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Analysis of Value Chain of Sweet Potato in Two Districts of Bangladesh

S.S.R.M. Mahe Alam Sorwar
Seed and Agro Enterprise, BRAC, Bangladesh

Md. Tanvir Ahmed
Seed and Agro Enterprise, BRAC, Bangladesh

Sudhir Chandra Nath
Seed and Agro Enterprise, BRAC, Bangladesh

Md. Harun -OR-Rashid
Seed and Agro Enterprise, BRAC, Bangladesh

Chris Wheatley
International Potato Centre, Philippines

Abstract/ Executive Summary:

Sweet potato plays a significant role in increasing food security and income for the poor farmers of Bangladesh. Sweet potato is mostly grown in the marginal lands of Bangladesh during the period of October to February. It is consumed in different forms e.g. boiled, fries and roasted. Sometimes it is also eaten as a vegetable in curry. The value chain of sweet potato is not well organized in Bangladesh. This study was carried out to analyze the existing value chain of sweet potato in two selected districts of Bangladesh. Quota sampling technique was used to select the samples and primary data were collected through Individual Interview (II), Key Informant Interview (KII) and Focus Group Discussion (FGD) by using structured, open and close ended Questionnaires and check list. Simple descriptive statistics were used to analysis the data. Core value chain actors in sweet potato value chain are input seller, farmers, local trader, retailer and consumers. Mostly farmer cultivates local variety of sweet potato and get a profit around BDT (Bangladesh currency) 30,000 per acre of land. Local trader collects sweet potato both from farmer’s field and local market. There are no fixed traders or retailers of sweet potato in the study area. They mostly sell sweet potato along with other vegetables in both urban and local big market. Analysis found that both the trader and retailer gets BDT 3 profit margin by selling 1 kg of sweet potato. No sweet potato processing company was found in Bangladesh though there are huge possibilities and potentials of it in both rural and urban market.

Keywords: Value chain analysis, Profit margin, Sweet potato, Bangladesh

Location: Jamalpur and Netrokona

Start Date:

End Date:

Program Area: Socio-economic and Policy

Commodity: Sweet potato

Objectives:

The present study was undertaken to map and understand the sweet potato value chain and linkages among different actors in the chain with the intent to identify the gaps and opportunities of strategic interventions to develop the value chains in Bangladesh

Methodology:

The study was conducted at two selected districts of Bangladesh named Jamalpur and Netrokona. Study areas were selected purposively based on the higher volume of sweet potato production. Samples were taken from Shorishabari and Netrokona Sadorsub-district of Jamalpur and Netrokona district, respectively by quota sampling method. Quota sampling is a non-probability sampling technique where the researcher finds and interviews a prescribed number of people in each of several categories.The study team randomly selected samples as input seller (vine, pesticide and micro nutrient), producer, traders, retailer, Government officials (Department of Agricultural Extension officers, Bangladesh Agricultural Research Institution etc.). Primary data were collected through Individual Interview (II), Key Informant Interview (KII) and focus Group Discussion (FGD) by using structured, open and close ended Questionnaires and check list. Sweet potato farmers were directly interviewed by enumerators to collect the primary data on sweet potato cultivation and yield. Secondary data were collected from different publications as well from DAE (Department of Agricultural Extension). Mostly tabular analysis was conducted along with calculating average and percentage. Profit margin of sweet potato farmers, traders and retailer was calculated by using the following formula; NP = TR –TC ...... (1) Where, NP = Net Profit (BDT), TR = Total Return (BDT) and TC = Total Cost (BDT).

Source of Information: International Journal of Agricultural Marketing Vol. 2(3), pp. 078-083, August, 2015. © www.premier publishers.org. ISSN: 2167-0470

Article Link (Online Journal): https://www.researchgate.net/publication/281629741_Analysis_of_value_chain_of_sweet_potato_in_two_districts_of_Bangladesh

Funding Source:

Budget:

Total Budget (Tk.) :

Achievement/Findings:

Though sweet potato plays an important role in increasing income and food security of the farmers but, the value chain system was not strength enough in the study area to get the potential benefits out that. Sweet potato is produced and consumed locally while there is demand for it in the capital market of the country. Due to unstructured market management it has not been reckoned as lucrative product for investment. Lack of supply demand synchronization and limited availability and demand for value added products from sweet potato and a lack of knowledge of diversified products are the key drawback to strengthen the existing sweet potato value chain in Bangladesh. The study suggests arranging the linkage between the traders of the capital market and the local traders of the study areas. From the study it has been revealed that there are numbers of constraints exist both at upstream and downstream level of sweet potato value chain. Majority of the farmers are not aware about the food value of sweet potato. At the grower level roughly 14 percent farmers know about the improved varieties of sweet potato. Though 80 percent farmers use fertilizer specially Urea, TSP and MoP but they use it in small proportionate than the recommended dose due to their poor economical condition and mostly for careless farming. Getting quality vines is also a big problem for the farmers. By addressing proper management of crop cultivation, sweet potato farmer can get higher yield and that can add more profit to them.

Knowledge Management: Journal