[🇧🇩] Agriculture in Bangladesh

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G Bangladesh Defense Forum

Supporting small farmers to ensure nation's food security
Published :
Jul 02, 2024 22:09
Updated :
Jul 02, 2024 22:09
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Small farmers, who constitute 28 per cent of the country's population and work on farmlands that have been shrinking at an alarming rate of about 16,000 hectares annually, thanks to unplanned urbanization, development work and expanding settlements, are obviously in dire straits. As they contribute in a big way to the nation's food security, protecting them involves preventing the agricultural lands on which they still work from further receding. At the same time, they would need policy support including cheap credit to procure the crucial agricultural inputs to continue with their farming activities. Needless to say, they would also need the support from the scientific community to come up with new farming techniques to make the best use of the agricultural land still available through preserving its fertility and increasing productivity by introducing newer varieties of rice and other food crops that can withstand the onslaught of climate change.

All such issues of huge national significance were the subject of deliberations at a recent seminar hosted in the city by the government-supported policy think tank, Bangladesh Institute of Development Studies (BIDS). The experts at the discussion could not agree more with the factors already delineated in the foregoing that are coming in the way of the small farmers' capacity to go on with their farming activities sustainably. Consider the target of producing 47.2 million tonnes of rice by 2050, as projected by the Bangladesh Rice Research Institute (BRRI), which does research and develop ways to improve rice production. It may be argued that encouraging commercial agriculture more aggressively, the nation can meet that target using modern farming technology. But in that case, the challenge would be to protect the small farmers and their livelihood. In fact, protection of the small farmers also includes preservation of their agricultural practices handed down from previous generations and the culture that go with them.

True, commercialisation of agriculture that requires investment of bigger capital promises higher profit. And that often comes at the expense of the existing farming practices that focus more on protecting the environment and the ecosystem of land, water, and the farming community than on just yield. And how thoughtless use of fertllisers and pesticides wreaked havoc on land fertility and agricultural ecology in the name of the mid-twentieth century's so-called 'Green Revolution' is now history.

A developing, land-scarce nation facing the challenge of feeding an ever-growing population, Bangladesh can ill-afford to put all its eggs in one basket. So, a mix of commercial, scientific and traditional farming culture would be required to protect the existing farming community as well as boost production of food grains. In this connection, discussants at the said seminar suggested bringing over 4.4 million hectares of land in 17 coastal districts under three-season cultivation. The policymakers in the agriculture sector need to think seriously about the idea keeping in mind that the worst challenge to food security will be coming from the country's coastal districts, home to around 29 per cent of the population. As rising sea level has increased salinity of coastal lands, the farmers of those districts will require such varieties of food crops which can fight salinity, floods and other vagaries of nature effectively.

Saving the small farmers is not just about serving a humanitarian cause. For it is important that a sector that accounts for 40 per cent of national employment is well-protected through necessary state intervention in the form of financial inclusion of small farmers so their living condition is improved. In that case, they won't have to switch to other professions or migrate en masse to the cities in search of a livelihood.​
 

Traditional farming now at risk
SYED MANSUR HASHIM
Published :
Jul 02, 2024 22:03
Updated :
Jul 02, 2024 22:03
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Small farmers are now in danger of leaving the profession altogether. In the face of severe shortcomings, the traditional small holding farmer can no longer afford to stay true to the profession of his forefathers and that has raised alarm bells across the board from policymakers to agriculture experts. And although the country has pivoted towards gradual industrialisation and trade, food security remains a cornerstone of State policy because of the large population that must be fed. In the midst of the increasing trend of big business groups branching into large-scale commercial farming, the lot of the average farmer has fallen on hard times.

These matters and others came up for discussion at a seminar organised by the Bangladesh Institute of Development Studies (BIDS) last Sunday. Experts have opined that traditional agriculture needs to evolve and in a developing nation like Bangladesh, more targeted policy support is needed to save small farms. Increasingly, agri-commercialisation is elbowing out small farmers, who form the backbone of agriculture in this country. The fact that Bangladesh needs to raise rice output to 47.2 million tonnes by 2050 isn't going to happen on its own, and a lot depends on these subsistence farmers surviving and continuing to grow crops. While technological advancements have made it possible for the country to feed its 165 + million populace till date, experts opined that some 4.4 million hectares of land in 17 coastal districts need to be brought under the three-season cropping system.

Policymakers must be acutely aware of giving space to small farmers if it wishes not only to uplift millions out of subsistence living but also ensure food security. However, changing weather patterns - ample historical data that is available through research in Bangladesh and collaborative works between Bangladeshi and foreign agencies, reveal that adverse conditions point to a declining trend of arable land. While there has been progress made in introducing multiple stress-tolerant varieties of crop, policy support will be essential to bring more land under cultivation.

Entire generations of farmers are quitting farming and this has everything to do with the fact that they cannot get their money's worth during harvest season. Market imperfections run rampant and not much has happened to cut out the middlemen who make windfall profits at the cost of farmers who often sell at a loss. The lack of proper logistics is another major impediment that hasn't been sorted out satisfactorily for farmers to get their harvested crops or other produce to markets cost effectively.

As pointed out by one expert, the government should give them support in terms of mechanisation, i.e. provide the financial regime whereby small farmers can leapfrog into the 21st century with time-saving equipment that could seriously increase food production at field level. Despite some breakthroughs, not enough research is being done to bring multiple varieties of crops and other foodstuffs to the farmers which could help them increase the variety of things they can grow or rear on land. A gamut of policy initiatives that will range from reaching not just financial support, but also work out the nagging problems of supply chain, which includes addressing problems with the cold chain. Bangladeshi farmers produce in abundance many essential items - a significant portion of which rots due to unavailability of sufficient cold storage facilities.

