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Agriculture of Bangladesh
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Letter of Transmittal
April 12, 2015
JunnatunNaym
Lecturer
Department of Finance
Faculty of Business Studies
University of Dhaka
Subject: Submission of report on Agriculture of Bangladesh
Dear Madam,
Here is the report on Agriculture of Bangladesh in response to the subject you have given us to
prepare a report, which was authorized about one month ago.
We would like to say, it has been a great experience for us to prepare a report. We had the chance of
experiencing and rediscovering our abilities. This report provided us an opportunity to apply our
theoreticknowledge, refine our assessments, thoughts and communication skills, which will benefit us
in our upcomingpracticed career. We tried our level best to put meticulous efforts for the preparation of
this report. Any deficiencies or imperfection may arise as we are very much novice in this aspect.
It would be pleasure for us, if this report can serve its purposes and we will be available to explain your
queries if you feel necessary.
Sincerely yours,
On behalf of
Group-13 (Section-B)
Department of Finance
Faculty of Business Studies
University of Dhaka
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Acknowledgemen
t
This is high time we conveyed our deepest gratitude and sincere submission to the Almighty Allah for
giving us the opportunity to accomplish such an enjoyable task of preparing this report in time.
We express our thanks to our dear course teacher JunnatunNaym for assigning us a term paper dealing
with the Agriculture of Bangladesh. In this regard, we would also like to thank ourselves for our good
teamwork and successful team spirit. Without co-operation and the support from each other, it would
not be possible to prepare a resourceful report.
The presentation of this term paper is of a great expectation in our BBA program and we are quite
happy to submit it applying that we think should have to be included. Theoretical knowledge should be
valued when it is successfully applied in practical decision-making scenario. In this respect we found
this term paper a great opportunity to deal with the Agriculture of Bangladesh. We knew the basic
knowledge of Agriculture in Bangladesh, Types of Crops in Bangladesh, Agricultural Resources,
Factors Affecting Agricultural Resources, Uses of Agricultural Resources and Agricultural Planning
and Management with the support of our honorable teacher and co-operation of each other.
So lastly we would again like to express our heartfelt thanks to our course teacher for providing the
theoretical knowledge and valuable guidelines related to exchange of financial assets.
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Table of Contents
Executive Summary-----------------------------------------------------------------------------------------5
Chapter 1: Introduction----------------------------------------------------------------------------------6-7
1.1 Origin of the Report
1.2 Objectives of the report
1.3 Methodology
1.4 Scopes of the Report
1.5 Limitations of the Report
Chapter 2: Agricultural Sectors----------------------------------------------------------------------8-21
2.1 Food Crops
2.2 Cash crops
2.3 Special Agricultural Zones
Reference
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Executive Summary
Our topic was about the Agriculture of Bangladesh. This is one of the most important Economic sectors
in our Bangladesh. In our country 80% people are related in the agriculture sector. From this agriculture
sector our country earned many foreign currency. We start is report with an inauguration of agriculture
and its sector in Bangladesh. Then its slide to the main categories of agriculture. All remarkable and
important crops of Bangladesh are discussed in this part. Followed by poultry fisheries and forestry are
also discussed which will provide us an overview about agriculture of Bangladesh.
Chapter 1:
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Introduction
1 Introduction
In this chapter we tried to describe the origin of the report, objective of the report, scope and limitations
of the report.
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Enough Time:We have got enough time to prepare a report so that we could gather information
with much tension free mind. .
Easy Access to Internet: We have a very smooth access to internet in our computer lab. So
that we didnt face any kind of trouble in this sector.
Flexible Topic: The topic of us was much flexible to execute. So we dont feel any problem
about our topic.
Lack of Knowledge:We dont have enough knowledge about how to prepare a report. So
face some problems by this side.
Lack of Information: We faced many difficulties to collect the proper information.
Lack of Enough Time:We havent got enough time to prepare a report so that we couldnt
gather enough information.
2
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Bangladesh is an agricultural country. The land of this country is very fertile and produces great
varieties of crops. However, Bangladesh is endowed with a favorable climate and soil conditions for
the production of a variety of crops all the year round. The rich genetic estate, the richness in
ecosystem diversity, and the vast untapped human resources who can learn and adopt new skills have
been the major points of comparative advantage in Bangladesh. Thus, there are ample opportunities for
crop diversification balancing the production of major crops with that of minor crops. The Crop
Diversification Program (CDP) was launched in the country during the early 1990's. A systematic
arrangement of growing a variety of crops in rotation with rice was undertaken, based on farmers' own
choice and performances with respect to soil and climatic conditions, thereby ensuring a variety of
diverse dietary standards and nutritional status of the rural households. Due attention was given to the
protection of nutrient balances in the soil and of all major basic resource endowments in crop
production. Improved crop sequences involving rotation of soil exhausting crops followed by
recuperative ones, shallow rooted crops followed by deep-rooted ones, legumes in rotation with nonlegumes etc., are envisaged to enrich and maintain soil fertility and crop productivity. In this way it
becomes possible to ensure some degree of constancy in crop production, by destabilizing many of the
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limiting biotic and abiotic stresses. We may classify our crop into two categories-Food Crops and Cash
Crops.
