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Export Development of Fruits and Vegetables in Bangladesh: Market Requirements, Challenges and Opportunities for Entrance to the Mainstream Markets in Eu Countries

Mitul K. Saha
Assistant General Manager
Assistant General Manager (Supply and Value Chain, Marketing, R&D) Hortex Foundation Sech Bhaban Sher-e-Bangla Nagar, Dhaka-1207. Paper

Abstract/ Executive Summary:

The paper incorporates a review of the export growth of fresh fruits and vegetables in Bangladesh. Brief assessment was rewarded to determine the current status of the sub-sector, its production and export marketing process, quality control and standards. Attention was also made to major cross-cutting issues of the sub-sector which encourage the growth and potentials of exports to the mainstream markets in UK. Poor quality and packaging of the produces, irregular supply, high air freight as compared to competitive countries and absence of special air cargo is considered as a major constraint on the way to expansion of fresh fruits and vegetables export growth in Bangladesh. The market requirements in the EU countries with potential effects on market access that include standards of both voluntary and mandatory, labeling requirements, packaging regulations and zero tolerance principles of sanitary and phytosanitary (SPS) standards in UK have been outlined. When Bangladesh decides firmly to enter with fresh fruits and vegetables to the high value mainstream markets of EU or elsewhere, farmers, exporters and other stakeholders involved in the supply chain must be prepared to comply by all the relevant regulations and directives of the particular market

Keywords: Export development, Fruits and vegetables, Market requirements, Challenges, Opportunities, EU Countries

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Start Date:

End Date:

Program Area: Socio-economic and Policy

Non-commodity: Market analysis

Objectives:

To determine the current status of the sub-sector, its production and export marketing process, quality control and standards.

Methodology:

Farmers, exporters, government and private agencies must adopt systems and appropriate trade facilitation measures that meet the market requirements, particularly those in Europe if the exports are to continue. The European harmonized regulations relate to the certification, traceability, presence of residues of pesticides and other contaminants, packaging, conformity (to quality criteria) and hygiene at all stages of the food chain from the farm and onwards. In order to meet these criteria, responsibility is shared between the Food industry and concerned authorities like Department of Agricultural Extension (DAE), Export Promotion Bureau (EPB), Hortex Foundation, BFVAPEA whose role is to provide the facilities to support the industry. Government agencies must ensure that produce is inspected and that phytosanitary certificates are issued that confirm the produce is free of plant pests and diseases before export goods leave Bangladesh. They must ensure that the authority controlling registration of pesticides in Bangladesh issues clear guidance to farmers on what they can apply to crops because products not registered for use on a crop cannot be used on crops to be exported to Europe. Finally, to survive and sustain in the export market in this context and to ensure and enhance market access and export competitiveness, capacity building is an important requirement. This capacity building has to be multi-facet and comprehensive, so that all the areas and sectors need such support are taken care of and a total approach is followed. Broad based financial and technical assistance and that too in a coordinated manner is, therefore, the need of the country at the moment.

Source of Information: Paper prepared for the presentation at the 15th National Conference and Seminar “Transformation of Agricultural Sector in Bangladesh in 21st Century” of the Bangladesh Agricultural Economists Association held on 22-23 January, 2016 at the Bangladesh Agricultural Research Council (BARC), Farmgate, Dhaka. Bangladesh.

Article Link (Online Journal):

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Achievement/Findings:

Hortex Foundation in collaboration with the research, extension, govt./non-govt./donor agencies, relevant private and service providing organizations might play active role in horticultural crops export promotion. The role of Hortex Foundation would be to help quality production maintaining GAP, post harvest management of horticultural produces and to develop market intelligence support for domestic and export markets. So, it is proper time to strengthen Hortex Foundation by technically and financially for promoting agro-commodities especially horticultural crops export from Bangladesh

Knowledge Management: Report/Proceedings