Experts and agriculturists agreed that many issues need to be worked out, without which, traditional agriculture employing tens of millions of people will increasingly be at risk. Extortion on roads, transport management and the presence of syndicates which need to be treated as a law-and-order problem and dealt with accordingly. It is not the job of the government to manage the market, rather it ought to be involved heavily in ensuring fair market practices.​
 
Urea output plummets on feeble gas supply
Imports meeting fertiliser needs ahead of aman season

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Bangladesh is mostly relying on imports for urea as gas shortage has brought local fertiliser production to a near halt, in a development that will cost the country dearly in terms of foreign currency reserves and food inflation.

The country's six urea factories need 329 million cubic feet of gas a day (mmcfd), according to Petrobangla. Since February, Petrobangla has been providing only 107 mmcfd to the fertiliser sector. Subsequently, four of the six factories have halted production.

Only Ghorashal Polash Fertiliser (GPFPLC) and Karnaphuli Fertiliser (Kafco) are getting their required gas and are in operation. Of the two, the government has to purchase fertiliser at the prevailing rate in the global market from Kafco, a joint venture between the government and private investors from Bangladesh, Japan, Denmark and the Netherlands.

It means the government is getting urea from only GPFPLC out of five state-owned producers at a lower cost.

Currently, there is no fertiliser crisis, according to Md Saidur Rahman, chairman of Bangladesh Chemical Industries Corporation (BCIC).

"If we don't get gas from one or two more factories in the near future, there might be a problem," he said, adding that if the energy division were able to supply adequate gas, the factories would have been running in full swing.

The Aman season, which accounts for about 40 percent of Bangladesh's rice production, begins in July-August and ends in November-December. If the gas crisis continues, fertiliser supply may be hampered in the upcoming Aman season, which can go on to fuel food inflation.

In the absence of local urea production, the government is relying more and more on costly imports.

This gives rise to two problems: exhaustion of limited dollar stockpile and ensuring a strict shipment schedule of fertilisers, said Jahangir Alam, an agriculture economist.

As of June 30, foreign currency reserves stood at $21.8 billion, enough to meet about three-and-a-half months' import bills, according to data from the Bangladesh Bank.

"If we rely completely on imports during the farming season, there might be hold-ups in getting steady supply of fertilisers. Rather, it will be beneficial for all if we increase gas supply to the fertiliser plants," Alam added.

Gas supply to the fertiliser plants was reduced to make way for increased supply to the gas-fired power plants for higher electricity generation during the summer months, said a top official of Petrobangla on the condition of anonymity to speak candidly on the matter.

"The gas crisis has been going on for a long time, so the supply has to be rationed," he added.

Between July last year and April this year, Jamuna Fertiliser could meet just 42 percent of its production target for want of gas, while Shahjalal Fertiliser managed 57 percent, according to the latest report of BCIC.

Chittagong Urea Fertiliser met 74 percent of its production target and Ashuganj Fertiliser and Chemical Company 69 percent, the report said.

The four factories are shut now, which means they fell short of their production target for fiscal 2023-24 by a wider margin, according to BCIC officials.

Besides the urea, Bangladesh consumes DAP and TSP fertilisers, both of which are mostly imported.

The lone DAP factory achieved only 36.6 percent of its production target and the TSP factory achieved about 66 percent in April.

Last fiscal year, as much as $5 billion was spent on fertiliser imports, according to data from BCIC. In fiscal 2020-21, fertiliser imports stood at $1.4 billion. In the previous years, imports were even lower.

About 15 years ago, BCIC was producing 70 percent of the fertiliser required, according to Alam, also a director of Dhaka School of Economics. Now, local production accounts for 25 to 30 percent of the demand.

"BCIC became import dependent instead of focusing on scaling up local production, which was the main duty of the organisation. We have the advantage and ability to produce nearly 100 percent of required urea locally, but due to gas shortage, the import dependency has been increasing," Alam added.

If the government purchased fertiliser from local producers, the cost for per metric tonne of urea would be about Tk 25,000, according to BCIC officials. It costs more than Tk 45,000 to bring the same volume of urea from abroad. For urea purchases from Kafco, the rate is about Tk 40,000.
 

Potential of seaweed farming looks bright
SYED MANSUR HASHIM
Published :
Jul 12, 2024 21:27
Updated :
Jul 13, 2024 21:41
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Seaweed typically grows in salty sea water or on rocks below the high-water marks. It is an aquatic resource that is rich in iodine, vitamins and minerals and has been used widely in food supplements and pharmaceutical products. Research in many nations has shown that it has properties to help fight various diseases in the human body and yet this natural resource has hardly been given the attention to it deserves in Bangladesh. Our farmers at large are not aware that this could very well provide a valuable source of income if farmed correctly.

While it is easy to talk about the 'Blue Economy', steps have not been taken at policy level to popularise seaweed cultivation. According to one study by a UN body, the annual global production of seaweed until recently was 33 billion tonnes with an economic value of US$11.80 billion. In Bangladesh, farmers are currently producing roughly 400 tonnes with an economic value of roughly $0.5 billion. The global market production is projected to double by 2024.