2.1Food Crops
A food crop is a crop that is grown for the sole use of selling its grainsseed or produce vegetables or
fruit for human consumption. Any part of thecrop that is deemed "unsuitable for human consumption;
whether because itdoesn't look good or is a little damaged is fed to livestock. Main food crops of
Bangladesh:
2.1.1 Rice
Rice is the staple food of about 135 million people of Bangladesh. It provides nearly 48% of rural
employment, about two-third of total calorie supply and about one-half of the total protein intakes of an
average person in the country. Rice sector contributes one-half of the agricultural GDP and one-sixth of
the national income in Bangladesh.
Paddy Field
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2.1.5 Pulses
The pulses of Bangladesh comprise of six major crops, namely, lentil, thesauri, black gram, moonbeam,
chickpea and pigeon pea. Cowpea occupies an important place in the Chittagong area. The cropped
area and production of these pulses have been on the decline over the past few years mainly because of
the increased emphasis on HYV rice and wheat. But pulses are very important because of their protein
supply to the human diet and nitrogen fixation for soil nutrition. Since improved technology can
increase per hectare yield of pulses substantially, pulse production is projected to grow to 0.85 million
Mt in the terminal year of the Plan as against the benchmark production of 0.53 million Mt.
2.1.6 Oilseeds
Vegetable oil from oilseeds is the main sources of fats in the average Bangladeshi diet. Its present level
of consumption is only 25 percent of the FAO/WHO recommended level. Efforts will be made to
increase oilseeds production to 0.76 million Mt by the terminal year of the Fifth Plan. Groundnut,
sunflower and soybean have been included in this projected production. New seed varieties are being
used in the defined area to avoid cross-pollination. Production of foundation and certified seeds of
improved varieties and demonstrations of modern technology are important strategies to increase
oilseeds production of the country.
2.2Cash Crops
A cash crop is an agriculturalcrop which is grown for sale to return a profit. It is typically purchased by
parties separate from a farm.[2] The term cash crop is applied exclusively to the agricultural production
of plants; animal agriculture is not a part of the terminology. The term is used to differentiate marketed
crops from subsistence crops, which are those fed to the producer's own livestock or grown as food for
the producer's family.
In earlier times cash crops were usually only a small (but vital) part of a farm's total yield, while today,
especially in the developed countries, almost all crops are mainly grown for revenue. In least developed
12 | P a g e
countries, cash crops are usually crops which attract demand in more developed nations, and hence
have some export value.
2.2.1 Jute
Jute was, once, the golden fiber of Bangladesh not only for the rich golden color of the fiber but also,
metaphorically, for jutes valuable contribution to the countrys economy. Up to mid-twentieth century,
about 80% of the worlds jute was produced in Bangladesh and it was the countrys highest foreign
currency earner till early 80s. But, the emergence of petroleum-based synthetic substitutes, which were
many times cheaper and convenient to use, quickly took over the market of jute. In 1980-81, jute and
jute products jointly earned 68% of the countrys total foreign exchange; the share came down to 6% in
1990-91.
Yet, the importance of jute in Bangladesh cannot be ignored. About 1.2 million farmers are still directly
associated with jute cultivation. Jute sector provides about 10% of total employment (production,
transportation, processing and marketing) in the economy For last 3/4 years, jute sector has been
experiencing a slight revival. Growing awareness about environment around the world in recent years,
along with the volatile price of petroleum, is bringing new market opportunities for jute.
So, it is the high time to exploit the growing world market opportunities of jute to bring back the lost
glory of Golden Fiber of Bangladesh.
2.2.2 Tea
Tea is one of the most dynamic agro-based, labor intensive, export oriented industries of Bangladesh. It
plays a vital role in the national economy in both export earnings as well as in employment generation.
Plantation and production of processed tea are the two main activities in the private sector. In the public
sector, green leaf production was promoted through development projects implemented by the
Bangladesh Tea Board. With the introduction of high yielding varieties, quality planting materials,
timely application of production inputs and
installation of modern machinery, tea has
undergone further improvement and enabled
Bangladesh to compete more effectively with other
exporting countries. Increased production is
expected to come from higher yields and by
reducing tea vacancies now existing in the gardens.
Bangladesh produces and exports a large quantity
of high quality tea. Most of the tea plantations are
Tea Garden in Sylhet
situated in the northeastern areas of the country,
around Sleet and Srimongal .The area has over 150 tea gardens including three of the
largest tea gardens in the world both in area and production. Nearly 300,000
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workers are employed on the tea estates of which over 75% are women.
Employers prefer to engage women for plucking tea leaves since they do a better
job and are paid less than the men.
