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Value Chain Analysis of Small Scale Dry Fish Species in Haor Area of Sunamganj District, Bangladesh

Md. Nur Mozahid*
Department of Agricultural Economics and Policy, Sylhet Agricultural University, Sylhet-3100, Bangladesh

Jasim Uddin Ahmed
Department of Agricultural Economics and Policy, Sylhet Agricultural University, Sylhet-3100, Bangladesh

Maksuda Mannaf
Department of Agricultural Economics and Policy, Sylhet Agricultural University, Sylhet-3100, Bangladesh

Abdullah Al Zabir
Department of Agricultural Economics and Policy, Sylhet Agricultural University, Sylhet-3100, Bangladesh

Abstract/ Executive Summary:

This study determined dry fish production and its value chain system in selected areas of Sunamganj district. A simple random sampling technique was used in selecting the respondents. Data were collected through interview schedule. Small, medium and large size of small indigenous fish species like Veda, Puti, Tengra, Taki, Baim, Escha and Chela were considered for calculation. It appears from the study that processor bought 85% fresh fishes from fishermen directly and after drying fresh fish processor sold most of their product to wholesaler (85%) through aratdar. Wholesaler bought a big portion (90%) from processor through aratdar and sold their product to retailer and consumer and it was 80% and 20%, respectively. Retailers sold the entire dry fish to ultimate consumers and buy 5% from processor 10% from processor through aratdar and 85% from wholesaler. The highest value added in case of Baim large size which were accounted for Tk. 381.97/kg followed by small sized of Escha Tk. 291.23/kg. The value chain actors gained maximum profit by selling of these species due to the highest demand of two species by the local consumer as well the people migrated from Sylhet area to the different country. The lowest value added by intermediaries in case of medium sized Tengra which were calculated Tk. 127.64/kg followed by Chela small size Tk. 129.23/kg. In the study area traders are facing several problems like inadequate capital price instability, lack of transport facilities, inadequate storage facilities, etc.

Keywords: Value chain; Dry fish; Haor areas; Bangladesh.

Location: Sunamganj District, Bangladesh

Start Date:

End Date:

Program Area: Socio-economic and Policy

Commodity: Fish

Objectives:

The specific objectives of the study are: i) to determine the existing marketing system involved in dry fish value chain; ii) to identify the supply chain and estimate the value addition of small scale species by market actors; and iii) to identify the major problems and suggest some policy measures that facilitate the direct linkage between producer and consumer.

Methodology:

3.1 Selection of Study Area and Sample The study was conducted at Dakshin (South) Sunamganj upazila and Sylhet Sadar under Sunamganj and Sylhet districts, respectively. Total 130 sample were interviewed Mid November/2015 to Mid-March/2016, of which 80 are fishermen and 50 are intermediaries (i.e., 10 processor, 10 aratdar, 15 wholesalers, and 15 retailer). 3.2 Analytical Techniques 3.2.1 Total cost (TC) The total cost was estimated as follows: TC = TPC+ TMC Where, TC = Total cost; TPC = Total production cost; and TMC = Total marketing cost; 3.2.2 Gross marketing margin (GMM) GMM has been estimated as follows: GMM = SP- PP [6] Where, GMM=Marketing Margin (Tk./kg); PP = Purchase price (Tk. /kg); and SP = Sales price (Tk./kg). 3.2.3 Marketing profit (MP) MP has been estimated as follows: MP = MM – MC Where, MP = Marketing profit (Tk./kg); MC = Marketing cost (Tk./kg); and MM = Marketing Margin (Tk./kg). 3.2.4 Constraints facing index (CFI) Constraints faced by intermediaries in the study areas were measured by using structured questionnaire. The fishermen and traders were asked to give their opinion on 6 selected constraints which were identified during data collection period. A four point rating scale were used for computing the constraint score of a respondent. For each constraint score of 3, 2, 1 and 0 was assigned to indicate the extent of constraint as high, medium, low and not at all, respectively. The total constraint scores were computed for each respondent by adding his scores for all the constraints. The Constraint Facing Index were computed using the following formula, [7]. CFI = (C _h × 3) + (C _m × 2) + (C _l × 1) + (C _n × 0) Where, CFI = Constraints Facing Index; C_h = Number of respondents having high constraints; C_m = Number of respondents having medium constraints; C_l = Number of respondents having low constraints; and C_n = Number of respondents having no constraints.

Source of Information: British Journal of Economics, Management & Trade 16(4): 1-15, 2017; Article no.BJEMT.32124 ISSN: 2278-098X

Article Link (Online Journal):

Funding Source:

1.

Budget:

Total Budget (Tk.) :

Achievement/Findings:

Bangladesh has a countless chance to become one of the dominant dry fish producer all over the world. Because it has a biggest delta landscape many small, medium and large rivers, a lots of haor, efficient fishermen, competent dry fish producer and good business climate. The present study reveals that foremost supplier of dry fish are haor dry fish processor (85%) facing transportation problem in high extent in dry fish supply and also added ultimate value. The highest value added in case of Baim large size which were accounted for Tk. 381.97/kg followed by small sized of Escha Tk. 291.23/kg where lowest value added by intermediaries in case of medium sized Tengra which were calculated Tk. 127.64/kg followed by Chela small size Tk. 129.23/kg. Hence it is necessary to reduce number of intermediaries in value chain activities as well as quick transportation system both water and road should be developed for fresh fish collection and surrounding value chain activities.

Knowledge Management: Journal