These are serious numbers and it's time to take cognizance of the fact that Bangladesh needs to diversify its exports. For too long the discourse in the country has revolved around diversification of readymade apparels, which constitutes 85 per cent of exports. The narrative has revolved around industrial production. While it is easy to forget that around 40 per cent of the workforce is still engaged in agriculture, and climatic changes are effecting changes in weather patterns that are adversely affecting traditional crops, it is time the government started thinking about other things like, seaweeds. As stated before, seaweeds have multiple applications and use ranging from food supplements to and for fodder (for cattle), chemicals, medicines, construction materials, to name but a few.

Another major advantage is that the production of this resource requires no land, fertilisers or pesticides - it simply grows on its own. All it requires is proper cultivation in the coastal belts of the country. According to researchers, there are some 32 types of seaweed available in Bangladesh and "14 of these species are commercially viable but only four variants are being farmed, that too on a small scale."

While the applications for this aquatic resource are well documented, as is the commercial value of it, there is no national plan to develop the resource on a large scale and numerous problems have been identified which hold back the growth of this sector. Cox's Bazaar area remains a prime location for planned seaweed production. Some efforts have been taken by the UNDP to train and financially equip some members of the community and the exercise has shown its viability. But it is one thing to ramp up seaweed production that adheres to international standards, quite another to introduce proper packaging and marketing of the product in question. Seaweed is a product and like all products, it requires a proper supply chain, marketing and promotion.

The global market for this product already exists, but there are numerous uses for it locally. In other countries, seaweed has been used to make fodder for cattle and that has direct application in our agriculture. If the supply of seaweed could be ensured in a large quantity at domestic level, the country's pharmaceutical industry would procure it as a raw material, and the surplus could be exported.

With introduction of large-scale seaweed cultivation, Bangladeshi farmers could get the benefit of opening up a secondary source of income and nutrition - not just by farming it, but also partly processing it, which would be considered "value addition" to fetch better prices. This could generate employment in the coastal belt. At the end of the day, since the demand is there, why not use this nature's gift to help generate income to reduce poverty and better the livelihoods of people along the coastal belt? Experience in other countries has shown that that seaweed is in vogue in developed nations as a food and new applications for this versatile resource is being found every day.

For any of this to happen, policymakers need to take stock of what is needed to develop a seaweed sector. Some of the impediments include lack of technology and knowhow, a trained labour force to harvest seaweed, etc. But these are hardly issues because workers can be trained and joint-ventures can be set up with foreign companies that can introduce the technology needed to make modern farms. State research organisations can also reach out to other countries which are global leaders in seaweed production. What is needed is policy direction and the will to effect change and only the State has the resources to imitate the changes needed in terms of rules and regulations and introduce the right policies to encourage what could be, a budding industry with serious export potential.​
 

Agro-processors for allowing aromatic rice export

Agro-processors have urged the government to allow the export of aromatic rice to increase earnings, according to a press release of Bangladesh Agro-Processors' Association (Bapa).

Bapa said the domestic market for fragrant rice is small.

Exports of aromatic rice will result in the shipment of other products, enhancing the export basket, said the trade body after its 23rd annual general meeting (AGM) at Dhaka Club on Saturday.

The commerce ministry last year banned the export of fragrant rice in an effort to contain prices in the domestic market.

At the AGM, Bapa members expressed discontent over the government's latest move of reducing incentives on the export of agro-processed products from 15 percent to 10 percent.

Bapa demanded a reduction of the source tax for export from one percent.​
 

Banks release Tk 30,104cr in farm loans in 10 months
Staff Correspondent 14 July, 2024, 22:26

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Banks disbursed Tk 30,104 crore in agricultural loans in July-April of the 2023-24 financial year, which accounts for 86 per cent of the total disbursement target for FY24, according to Bangladesh Bank data.

The recovery amount of agricultural loans reached Tk 28,949 crore in the 10 months of FY24, which was 7.66 per cent higher than that of the same period of the preceding year.

The disbursement target for agricultural credit in FY24 was Tk 35,000 crore, an increase of 13.6 per cent from the previous financial year's target of Tk 30,811 crore.

The outstanding balance, including interest, stood at Tk 56,487 crore in July-April, marking a 9.35-per cent increase from the previous financial year.

Overdue of agricultural credit stood at Tk 9,994.9 crore at the end of April 2024, which is 43.83 per cent higher than the overdue of Tk 6,949 crore at the end of April 2023.

State-owned commercial banks and specialised banks aimed to disburse Tk 12,030 crore, while private banks and foreign commercial banks targeted to release Tk 22,970 crore in farm loans in FY24.

Crop sub-sector received 45 per cent of the disbursed credit, followed by live-stock and poultry 24 per cent, fisheries 15 per cent, others 10 per cent and poverty alleviation 6 per cent.

In April 2024, Grameen Bank and 10 large non-government organisations disbursed Tk 12,584.73 crore as microcredit and recovered Tk 15,030.21 crore.

As agriculture plays a vital role in the country's economy, issuing credit to farmers has become crucial to keeping the agriculture-based rural economy vibrant, especially amid the ongoing global economic crisis.

More than 40 per cent of the country's workforce is directly employed in the agriculture sector.

Farm loans enable farmers to invest in inputs like seeds, fertilisers and machinery, leading to increased productivity and economic growth.

Farm loans also contribute to rural development by providing income opportunities and improving infrastructure in rural areas.

On May 22, 2022, the central bank instructed the country's banks to disburse agricultural credit at a concessional interest rate of 4 per cent for cultivating import substitute crops, including pulses, oilseeds, spices and maize.

In FY23, farmers received Tk 32,829 crore in loans and repaid Tk 33,010 crore.

Most of these loans were channelled through NGOs, which charge interest rates ranging from 24 to 30 per cent.

To address the challenge of reaching remote areas, banks allocated loan amounts to NGOs.