2.2.3 Tobacco
Tobacco is one of the important cash crops of the country. The crop grows well in sandy, well aerated,
well drained soils and cool climate. Hence, it is grown as a Rabi crop and most of the area is
concentrated in the greater districts of Kushtia and Rangpur. Due efforts to expand tobacco cultivation
since 1973/74 through support from big cigarette manufacturing firms self-sufficiency in tobacco
production was achieved by 1980/81. However, recognizing tobacco's adverse effects on health,
policies will be adopted to limit its production by the gradual reduction of cropped area in favor of
cotton and pulses. The production of tobacco has been projected to be 0.04 million Mt by the terminal
year of the Fifth Plan.
2.2.4 Cotton
Cotton played a very important role in improving the socio-economic conditions of the farmers during
the previous Plan period. The production has gone up from 45,800 bales in 1983/84 to about 1, 00,000
bales in 1996/97. The yield of seed cotton per hectare has reached a reasonably high level; yet the yield
of cotton in the country is low compared to world standards. The major constraints to increased
production are inadequate ginning capacity and seed multiplication programmer, insufficient expertise
and material resources, inefficient system of management, and ineffective extension and marketing
organization. Textile mills should encourage commercial plantation through cooperatives in suitable
cotton belts. During the Plan period, efforts will be made to provide loans to farmers to ensure supply
of improved seeds, fertilizers, plant protection measures, and irrigation and credit facilities to the
growers along with the practicing of improved technologies in the cotton fields. Cotton production has
been projected to be 0.26 million bales by the terminal year of the Fifth Plan as against 0.10 million
bales in 1996/97.
country are low by world standards and the quality is poor. The average yield of sugar cane is about 6.1
Mt per hectare with a sugar recovery rate of 8.10 percent. Sugar cane is grown on about 0.18 million
hectares of land. Of this, about 0.095 million hectares are in the sugar mill zone areas and the rest in the
non-mill zone areas which produce sugar cane mostly for making guru consumed by the rural people.
Research efforts will be strengthened to raise yield per hectare through varietal improvement, better
management of water resources, fertilizers and other inputs, improved cropping systems and
development of a sugar cane delivery system from farms to mills. Considering the past consumption
trend, milling capacity and possible growth rate of production, sugar cane production is projected to be
12.37 million Mt in the terminal year of the Fifth Plan as against the benchmark production of 8.10
million Mt
are directly or indirectly involved in traditional poultry rearing activities. It is a good source of income
for rural women as they have some experience in poultry rearing. Poultry rearing could be more
effective if poultry mortality could be reduced with the improvement of local breed. At the same time,
nutritional level of the family could be enhanced.
BEES started its poultry and livestock program since its inception and have vast experience in
operating this program. In 1997, BEES has been started implementing the program with a revised
strategy incorporating some new components and assistance. The major objectives of the poultry and
livestock program are to increase income particularly of women, reduce poultry & livestock mortality,
improve the variety of poultry birds & upgrade the local breeds of livestock through crossbreeding,
fulfill the protein requirement of the rural poor and generate income.
Objectives:
To utilize the poultry and livestock potentials fully towards poverty eradication, nutritional
enhancement and sustainable agricultural resource development.
Achievement:
Under this program BEES provide training to staff as well as beneficiaries. During the reporting period
July 2002-June2003, a total of 11 program staff and 1,172 target beneficiaries received training against
the target of 14 and 1,300 respectively which implies about 79% and more than 90% achievement
respectively. A total of 7 project staff and 880 target beneficiaries received training on Small Poultry
Farm Management while 4 staff and 292 beneficiaries received training on Small Cattle Farm
Management.
The training courses for the staff were facilitated by a pool of resource persons from the Dept. of
Livestock and Poultry while the courses for
beneficiaries level were conducted and facilitated
by the trained staff of the program at field level. A
total of 1,910 beneficiaries were covered under
the program during the reporting period against
the target of 2,050 beneficiaries, which signifies
more than 93% achievement. Achievements in the
Loan Disbursement for Poultry and Livestock Program area of training with regard to small poultry and
small cattle farm management training under the program were quite satisfactory.
In the area of loan disbursement, during the reporting period July 2002-June 2003, more than 17
million taka has been disbursed which was 90% of the annual target. Out of the total disbursed loan, an
amount of Tk. 69, 30,000 was disbursed to 880 beneficiaries for poultry farming and amounting to Tk.
1, 01, 70,000 was disbursed to 1,030 beneficiaries for cattle rearing and farming.
Of the total loan amount, 41% was received for poultry farming and 59% was obtained for cattle
rearing & farming.
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In this regard, the program staff put their earnest efforts to establish poultry farms and arrange high
breed cattle for cattle rearing farms. During the reporting session, a total of 2,900 high breed poultry
birds and 530 high breed cattle were arranged for the target beneficiaries and BEES supported to
establish 58 small poultry farms and 28 small cattle rearing farms. Moreover, a huge number of poultry
birds were also collected by the staff from different private sources which have been distributed to the
beneficiaries.
During July 2002-June 2003, a total of 65,326 poultry and about 16,000 cattle were vaccinated under
the program intervention with assistance from Livestock and Poultry Department of the government. It
has definitely a positive impact of the training course on poultry and livestock vaccination at
beneficiary level. After receiving the training, the beneficiaries became aware of the need of
vaccination and to meet their requirement the program staff had to take serious efforts to collect
required quantity of vaccines from the Govt. Dept., which was not readily available at upazila level.
