so that the residuals represented the estimates of random components from which the relevant variance-covariance matrices were subsequently computed. Ranking of crops in terms of estimated variance of output disturbances showed that jute occupied the top position, followed by wheat, aman rice, aus rice, IRRI boro, oilseeds and pulses. This gives some idea of relative 'yield risk' of different crops in Bangladesh. Ranking of crops in terms of estimated variance of price disturbances, on the other hand, showed that pulses occupied the top position followed by oilseeds, jute, aman rice, IRRI boro and aus rice. This may give some idea of relative `price risk' of different crops in Bangladesh

A disaggregated model for stabilization of rice prices in Bangladesh

PRIFPRI

Economics of water resources management in Bangladesh

In Bangladesh, the dry season of October to March is characterised by falling water tables, reduction in the discharge of major rivers, drying water channels, and salinity intrusion, particularly in the southwest coastal region. Demand for groundwater is at its highest during this season. Although groundwater has powered the expansion of cereal production over the last two decades or so, the sustainability of groundwater-based agricultural production has been questioned by many researchers. The tension between water supply and demand during the dry season thus has become a critical one.Non-PRIFPRI4; PRSSP; CRP2; DCAPIMCGIAR Research Program on Policies, Institutions, and Markets (PIM

MEASUREMENT OF CROP RISK IN FOUR SELECTED DISTRICTS IN BANGLADESH

The paper attempts to measure the income risk of major crops in four selected Districts in Bangladesh. This was done by suitably combining the estimated variance-covariance matrices of random disturbances associated with both crop outputs and prices. Ranking of crops in terms of estimated income variances showed that jute occupied the top position followed by pulses, aman rice, oilseeds, aus rice and IRRI boro. This may give some idea of relative riskiness of various crops in Bangladesh