To encourage direct lending to farmers, the Bangladesh Bank has instructed banks to disburse a minimum of 50 per cent of their total disbursements through their own channels.​
 

Bangladeshi mangoes approved for export to China: Embassy
UNB
Published :
Jul 29, 2024 18:44
Updated :
Jul 29, 2024 18:44
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China's General Administration of Customs has made an announcement giving approval for Bangladeshi mangoes' export to China.

On July 26, the General Administration of Customs of China issued an announcement on phytosanitary requirements for importing fresh mangoes from Bangladesh.

On July 10, Bangladesh and China signed "Protocol of Phytosanitary Requirements for Exporting of Fresh Mangoes from Bangladesh to China" witness by the two leaders of the countries in Beijing.

The release of the announcement is an important measure to implement the outcomes of Prime Minister Sheikh Hasina's visit to China, which will provide a huge Chinese consumer market to Bangladeshi high-quality mangoes and help Bangladesh achieve its export diversification goals, said the Embassy of China in Dhaka on Monday.

The Embassy said it vividly demonstrates the essential features of mutually beneficial and win-win results of economic and trade cooperation between the two countries.​
 
The commerce ministry last year banned the export of fragrant rice in an effort to contain prices in the domestic market.

It is rather easy to fathom why they did this.

Orders from New Delhi. This kneel-down servile Hasina philosophy in deference to Modi is bound to invade every export sector of Bangladesh.

In fact if Bangladeshi Awami amlas could scale back our apparel exports to help Indian apparel exports, they'd gladly do it.

Unfortunately - the Indian apparel export sector is, shall we say - deemed not "salvageable", even by Indian insider economists. Because of inbuilt inefficiencies and hampered by preponderance of small scale producers. They cannot compete with Bangladesh.

Witness, how Modi's lapdog WB BJP supremo Shuvendu was recently called into Bangladesh High Commission in Kolkata today. Hilarious! 🙂

Maybe they are trying to do a mini regime change in WB.

Didi's police resisted but gave in at the last minute.



I guess these days Didi and Hasina don't really see eye-to-eye. 🙂

Essentially Modi runs Hasina's foreign policy and even Didi cannot say anything about that.
 
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Mango export to China: BD should grab the opportunity
Mir Mostafizur Rahaman
Published :
Jul 31, 2024 21:54
Updated :
Jul 31, 2024 21:54
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Bangladesh has a huge trade gap with China. In the FY22-23 the gap was worth over US$15.48 billion. For long, Bangladesh has been trying to reduce the gap but it could hardly make any headway in its pursuit. Bangladesh's export to the second largest economy of the world has hovered around one billion dollar mark.

Against this backdrop, the announcement by the Chinese authorities allowing Bangladesh to export its fresh mangoes is a welcome ove. According to reports, the General Administration of Customs of China issued the 'Announcement No. 94 of 2024' titled 'The Announcement on phytosanitary requirements for importing fresh mangoes from Bangladesh' on Friday last.

The announcement followed the signing of "Protocol of Phytosanitary Requirements for Exporting of Fresh Mangoes from Bangladesh to China" in Beijing during the recent visit of Prime Minister Sheikh Hasina. It is a major breakthrough because through this announcement, Bangladesh has got the certification from the Chinese authorities for exporting fresh mangoes as well as the opportunity to explore 172 billion US dollar fruit market of China.

Besides opening up a huge Chinese consumer market to Bangladeshi high-quality mangoes, this decision will also help Bangladesh achieve its export diversification goals given the fact that nearly 90 per cent of the country's export basket is filled by only RMG products. For long, China has been showing its keen interest in importing mangoes and other fruits, including jackfruit and guava, from Bangladesh.

They also announced their decision to send an expert team to Dhaka to assess the feasibility and quality of Bangladeshi fresh mangoes. The team visited Bangladesh in June and the customs authority of China gave clearance regarding export of Bangladeshi mango to the market of the world's second largest economy based on the report of the team.

China was the second-largest global importer of mangoes, mangosteens and guavas after the US, buying around 380,000 tonnes in total in 2020. China's annual imports of mangoes - both fresh and processed - have steadily increased over the years, with a five-fold spike between 2019 and 2020.

On an average, China annually imported nearly 100 thousand tonnes of mangoes in the last several years. And its procurement price is not unattractive, as according to reports, the price of a 16-kg basket of mangoes supplied to China ranged from $16.56-24.84, depending on quality.

The Ministry of Agriculture reports that mango exports from Bangladesh reached approximately 310 tonnes in the fiscal year 2018-19, followed by 283 tonnes in 2019-20, 1,632 tonnes in 2020-21, and 1,757 tonnes in 2021-22. This represents a remarkable 467 per cent growth in mango exports over the past three years.

Middle Eastern countries have been the primary destinations for Bangladeshi mangoes, while the United Kingdom, Sweden, Switzerland, the Netherlands, and Germany are also considered potential markets. Now, China emerges as another market for Bangladeshi mangoes. So, it is expected that the country's mango exporters would try their best to enter the Chinese market strongly.

Presently, neighbouring countries like Vietnam, Myanmar, Thailand and Cambodia are major mango exporters to China. As Bangladesh is given an opportunity, the concerned authorities should take an all-out effort to ensure that the mango exports to China can be launched smoothly.

The agriculture extension department has a critical responsibility in this regard. They should ensure that the farmers are able to get the necessary inputs for mango farming easily and at a reasonable price.

They should also impart necessary training to the mango farmers on how to maintain export quality of their harvests. The authorities concerned should also take necessary precautions so that no irregularities can take place in this case.