One of the most vital objectives of the poultry and livestock program is to improve the average
monthly income of each of the target beneficiaries. Keeping the objective in mind, the program staff
concentrated their efforts at all the critical aspects of the program activities. As a result of their sincere
efforts, they were able to bring a satisfactory result by increasing the average monthly income up to Tk.
522 from their baseline status of Tk. 356, which indicates that each of the poultry farmers was able to
increase her/his average income by Tk. 166 per month. Similarly, those who were engaged in cattle
farming, were able to increase their average monthly income up to Tk. 718 from their baseline status of
Tk. 554, which indicates that each of the cattle farmers was able to increase her/his average income by
Tk. 164 per month.
2.5Forestry
Forestry aims at ensuring economic, ecological, and social benefits to the people, particularly to the
rural masses and those living below poverty line, especially by involving the beneficiarys right from
the planning stage to the harvesting stage. The target of the social forestry is the rural poor and not the
tree alone. This support, however, is not just to ensure that the trees get planted and survives but
rather to ensure that the people who plant the trees receive adequate sustenance to live with dignity
before reaping the harvest from the raised crops.
FAO defined social forestry as any situation which intimately involves local people in a forestry
activity. It excludes large scale industrial forestry and other form of forestry which contributes to
development solely through employment and wages, but includes activities by forestry industries and
public services to encourage and assist forestry activities at a community level.
The history of social forestry in Bangladesh is linked with the institutional approach to the introduction
of forest extension services in the Forest Department. During 1962-63, two forest extension divisions,
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one at Rajshahi and other at Dhaka were created and the tree planting day on 1st June was introduced.
Since the creation of the forest extension division for raising and distributing of seedlings, a gradual
expansion of activities took place. The activities, however, remained confined in the establishment of
nurseries and ceremonial planting in the district headquarters and some important centres. Tree planting
campaign initially was for a day which later extended to a week, then a month and subsequently to
three months period. The programme activity initially was small and it never created impact on people.
The activities failed to bring any change in the outlook of extension personnel or change in the mind of
common people. No thought was given to the utilization of landless people and their involvement in the
forestry activities.
Social forestry project in Bangladesh was taken up by entrepreneurs like Mahbubul Alam Chashi,
Mohammad Eunus and Abdul Alim at Betagi and Pomora, two remote denuded hills in RanguniaThana
of Chittagong district. One hundred one families were selected for the purpose and land was given to
them.
The programme was a self-help type and needed to be self reliant. The inducted farmers were not to
receive any outside grant. Krishi Bank (Agricultural bank) advanced loan on condition that workers of
Grameen Bank to distribute and recover the loan. The programme was evaluated in the second and
third year and found to be satisfactory. However, the number of participants reduced to 83 families
from the initially inducted 101 families. The lessons learnt from the project helped in the development
of further programmes.
Social forestry in real sense of the term started with the Asian Development Bank (ADB) financed
community forestry project. ADB sanctioned a loan of 11 million US dollar and United Nations
Development Programme allotted 2.0 million dollar through Food and Agricultural Organisation as
technical assistance. Project activities started in 1982 and completed in 1987 in seven districts, namely
Dinajpur, Rangpur, Pabna, Rajshahi, Bogra, Kushtia and Jessore. The objective of the project was to
increase supply of fuelwood, fodder, small timbers, fruits and other products. The project was designed
to act as catalyst by creating community awareness with permanent institutional capacity.
The main components of the project were: establishment of about 4800 km strip plantations along road,
railway, and canal embankments; adopting participatory approach in raising fuelwood plantation in
4800 ha, and demonstrative agroforestry farms in 120 ha in the denuded forest land; establishing a
social forestry training institute at Rajshahi; providing equipment and training to staff as part of
institutional support; imparting training to various categories of people to create awareness among
them; and establishment of regional office and division office within the project area.
The project exhibited overall success in meeting the target and also as an initiative in the integration of
the people in forestry activities. For the first time it brought in women as participant of community
forestry programme.
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The Asian Development Bank was pleased with the overall performance of the community forestry
project and sanctioned Upazila Afforestation and Nursery Development project as a follow up. This
was a countrywide project covering all parts except the Sundarbans and greater Chittagong Hill Tracts
districts.
