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A Socioeconomic Analysis of Go-ngo Versus Self-managed Dairy Farming in Two Districts of Bangladesh

M T Uddin
Department of Agricultural Economics, Bangladesh Agricultural University, Mymensingh, Bangladesh

K Akhi
Department of Agricultural Economics and Policy, Sylhet Agricultural University, Sylhet, Bangladesh.

J Begum
Socioeconomic Research Division, BLRI, Savar, Dhaka, Bangladesh

M S Islam
Socioeconomic Research Division, BLRI, Savar, Dhaka, Bangladesh

M M Khatun
Socioeconomic Research Division, BLRI, Savar, Dhaka, Bangladesh

Abstract/ Executive Summary:

With a view to address the present status of intervention received by dairy farmers from different government and non-government organizations and its impact on farmers’ livelihood pattern in relation to self-managed farmers, this present study was performed in two districts of Bangladesh namely, Manikganj and Sirajganj. Altogether 165 dairy farmers were selected from two districts. A combination of descriptive, statistical and mathematical techniques was applied to achieve the objectives and to get the meaningful results. The BCR were 2.3 for NGO supported and 2.4 for GO supported farmers. The productivity in terms of physical volume was higher in case of supported dairy farmers for both the areas which were tested by t-statistics. In determining the effects of the different variable inputs, four out of six variables (i.e., labor cost, paddy straw cost, green grass cost and concentrate feed cost) were found to have significant effect on gross returns from milk production for both supported and self-managed farmers. To accomplish the profit maximization, all types of dairy farmers have scope to attain full efficiency in milk production by reallocating the resources. Supported farm created greater opportunity for employment of both male and female than self-managed dairy farmers. Ravallion test results showed that the income was increased by the amount of Tk. 25400.6 due to intervention. Expenditure elasticity was also estimated at 0.40% which means that expenditure increased by 0.40%, on an average, due to 1% increase in income, other things remaining the same. The asset pentagon approach shows that there is a noteworthy improvement based on different capitals namely, human capital, social capital, natural capital, physical capital and financial capital of supported dairy farming. Although dairy farmers reported problems of low price of output, inadequate capital, etc., these could be minimized if both government and non-government organizations take proper measures in this regard, which will ultimately lead to improve farmers’ socioeconomic conditions and livelihood status.

Keywords: Productivity, Profitability, Income, Expenditure, Livelihood, Dairy

Location: Ullapara and Shahjadpur under Sirajganj district, Shibalaya and Singair under Manikganj districts, Bangladesh.

Start Date:

End Date:

Program Area: Socio-economic and Policy

Commodity: Milk

Objectives:

i. To estimate comparative productivity and profitability between intervention and self-managed dairy farmers.

ii. To assess the effect of interventions on farmers’ employment creation, income generation and livelihood pattern; and

iii. To identify major constraints and recommend solutions for necessary improvement.

Methodology:

Study areas were purposively selected from 02 (two) upazilas in each Sirajganj and Manikganj district where greater concentration of dairy farming is existing. The selected Upazilas were Ullapara and Shahjadpur under Sirajganj district; and Shibalaya and Singair under Manikganj district. Altogether 165 dairy farmers were selected from two districts. Eighty five farmers were selected taking 30 farmers receiving incentives from different government organizations, and 55 farmers supported by different non-government organizations. Interviews were also conducted with 50 self-managed dairy farmers taking 20 from Ullapara upazila of Sirajgonj district and 15 from each upazila of Manikganj district. The simple random sampling technique was followed to select the dairy farmers. Field survey method and focus group discussions were followed to collect primary data and information. A combination of descriptive, statistical and mathematical techniques was applied to achieve the objectives and to get the meaningful results. Productivity can be defined as the ratio of farm output to input used or resource used. Profitability was derived in terms of gross return, gross margin, net return and benefit cost ratio (undiscounted).

Source of Information: Bang. J. Anim. Sci. 2014. Nol.- 43, No.-3: 232-241, ISSN 0003-3588

Article Link (Online Journal):

Funding Source:

Total Budget (Tk.) :

Achievement/Findings:

The present study was performed to compare the overall livelihood status of GO and NGO supported dairy farmers’ with self-managed farmers. The findings of the study represent that there is a great impact of GO and NGO intervention on farmer’s income as well as livelihood status. Productivity and profitability of supported dairy farming was higher than the self-managed due to intervention. Both self-managed and NGO supported dairy farmers were profitable and they have scope to attain full efficiency in milk production by reallocating the resources. The researchers found that NGO supported farm created greater opportunity for employment of both male and female than self-managed farmers. Dairy cattle rearing can increase the income of a dairy entrepreneur which improve the livelihood and provide round the year employment of its family labor (Islam et al. 2010). Incomes from almost all sources were increased due to such GO-NGO intervention; and income from dairy cattle rearing increases at a higher rate than from other sources in the study areas. As income as well as expenditure on own consumption increases due to intervention, overall livelihood status of dairy farmers was improved accordingly. Therefore, it can be concluded that there is greater scope to improve the overall economic condition of dairy farmers in terms of higher income and more employment generation through the intervention of GO and NGO. Finally, it could be recommended to make available inputs at right time and to provide scientific education and training by the concerned authority to improve the farmers’ socioeconomic conditions and livelihood.

Knowledge Management: Journal