One can hardly forget the fact that on several occasions in the past, the country's image was dented abroad due to malpractices indulged in by a section of exporters to cheat the importers, in terms of quality and standard of export items.

And, due to malpractices indulged in by exporters concerned, shrimp exports from Bangladesh to the EU market had faced restrictions for a long time. Bangladesh has witnessed a significant increase in mango exports over the past few years, with taste of the fruit playing a vital role in overcoming competitors despite challenging conditions.

Let us hope that the country's export earnings would get a boost through exploring this new avenue.

If mango exports can be continued smoothly, it will also help Bangladesh to get certification for other fruits. One need not forget the huge market that China offers to the world.​
 

Biotechnology and agricultural productivity
Wasi Ahmed
Published :
Aug 13, 2024 22:19
Updated :
Aug 14, 2024 21:17

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Representational photo

Is biotechnology the next best resort to reach the desired levels of agricultural productivity? With the fast-increasing hungry mouths worldwide, the need to ensure food for all does call for methods to raise agricultural productivity twice its current state in the next decade or so.

This has necessitated reinvigoration of agricultural research to increase crop productivity, and it is gaining more and more prominence not only in countries with farmland constraints but also in other nations where availability of land is no major problem. This is particularly so because innovations and technology have caused a huge watershed in crop productivity since the past decades necessitating a significant change in the patterns of cultivation, resulting in a manifold increase in the yield of crops of almost all varieties.

Gone are the days of conventional practices of cultivation reliant mostly on traditional knowledge handed down from generations. In Bangladesh, of late, the practice has attained a mix of conventional and semi-intensive methods of cultivation backed largely by positive experiments undertaken by the country's agro researchers. However laudable the efforts are, those barely go beyond innovation of newer seed varieties, use of fertiliser and the like. A great facilitator in the direction of boosting productivity is commonly believed to be the emerging genetically modified (GM) crops, cultured and fruitfully made use of by many countries. In a land-scarce country like ours with increasing population, raising productivity of agricultural products -- not just grains but a whole variety of horticulture products -- is crucial.

Agricultural productivity in the country has witnessed a sea change with grain production trebling between 1975 and 2020. Despite the laudable success, there are serious constraints to raising agricultural productivity due mainly to small holdings, declining soil fertility and various stress factors such as drought, flooding and intrusion of saline water. Besides, availability of cultivable land is declining because of urbanisation, construction of homesteads on crop fields in rural areas prompted by an increase in population and also land degradation. It has been estimated that currently the country has 8.3 million hectares of land available for crop production.

It is in this context that experts are strongly in favour of biotechnology to play an important role in increasing yield and addressing environmental stresses. Experts also hold the view that biotechnology provides powerful tools for sustainable development in agriculture, fisheries, livestock and forestry as well as the food and pharmaceutical industries.

It is quite clear that over the past several decades, technological developments and modernisation have grown concomitantly. Specifically, advances in genetic engineering have made possible the manipulation of crops to increase yield, ensuring food supplies for the increasing world population. The benefits of such agricultural modernisation have mostly favoured developed countries, whereas people living in developing and underdeveloped countries suffer widespread hunger, malnutrition and poverty. Hence, there is a necessity to create policies in order that the advances in biotechnology are translated into better agricultural practices that can meet the ever-growing food demand. The agricultural modernisation process, however, must consider that sustainable development is imperative in modern societies and that there is an increasing desire for consuming organic foods based on the idea that these foods have a higher quality and stimulate regional agricultural production.

Biotechnology has helped increase crop productivity by introducing such qualities as disease resistance and increased drought tolerance to the crops. Now, researchers can select genes for disease resistance from other species and transfer them to important crops.

Farmers use crop-protection technologies because they provide cost-effective solutions to pest problems which, if left uncontrolled, would severely lower yields. Crops such as corn, cotton, and potato have been successfully transformed through genetic engineering to make a protein that kills certain insects when they feed on the plants. In some cases, an effective transgenic crop-protection technology can control pests better and more cheaply than existing technologies.

Recognising the importance and impact of bio-technology in agricutural productivity, concerns have, however, been expressed from some quarters which feel that inadequate effort has been made to understand the problems in the use of transgenic crops, including their potential long-term impact. Genetically modified (GM) crops should be used for consumption after those have been subjected to rigorous tests to find if there are adverse impacts. This, no doubt, is a matter that should be looked into carefully and methodically. While there should not be any roadblock to innovations, it is important to remain alert to the adverse impacts that might accompany the brighter aspects of innovation and research. In Bangladesh, given that bio-technology is at a nascent stage, the country's researchers and scientists should bear with the odds, if any, while embracing innovations in this regard.​
 

Govt must prioritise smallholder farmers, farms
21 August, 2024, 00:00

BUSINESS syndication and extortion on the road and at markets have for long been identified as major reasons for price increase of essentials. While consumer rights campaigners have continuously asked the government to address the issues, the authorities have failed to stop the menaces. The failure has had negative implications on consumers, small farmers and their farms. Marginal farmers’ platform Bangladesh Poultry Association on August 19 once again demanded an immediate government action to break syndicates of big companies in the poultry sector to protect the interests of consumers and small farmers. The association says that a syndicate of a few corporate companies manipulates the prices of feed and day-old chicks, resulting in high production costs of chicken and eggs. The association alleges that 100,000 out of 160,000 small farms were forced to shut down because of a syndicate of 4–5 corporate companies, which gained an additional profit of Tk 5,920 crore in the past year through feed and chick market syndication. The prices of feed, day-old chicks and the production cost of an egg in Bangladesh are almost double the amounts in neighbouring countries because of market manipulation.