The component-wise targets of the project were: raising of plantations in the depleted sal forest over an
area of 16,194 ha involving local people; establishment of agro-forestry farms in the denuded and
encroached sal forest over 3289 ha following participatory approach; afforestation of 810 ha outside the
area of Water Development Board; development of 8, upgrading of 32, and maintenance of 51
community forestry growth centres by renaming them as Forestry Extension Nursery and Training
Centres (FENTC); raising and distribution of 40-48 million seedlings during project period; imparting
training to about 75,000 village leaders, block supervisors and upazila agriculture officers, plantation
assistants, gardeners, staff, and officers of Forest Department; establishment of another 345 nurseries in
the upazila complexes; establishment of 17,760 km strip plantation along road, railway, and canal
embankments; raising and distribution of 10.97 million seedlings from the newly established upazila
nurseries; and helping in establishing 100 private nurseries by encouraging entrepreneurs with training
and financial assistance
Another participatory social forestry project financed by Asian Development Bank is the Coastal Green
Belt project started in 1994-95. It is based on the Asian Development Banks upazila Afforestation and
Nursery Development Projects theme. The project area includes 10 districts of the coastal zone. The
objective of the project is to reduce loss of life and damage to property caused by cyclones through
increased vegetative cover in the project area. Increasing the vegetative cover will be realized by the
promotion of coastal tree planting activities among the local population with the involvement of nongovernment organisations (NGOs).
2.6Fisheries Sector:
At present the Fisheries Sector in Bangladesh represents as one of the most productive and dynamic
sectors in the country. This sector plays a significant role in employment, nutrition, and foreign
exchange earnings in the economy of Bangladesh.
About 1.25 million peoples are directly involved in Fisheries sector in Bangladesh. Over 12 million
additional rural people indirectly earn their livelihoods from fisheries related activities. Among rural
dwellers, four out of five are dependent to some extent on fisheries resources. Data shows that 55% of
fisheries personnel are involved in freshwater fisheries, while 36% are employed in marine fisheries.
20 | P a g e
Shrimp culture absorbs 6.2%, and fish processing plants and hatcheries employed 0.4% and 2.2%
respectively.
Frozen shrimp, fish, and other fishery products rank third in the export earnings of the country. In
2007-2008 Bangladesh earned more than three thousand crores exporting fish and fisheries products.
The sector contributes about 3.74% of GDP, 20.87% of gross agricultural product, and 4.04% of export
earnings. Importantly fisheries, from both capture and
culture provide about 58% of the populations total
animal protein intake of the country, as well as, being a
Fishing in Pond
key source of essential minerals, vitamins and fatty
acids, vital factors in child development and adult
health.
Inland fisheries comprise of capture and culture
(closed-water fisheries) based fisheries. The capture
component is composed of rivers and estuaries, the
Sundarban mangrove forest, beel, Kaptai Lake, and
flood-land etc. The total area of inland open-water bodies is about 4.04 million hectors, comprising
about 1.03 million hectors of rivers and estuaries (including Sundarban), 2.83 million ha of floodland,
and small areas of beels and Kaptai Lake (0.114 million ha and 0.068 million ha respectively). Inland
culture fisheries, on the other hand, include ponds and ditches (0.26 million ha), baors (5,400 ha), and
coastal shrimp and fish farms (0.14 million ha).
Marine waters extend over 166,000 sq km of sea area, following the 1974 declaration of a 200 nautical
mile exclusive economic zone (EEZ), within which Bangladesh also has the right to exploit and
manage living and nonliving resources. Continental self is extended up to 40 fathoms deep region into
the sea. Area of fishing with drift met earmarked up to 40 meter depth of marine water at the highest
tide. The industrial fishing operates beyond 40 meter depth zone towards sea up to the EEZ of the
country.
A large variety of species of fish, prawn, and other aquatic organisms of economic importance inhabit
the waters of Bangladesh. In freshwater, 260 species belonging to 55 families have been identified. In
addition, 13 exotic freshwater fish species have been introduced. A total of 490 species of finfish
belonging to 133 families have been recorded in marine fisheries, of which 6570 species are
commercially important. About 56 species of Palemonid and Penaeid prawn occur in freshwater,
estuarine, and marine water ecosystem.
Moreover, around 25 species of tortoises and turtles are found in Bangladesh. In addition, a number of
invertebrate crustaceans of economic value inhabit floodplain waters. Eleven species of marine and 4
21 | P a g e
species of freshwater crabs are important for consumption. Several amphibian species also live in both
freshwater and marine systems. Various species of algae and seaweed of economic and food importance
have been identified in the coast and islands of the bay. Most aquatic species share the floodplains
region. Consumption of most of the fish species depends on availability and flooding intensity. Most of
the species annually move from rivers through canals to beels and floodplains and share ecological
niches.
Bangladesh is ideally suited for fish production, having one of the highest per capita water ratios in the
world, at 20 persons per ha of water area. Fish production for the year 200708 was 2.56 million metric
tons, of which 80.59% comes from inland fisheries and 19.41% comes from the marine waters. Inland
capture and culture fisheries contributed 41.36% and 39.23% respectively. Flood-lands (including the
regulated polders and enclosures) contribute most to inland capture fisheries (77.29). While river and
estuaries constitute large areas, they contribute little to total fish production (13%). Ponds, on the other
hand, provide the largest portion of total cultured based production (37.39%). Artisanal marine fisheries
contribute most to marine production (93.13%). The most common species has historically been Hilsa
(Tenualosailisha), which used to account for nearly half of the total marine catch and about 11.31% of
total fish production.
