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Rice Marketing in Bangladesh: from the Perspective of Village Study at Cox’s Bazar District

Abeda Sultana
Faculty of Business Studies, Premier University, Dampara Campus, WASA Circle, Chittagong, Bangladesh.

Abstract/ Executive Summary:

The paper analyzes the problems and prospects of rice marketing in Bangladesh by way of using secondary data as well as primary data. Both secondary and primary data are indicative of the fact that rice marketing in Bangladesh is marred by a wide range of problems including packaging, transporting, storage, distribution and pricing. There is a comparative advantage in the production of high yielding rice in Bangladesh but its marketing system is not suitable to the small farmers to bring fair price. Most of the respondents’ opined the major causes of price hike are natural disaster, inadequate supply of food grain in the market, less production, hoarding by traders and creating artificial food crisis in the market, problems of communication system, increase of middlemen in the market to reach food grain to consumers. This study is explanatory in nature which suggests measures that can benefit both the farmers and the end users.

Keywords: Agriculture, Marketing, Bangladesh.

Location: A village at Cox’s Bazar district

Start Date:

End Date:

Program Area: Socio-economic and Policy

Non-commodity: Market analysis

Objectives:

This present study aimed to examine the practices and problems of rice marketing in Bangladesh with the help of available secondary data. The observations had been supplemented by a case study from Chakaria, Cox’s bazar, Chittagong.

Methodology:

The quantitative and qualitative information required to prepare this material principally came from various reports, internal documents, agriculture census, sample survey in the year of 2010, website resources, forum, etc. Annual Reports, Agriculture Census (2008), Bangladesh Food Security Investment Forum (2010) were utilized to assess the quantity and quality of agricultural products in different regions. Using sample survey, website resources it analyzes them to examine the fluctuations of the prices of agricultural products over years and seasons in different markets in different regions. In addition consultations and interviews to collect information were held to understand the nature of marketing and flow of agricultural products and the level of integration in this marketing as well as the effect and efficiency of the market with respect to agricultural product pricing.

Article Link (Online Journal): http://www.academicjournals.org/journal/AJAR/article-full-text-pdf/05955A139798

Funding Source:

Budget:

Total Budget (Tk.) :

Achievement/Findings:

Rice has all the potential to become a profitable crop if proper initiative is taken to eradicate the marketing problems. Ignorance and orthodox mentality are destroying the current domestic market compared to its high production capacity. This sector can be developed through following strategies: (a) Infrastructural facilities like transport, electricity, water supply should be ensured. (b) Prices of rice should be fixed by government agencies and that govt. can make direct purchase from the farmers at the support prices. These purchases can be sold off by the government at reasonable price through the public distribution system. (c) Developing the system of packaging, grading, advertising, marketing cost and marketing channel etc. (d) Loans from banks and other financial institutions should be made available to growers so that they can go for marketing of rice directly based on their own capital. (e) Up-to-date information on prices and other market factors should be made available so that farmers can negotiate with traders and also facilitate spatial distribution of products from rural areas to towns and between markets. (d) Narrow down the price spread between the producer and the consumer. Finally, ensure remunerative price to the producer of agricultural products. There is scope for improvement in rice marketing system in the survey area in particular and Bangladesh in general. Improved infrastructure and efficient marketing system through solving the existing problems of rice marketing, Bangladesh can benefit it’s the farmers as well as the end users enormously.

Knowledge Management: Journal