The price of feed is Tk 40–50 a kilogram, of a day-old chick Tk 25–35, the production cost of an egg Tk 5 and of broiler chicken Tk 76–86 a kilogram in India while the price of feed is Tk 60–72 a kilogram, of a day-old chick Tk 60–100, the production cost of an egg Tk 10.29 and that of broiler chicken Tk 155–170 a kilogram in Bangladesh. Marginal farms face, as the association claims, a loss of Tk 40–60 a kilogram of chicken and the financial strain leads to the closure of many small farms. The association also blames the livestock services department for favouring corporates. The government on various occasions admitted the presence of market manipulation and fined some businesses for this. The Competition Commission on January 23 fined two poultry farms, Diamond Egg Limited and CP Bangladesh, Tk 3.5 crore for their alleged collusive practices in artificially increasing egg prices. Market manipulation by business cartels is believed to have also caused a sharp increase in prices of other goods, too. When farmers cannot make even a marginal profit for their agricultural produces, intermediaries and big businesses make abnormal profits. In Bangladesh, 35 per cent of the final retail price goes to processors and intermediaries.

The authorities must realise that smallholder farmers are key to ensuring food security and facilitating them is the best way to ensure fair prices for producers and consumers. The authorities must, therefore, make adequate intervention to break business syndicates and show the dynamism needed to contain food inflation and save smallholder farmers. It must establish an effective market monitoring mechanism and empower smallholder farmers through effective policies and ground-level interventions.​
 

'Deshi Sarbi' banana farming popular in Gopalganj
OUR CORRESPONDENT
Published :
Aug 20, 2024 09:32
Updated :
Aug 20, 2024 09:32

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A farmer nursing his banana field at Bowalia in Sadar upazila of Gopalganj — FE Photo

GOPALGANJ, Aug 19: Banana cultivation is gaining popularity in Sadar upazila of the district as farmers are getting fair prices from the produce this year.

Akkas Ali Mollah, 60, a farmer of village Bowalia, said he cultivated 'Deshi Sarbi' banana on five bighas (260 decimal) of land this current year and its harvest already been start.

"I've got good price through selling the banana. Per (one) pone Banana (20 quartet) is being selling (wholesale) at the rate of Tk 250," he said.

Akkas also said this cash crop (Banana) farming also began commercially in this region and growers highly benefited from this Banana produce.

According to the Department of Agric-ultural Extension (DAE), Gopalganj official sources said a total of 189 hectares of land have been brought into Banana cultivation in the district this year. As many as 73 hectares are in Sadar upazila.

Liton Bala, Sub-Assi-stant Agriculture Officer (SAAO), Gopinathpur union under Gopalganj Sadar upazila in the district, told the FE that Banana farming profitable crop for farmers in this region and a farmer can harvest the banana from only 60 to 70 days from planting and farmers got at least 160 pcs of Banana from a Banana tree which wholesale price is Tk 500.

He more added when a farmer planting a Banana tree (seeding tree) and its continuing minimum three years long, due to growth its root & there is no need further planting SAAO, Liton said.

Now, the growers in this region farming this cash crop commercially. The farming areas are Gosherchar, Manikdha, Char Sonakoir, Podda-rerchar, Haridashpur, Bowalia, Charpathalia and Char Suktail with etc under Gopalganj Sadar upazila in the district, sources said.

Mofiz Sharif, 55, a Banana farmer of village Gopinathpur, Ward No. 5, under Gopinathpur union of Sadar upazila in the district, said he cultivated 'Dashi Sarbi' Banana on 25 decimal of land this current year.

Where investment about Tk 10,000 but I will got nearer Tk 50,000 from its produce, net profit Tk 40,000, Mofiz further said.

A farmer can harvest Banana around 60 to 70 days since its planting. It is not only that easy farming and short duration besides more profit, Mofiz said.

Abdul Kadir Sarder, deputy director (DD) Agriculture, Gopalganj told The FE that Banana cultivation is more profitable cash crop for farming in this region. About 1,150 farmers involved in this farming in the district this current year. Of them 450 farmers involved under Gopalganj Sadar upazila and those farmers are earning nearer taka 80,000 from one local bigha (52 decimal) of land but investment Tk only 20,000.

So, farmers are more interested on this Banana farming. Side by side our field workers SAAO closely monitoring on this farming and continuing collaborating them for this Banana cultivation, DD added.​
 

Agri product exports growing slower than others. Here’s why

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Even though Bangladesh is an agricultural country, its agricultural product exports grew at a slower pace compared to other goods over the past decade due to a lack of policy support, high costs and the absence of good agricultural practices.

The country's annual export earnings soared 114 percent to $50 billion in fiscal year 2022-23 in around a decade.

And while data for the whole of fiscal year 2023-24 is not yet available, it stood at $40 billion in the July-May period, according to data of the Bangladesh Bank.

The country's export of agricultural products was worth $536 million in fiscal year 2012-13 and it rose by 57 percent to $843 million by the end of fiscal year 2022-23.

In the 11 months of the last fiscal year, it was $846 million, the data showed.

And while there are several barriers to exporting agricultural products, the main one is a lack of policy support, said Md Iqtadul Hoque, general secretary of Bangladesh Agro-Processors' Association (BAPA).

For instance, aromatic rice exports were banned over apprehensions that it could put the country's food security at risk. "But this type of rice is not an essential food so it is not linked with food security," he added.

According to the Department of Agricultural Extension (DAE), Bangladesh annually produces up to 19 lakh tonnes of aromatic rice, of which it exports only about 10,000 tonnes.