During the past several years, fish production in the country has been gradually increased. The annual
growth rates of production indicate that inland aquaculture grew fastest, followed by the marine sector.
Inland capture fisheries, on the other hand, are on a declining path. Inland aquaculture and marine and
brackish-water sectors likely have the largest future potential for growth
Agriculture is the single most important sector of the economy in Bangladesh. It is the major source of
livelihood in the rural areas, where some 80 percent of the population live. Approximately two-thirds of
the labour force is employed in agriculture. Although its share in the GDP is predictably declining,
agriculture (crops, livestock, fisheries and forestry) contributes approximately one-third of the GDP
and agricultural production accounts for 32 percent of the value of exports. The performance of this
sector affects the overall economic growth. With irrigation covering only around 42 percent of the
potentially irrigated area, agriculture is still weather dependent and has grown slower than was earlier
expected, particularly because of the predominantly small farmer holdings in Bangladesh.
However, Bangladesh is endowed with a favourable climate and soil conditions for the production of a
variety of crops all the year round. The rich genetic estate, the richness in ecosystem diversity, and the
vast untapped human resources who can learn and adopt new skills have been the major points of
comparative advantage in Bangladesh. Thus, there are ample opportunities for crop diversification
balancing the production of major crops with that of minor crops. The crop diversification programme
(CDP) was launched in the country during the early 1990's. A systematic arrangement of growing a
variety of crops in rotation with rice was undertaken, based on farmers' own choice and performances
with respect to soil and climatic conditions, thereby ensuring a variety of diverse dietary standards and
nutritional status of the rural households. Due attention was given to the protection of nutrient balances
in the soil and of all major basic resource endowments in crop production. Improved crop sequences
involving rotation of soil exhausting crops followed by recuperative ones, shallow rooted crops
followed by deep-rooted ones, legumes in rotation with non-legumes, etc., are envisaged to enrich and
maintain soil fertility and crop productivity. In this way it becomes possible to ensure some degree of
constancy in crop production, by destabilizing many of the limiting biotic and abiotic stresses.
23 | P a g e
The key objectives of agricultural development, involving sustainable intensification of rice production
and location-specific attempts on crop diversification in the small farmer holdings of Bangladesh, have
FY
200708
FY
200809
FY
200910
FY
201011
FY
201112
FY
201213 (P)
2.93
4.10
5.56
5.09
2.46
1.18
2.67
2.44
5.47
4.18
4.02
3.48
5.69
4.16
6.13
3.38
5.23
4.15
5.65
3.48
3.90
5.25
1.95
3.39
4.42
5.39
0.15
3.49
4.47
5.52
Agriculture and
Forestry (%)
Crop (%)
Livestock (%)
Forestry (%)
Fisheries (%)
FY
200708
FY
200809
FY
200910
FY
201011
FY
201112
FY
2012-13
(P)
Agricultu
re and
16.18
Forestry
(%)
Crop (%)
Livestock
11.64
2.79
15.91
11.43
15.81
11.42
2.73
2.65
1.75
1.73
4.58
4.49
15.58
11.32
2.58
15.02
14.33
10.86
10.25
2.51
2.45
(%)
Forestry
1.75
1.69
1.66
1.63
(%)
Fisheries
4.65
(%)
Source: Ministry of Finance, 2013
4.43
4.39
4.37
Agricultural growth is dependent on very wide-scale switch to HYV seed, but seed quality in general
remains a major problem. Bangladesh Agricultural Development Corporation (BADC), which has the
mandate to supply quality seeds, can supply only a miniscule part of the total demand. For example,
there is a need for 600,000 tons of potato seeds, but BADCs capacity is only 18 thousand tons. Various
related investments are needed to enhance provision of quality seeds in adequate quantities. Some of
the non-government organiza_ons and the private sector have started to enter the seed sector with
positive impacts on availability, although quality s_ll remains a vexing issue in some cases. Further
private-public partnerships for seed, marketing, and extension need to be explored.
Post-Harvest Losses
Post-harvest losses are conventionally thought to be high in Bangladesh. According to Bangladesh
Agricultural Research Ins_tute (BARI), the losses may be 1215 percent for rice andaround one-fourth
of non-rice crops. Recent informa_on, however, casts doubt on the loss figure for rice, which is now
es_mated to be about 78 percent of produc_on. On that basis, the return to investment for post-harvest
loss reductions may not seem high, unlike the case of non-rice crops, particularly high-value and highly
perishable crops like fruits and vegetables.
Soil Degradation
Soil degradation is common place in Bangladesh, whether manmade (for example, through unbalanced
use of fertilizers) or due to natural factors (salinity ingress in coastal areas, or landslides on hilly
terrain). Estimates by BARC (2000) indicate that problem soils may be major constraint to agricultural
growth. Organic matter depletion is observed in 7.5 million ha of land.Declining soil fertility, soil
erosion and salinization affect respectively 5.68.7 million ha, 5.3 million ha, and 3.05 million ha of
land. It is estimated that some 2 million metric tons of nutrients are removed from Bangladesh soils
annually. Unless compensated through balanced application of nutrients every year, the fertility of land
is expected to decline and so will its productivity. One estimate puts the cost of land degradation as 3
percent of crop output or 1 percent of crop GDP every year (BIDS 2004).