As such, the government has the scope to earn a huge amount of foreign currency by allowing the export of aromatic rice, said Hoque.

There are many other examples of how policy support is lacking, including a reduction of cash incentives from 20 percent to 15 percent from fiscal year 2024-25, he said.

The high cost of raw materials is another reason that local exporters are lagging in international competition, he said, adding that the price of sugar has more than doubled in Bangladesh compared to India and Pakistan.

The price of wheat is also higher in the country, and sugar and wheat are two major ingredients of juice and snack items. "So how will we compete with others?" he asked.

Container freight costs also rose 4 to 5 times here. Besides, food producers need to import specialised packaging and pay a high duty to this end, which pushes up their input cost, said Hoque.

At present, there are 486 manufacturers of processed agricultural products, of which 241 are exporters while the rest cater to the domestic market.

Bangladesh exports cereal grains, tea, vegetables, tobacco, flowers, fruits, spices, dry food and other processed agricultural products to more than 145 countries.

Although the export earnings of the agricultural sector are not soaring, it is helping to ensure food security while also saving the country's foreign currency by providing import substitutes, Hoque added.

By fiscal year 2022-23, Bangladesh's food crop production had increased by around 38 percent to 467 lakh tonnes, as per data of the finance ministry.

Eleash Mridha, managing director of PRAN Group, said the export of agricultural products dropped in the last two years mainly due to the ban on exporting aromatic rice.

He also blamed high prices of sugar and flour and the rise in freight costs, saying cargo freight costs have not increased over the last couple of years in India and Thailand but it did rise in Bangladesh.

"So, we lag behind in competition," he added.

The Association of Southeast Asian Nations (ASEAN) is a good market for Bangladesh and so, the government could sign a free trade agreement with the ASEAN member countries in order to grab the market, he said.

Bangladesh's agro-processing sector has huge potential as most of the raw materials are locally produced, Mridha said, adding that the demand for their products is also high abroad.

As a result of the revolution in agricultural production, Bangladesh ranks third globally in the production of rice, vegetables, and onions while it is second in jute production, fourth in tea production and seventh in potato and mango cultivation.

Crop production in the country has risen in recent years thanks to farm mechanisation.

For example, around 6 percent of the agricultural land in Barishal has been lost due to urbanisation and other causes between 2014 and 2019. However, rice production in the region has not decreased and instead rose by 1.5 times owing to modern cultivation techniques.

In this situation, the country needs to focus on two things before putting in the effort on exports and securing a good position in global markets, said Md Nazim Uddin, senior scientific officer of Bangladesh Agricultural Research Institute (BARI).

The first is to implement good agricultural practices and the second is to ensure the testing of products in laboratories accredited by the International Organization for Standardization (ISO), he said.

Good agricultural practices encourage moderate use of pesticides, organic and chemical fertilisers, and environment-friendly management of resources, he said.

In implementing these practices, it is important that uniform and correct procedures are adopted all throughout the way. It would ensure consumers' confidence as foreign buyers seek assurance of quality food, said Nazim Uddin.

Apart from Western countries, the Middle East has a huge demand for Bangladeshi products and other Asian countries are also exporting to this market comparatively easily, he said.

Sending agricultural products to the Middle East requires proper certification for ensuring food safety. Sometimes, ultrasonic washing and packaging can improve the quality, he added.

Nazim Uddin also said freight costs and a shortage of space for air cargoare major reasons for the low export of agricultural products.

"There is a huge potential for agricultural exports as the international market is huge," he added.

Data of Bangladesh Investment Development Authority shows that the international agriculture market is projected to reach $19,000 billion with a compound annual growth rate of 9.1 percent by 2027.

Bangladesh's total market size for agricultural products was $47.54 billion till 2022. So, there is a huge potential to grow the industry to capture the market. In this situation, the focus should be on the agro-processing industry, Hoque said.

The Bangladesh Institute of Development Studies, a state-run research firm, also identified in a research paper that policy barriers have a major impact on the export process of fruits and vegetables.

Export expansion and demand from supermarkets is constrained by poor quality of produce and imposition of different sanitary and phytosanitary criteria by importing countries, it said while adding that the high cost of airfreight is another big barrier.

Although the industrial and service sectors grew fast over the past decade, even contributing to export earnings and GDP, employment in the agricultural sector remains the major contributor. This indicates that the agricultural sector can ensure a higher number of jobs.

In fiscal year 2016-17, jobs in the agricultural sector accounted for 41 percent of the total labour force while it rose to 45 percent in 2022.

Interestingly, more women are joining the agriculture sector in Bangladesh as their job opportunities in industries, especially garment factories, have stagnated while men are switching to non-farm sectors.

Of the 31.98 million people employed in agriculture, 18.43 million are female, the data showed.

BAPA's Hoque recommended that they be provided bonded warehouse facility and tax rebates so that they could compete with international competitors.

To increase the contribution of the agricultural sector, he suggested that banks should come forward to provide more loans and the government should promote and facilitate farm mechanisation.

BARI's Uddin recommended focusing on Middle Eastern and Asian countries and following good agricultural practices targeting the Western countries.

He also suggested that contract farming by corporates could be a good way of sending products abroad as they can properly meet the preconditions set by the destination countries.

PRAN's Mridha recommended reducing the duty on sugar and flour used by export-based agro-processing industries.​
 

Put yourself in farmers’ shoes
BB governor tells banks dealing with agri borrowers in difficulties

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Bangladesh Bank has set a target to disburse Tk 38,000 crore in loans for agricultural and rural development in fiscal year 2024-25. Photo: Star/file

Bangladesh Bank Governor Ahsan H Mansur yesterday urged banks to be compassionate, humane and empathetic when dealing with farmers who fail to repay loans for genuine and understandable difficulties.