Apart from the natural factors, a major reason is unbalanced use of fertilizera reflection of the
historical legacy of low relative price of urea compared to non-urea fertilizers. Pricing policy, as along
with investments in awareness-raising for balanced fertilizer application and popularization of more
efficient fertilizer application techniques, can help preserve soil quality, raise output, lower costs of
production, and save the government budget huge amounts of money.
Marketing
In Bangladesh, productionis now largely for the market, as substantial parts of consumption is now
purchased (see Figure 4). Even for rice, nearly 70 percent of what is consumed is bought from the
market. Apart from dairy products, the percentage for all other types of food is much higher, possibly
nearly 100 percent. Quite a few of these products, including meat and dairy as well as wheat and sugar,
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are highly income-responsive. Both such income response as well as market behavior of households
indicate the need for improved marketing services, generally considered quite underdeveloped.
Technology Generation and Dissemination Systems
The National Agricultural Research System (NARS) consists of an apex organization the Bangladesh
Agricultural Research Council (BARC), together with nine other researchorganizations, including those
specializing in rice, various non-rice crops, sugarcane, jute, tea, and soil management. The NARS has a
poor public image despite the fact it has developed varieties that are resistant to flood submergence,
drought, and salinity, as well as of shorter maturity. The system is characterized by scarcity of resources
(discussed below), shortage of trained manpower, and lack of incentives due to a poor compensation
system. Moreover, the system is still largely dependent on conventional breeding research with a long
gestation period. Shortening the gestation period through biotechnology research has not yet been
attempted, whether due to inertia or lack of awareness at the scientist or policy levels.
Will the investments in agricultural research pay off? Asaduzzaman (2009) and current research by the
International Food Policy Research Institute (IFPRI) indicate they will. Asaduzzaman indicates that the
past rate of growth in factor productivity of 1 percent per year due to technological change will require
the crop sector output to grow at 3.7 percent, to achieve overall economic growth of 8 percent by 2015.
But if factor productivity grows by 1.5 percent per year due to a more efficient technology generation
system, the required rate of growth of output of crop agriculture is only 2.7 percent per annum.
Similarly, IFPRI research shows that if there is substantial investment in the agricultural research
system, yield of rice will grow by 7 percent by 2025 and by nearly 17 percent by 2050.
The supply of personnel trained in tertiary level agricultural disciplines is extremely critical for
sustaining capacity for technology generation. While the country has agricultural universities and
several agricultural colleges, a question hardly addressed is whether these are capable of supplying
sufficient trainedpersonnel of the type and category needed. We believe that education in agricultural
sciences and disciplines must be considered an integral part of the investment in agriculture as a whole,
and most importantly for technology generation and dissemination.Technology dissemination is as
important as technology generation. In general the link between the two is not well established or
defined. The extension system has its own weaknesses, and the so-called community-based extension
approach is probably neither understood nor practiced properly. The training and education system for
extension personnel is rather weak, dependent as it is on private training schools.
Agricultural Finance and Credit
In 2005, nearly a third of farmers had taken some loan (BBS 2006b). The proportion did not vary much
by farm size, but the amount of borrowing did. While marginal and small farmers borrowed TK
15,00016,000 per farm, medium farmers borrowed TK 25,000 and large farmers borrowed TK 51,000.
We do not know whether the non-borrowers did not need credit because they had self-financed their
activities, or if they did not have any activity to finance. Nor is it clear who provides the credit. While
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many banks in the formal sector provide credit, how much is provided by informal sources is not
known with any certainty. Hence the total credit availability for recent years is unknown.
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Existing climate variability can have pronounced detrimental economy-wide impacts. Future climate
change will exacerbate these negative effects. As shown in Figure 5, the simulated variability is
projected to cost the agriculture sector (in discounted terms) US$26 billion 6 in lost agricultural GDP
during the 200550 period (the gap between optimal and climate variability scenarios). Through
the linkage effects within the economy, existing climate variability is estimated to cost Bangladesh
$121 billion in lost national GDP during this period ($3 billion per year). This is 5 percent below what
could be achieved if the climate were optimal. As Figure 5 shows, the projected climate change will
further exacerbate these negative impacts.
Overall, agricultural GDP is projected to be 3.1 percent lower each year as a result of climate change
($7.7 billion in lost value-added). Climate change also has broader economy-wide implications. This is
estimated to cost Bangladesh $26 billion in total GDP over the 45-year period 200550, equivalent to
$570 million overall lost each year due to climate change an average annual 1.15 percent reduction
in total GDP. Average loss in agricultural GDP due to climate change is projected to be a third of the
agricultural GDP losses associated with existing climate variability. Uncertainty surrounding global
climate models (GCMs) and emission scenarios means that costs may be as high as $1 billion per year
in 200550, under less optimistic scenarios. Moreover, these economic losses are projected to rise in
later years, thus underlining the need to address climate-change related losses in the near term.
Feminization of Agriculture
One particular issue of importance for future agriculture may be the recent trend toward feminization.
(A separate paper looks at gender issues in food security.) While the proportion and absolute numbers
of male agricultural workers has fallen over 1999/00 and 2005/06, the absolute number of female
workers has increased from 3.8 to 7.7 millionthat is, by more than 100 percent. In fact, the
proportion of female labor in total employed agricultural labor has increased from 20 percent to more
than a third of the total. Such a feminization, apart from social implications, may raise questions
regarding the future organization of agricultural production as well as the nature of support required, as
discussed below:
PROSPECTS
There are, however, major constraints to expanding agriculture and ensuring food security arising from
several natural and man-made adverse factors. Without their resolution, agricultural growth will be
slow and limited, affecting everybody adversely.
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The soil is heavily degraded in many parts of the country; water availability is not ensured or costly,
and its use is often inefficient or wasteful, as discussed above. The issue of climate change threatens
extensive negative impacts on agricultural production potential and productivity. Part of the challenge
reflects over-dependence on rice, to the extent that it is grown even in areas that are not suitable for its
cultivation.
Several key issues need resolution to meet these challenges. First, we must plan for water resource
management, including both ground and surface water, to: balance, in the long run, between irrigated
boro and part rain-fed aman, particularly as boro is likely to be most affected by climate change;
minimize, wherever irrigation is needed, the use of costlier groundwater irrigation and substitute with
cheaper surface water-based irrigation; lower dependence on heavily cultivated areas and provide
opportunities for further growth in agriculture in less developed regions, such as the southwest and
others that have abundant water but need major water-related infrastructure; and minimize the
consumption of water, particularly in case of irrigated cultivation which in turn consumes energy
(diesel and electricity).
Second is the issue of maintaining soil health. What types of policies are needed, including pricing and
subsidy policies for fertilizer and irrigation support? How can crop diversification be encouraged along
with crop specialization, both to maintain soil health and to raise incomes of farmers?
Third, we need to prepare for adjustments and adaptation both to present climatic variability and to
future climate changes, which are expected to make Bangladesh highly food insecure particularly
through adverse impacts on boro rice production. What adaptation options should Bangladesh choose
so that agricultural growth can continue unimpeded?
Fortunately, the processes of adapting to climate change and stimulating the agriculture sector to
further growth align well. Both will require the following measures:
Moreover, the current large gap between actual and potential yields suggests substantial on-farm
opportunities_ for growth and poverty reduction. Expanded availability of modern rice varieties,
irrigation facilities, fertilizer use and labor could increase average yields at rates that could more than o
set the climate change impacts. Significant additional planning and investment are still needed, but the
government has begun to address many of these issues.
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Population Issues
Bangladesh is extremely heavily populated. The growth of population must be further curbed through
judicious policies and investment, including in awareness-raising. While many instruments have to be
explored and applied, one that must be uppermost in the minds of policymakers, given world-wide
experience, is raising the status of women through education (at least up to secondary level) and
through employment in out-of-home economic activities.7 This may not be enough; women must also
be in control of what they earn. Investments in womens education and positive discrimination in favor
of women in the job market, are therefore, absolutely necessary for any food security measure to
succeed in the long run.
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Shorter maturity,
Drought-resistance or low water consumption,
Resistance to moderate flood levels,
Salinity resistanceboth moderate and high,
Resistance to arsenic uptake,
Resistance to lodging in moderate storms, and
Suitability for cultivation in deep water areas.
In each case, disease and pest resistance also have to be built in and proper agronomic practices
developed for the optimal results.
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The conventional research method needs to be improved, and biotechnology research has to be
encouraged for faster breeding and genetic improvement. Of course, there will have to be a proper
regulatory system in such cases for risk assessment.
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A related important issue is limiting post-harvest losses. Rice may require a program targeted at
specific groups of farmers or geographic areas. But for high-value, highly perishable crops, these
losses must be reduced as fast as possible. Various kinds of o -the-shelf technology must be
promoted and made available to farmers and marketing agents, including farmer-level storage,
storage at market intermediary level, and prevention of transport loss through better packaging
methods.
The increased climatic variability, which is currently experienced and projected for the future
call, for a much strengthened insurance system to cover farmers all over the country. This will in
turn necessitate various kinds of financing and refinancing system to be put in place.
Investment Opportunities
Investments have to be made in the following areas, as discussed in more detail in this
section:
Prioritizing investment needs will depend on a host of factors and will require more in-depth
information and analysis, as indicated at the end of this section.
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CONCLUSION
Bangladesh is basically an agro based country .Agriculture remains the most important sector of
Bangladeshi economy, contributing 19.6 percent to the national GDP and providing employment
for 63 percent of the population. Agriculture in Bangladesh is heavily dependent on the weather,
and the entire harvest can be wiped out in a matter of hours when cyclones hit the country. If we
take proper step and upgrade our technology then we will be able to gain sovereignty in food.
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REFERENCE
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