"…to understand the situation farmers are in, put yourself in their shoes," he said, quoting a former official of International Monetary Fund (IMF).

"If we look at the situation from the farmer's angle, we will automatically behave humanely," he added.

He was responding to a journalist citing instances of farmers being harassed by being handcuffed and tied with a rope around the waist when being taken to court for failing to repay loans of Tk 5,000 to Tk 1,000.

Meanwhile, people defaulting on substantial amounts of loans are going scot-free, said the journalist.

"Borrowers should be viewed through the humanitarian lens. Because anyone can fall in difficulties at any time irrespective of whether they are big or small (in terms of wealth and influence). So, the humanitarian aspect is very important," said Mansur.

There could be cases where a farmer's death or any other difficulty was causing suffering for his family due to his loans, he said.

"Will it be useful by harassing the family members by putting rope around their waist?" he asked.

Borrowers can default on loans for a variety of reasons and strict enforcement of the law may not always be reasonable, he said.

Loans which farmers are genuinely unable to repay should be written off instead of being kept in the records for years, said Mansur.

"I would say that the matter should be resolved humanely on getting to know about the genuine reason," he said.

Mansur further said farmers often end up requiring assistance when intending to avail loans and this is where they fall victim to harassment from "brokers".

So, banks should ensure that they reach the loans directly to the farmers, he said.

"We will conduct a study on whether the brokers are getting the loans or the farmers to understand the ground reality. Then, we will take steps accordingly. The brokers will be dealt with an iron fist if necessary," he said.

The interaction took place at the central bank, which announced the Agricultural and Rural Credit Policy for FY25, by setting a target for disbursing Tk 38,000 crore in loans for agricultural and rural development in fiscal year 2024-25.

The target is 8.57 percent higher than that of the previous year.

Banks disbursed Tk 37,154 crore in agricultural and rural loans against a target of Tk 35,000 crore last fiscal year, meaning they exceeded the target by 6.15 percent.

Of the loan target set for the ongoing fiscal year, the state-owned commercial and specialised banks have been tasked with disbursing Tk 12,615 crore while private and foreign commercial banks Tk 25,385 crore.

A bank must use its own networks, such as branches, sub-branches and agent banking, contract farming or any other relevant linkage to achieve at least 50 percent of its credit disbursement targets.

The rest can be disbursed through its partnerships with other lenders.

Moreover, 60 percent loans should go to the crop sector, 13 percent fisheries and 15 percent livestock.

Managing directors of various banks and officials of Bangladesh Bank were present on the occasion.​
 

Massive crop losses may hurt our food security
Farmers, who suffered heavily during the floods, need help

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VISUAL: STAR

After the recent floods, which claimed at least 71 lives, it is evident that a long, painful rebuilding process awaits affected communities even if they are not out of the woods yet, with the Met office warning about potential short-term flooding again later this month. Saddled simultaneously with the challenges of rebuilding homes and regaining livelihoods, these people will need continued help to weather this crisis. One area of recovery that deserves particular attention is agricultural rehabilitation.

According to an estimate, the recent floods have damaged crops worth Tk 3,346 crore, with about 14.14 lakh farmers in as many as 23 districts affected. A total of 986,214 tonnes of crops—including Aush and Aman paddy, vegetables, ginger, turmeric, fruit orchards, chilies, betel leaf, watermelon, papaya, and tomatoes—have been destroyed. Among the crops, paddy production has suffered the most significant damage. The inundation of Aman paddy fields and seedbeds has resulted in 6,85,000 tonnes of Aman paddy being wiped out, while 1,06,000 tonnes of Aush paddy have suffered the same consequence. That means, Tk 2,519 crore worth of paddy alone has been destroyed. Overall, crops were grown on over 14.3 lakh hectares, about 14.58 percent of which has been damaged.

This is a huge loss for the farmers, and a blow to our food security, with its impacts already being felt in the markets. Fields that swayed with the promise of a bountiful harvest even a few weeks ago now lies barren, their crops rotting in the mud. Beyond crops, the devastation of seedbeds and fish enclosures has further deepened the crisis. In the fisheries sector, the losses in 12 most-affected districts have exceeded Tk 1,590.36 crore. Add to that the damage caused to livestock, poultry, animal feed, aquaculture infrastructure, etc. In the face of such overwhelming loss, the need for swift action to rehabilitate farmers, especially paddy farmers, cannot be overstated.

One of the immediate priorities is to make agricultural inputs—including seeds and fertilisers—readily available for replanting crops. So the authorities must reach out to all farmers in need of help. Reportedly, the government is placing the highest priority on setting up Aman seedbeds to ensure replanting in ravaged fields. Many have still complained of a crisis of seeds and lack of official help. This has to be addressed. One silver lining in this regard, as with the rescue and relief efforts throughout this flood, has been the support of volunteers, particularly students and teachers from various agricultural universities, who are collecting and preparing seeds to help farmers.

Their collaboration and coordination will be a big part of the agricultural rehabilitation process, and they must keep up these efforts. They should also ensure that fish and vegetable farmers and entrepreneurs are not left out. We must bear in mind that many of the farmers have also lost their homes and savings, and without proper financial assistance, they will be unable to purchase the necessary inputs or invest in the recovery of their land. Low-interest loans, grants, and subsidies can be made available to help them get back on their feet.​
 

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