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Analysing Intra-Year Price Variations And Price Flexibility Of Selected Crops For Local Level Planning In Bangladesh

Author

Listed:
  • Salam, Shakila
  • Alam, Shamsul
  • Moniruzzaman, M.

Abstract

Realizing the significance of crop production, this paper has attempted to determine own-price flexibilities and cross- price flexibilities of selected crops viz. Boro paddy, wheat, lentil and potato, and estimate monthly price variations for local level planning. In estimating own-price fluctuation of selected crops, price flexibility coefficients have turned out significant, except lentil. Among these crops, quantity of Boro paddy was highly responded to its price. Cross-price flexibilities of Boro paddy with Aman and wheat were found negative, meaning that these crops are substitute. It implied that, increase in the quantity of one reduces the price of another. Positive flexibilities were also found in Boro with potato, wheat with potato and lentil with potato, which means two crops were competing in production for using the same resources. Three years average price variations depict that prices of the selected crops fluctuated from month to month especially before harvest period. It was also found that price pattern of crop may not be same in all markets except potato markets. By knowing the local price variations farmers may take appropriate selling and storing decisions, which may help them to get higher price from the market.

Suggested Citation

  • Salam, Shakila & Alam, Shamsul & Moniruzzaman, M., 2011. "Analysing Intra-Year Price Variations And Price Flexibility Of Selected Crops For Local Level Planning In Bangladesh," Bangladesh Journal of Agricultural Economics, Bangladesh Agricultural University, vol. 34(1-2), pages 1-09, December.
    • Handle: RePEc:ags:bdbjaf:199352
    DOI: 10.22004/ag.econ.199352
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    References listed on IDEAS

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    1. Ahmed, Raisuddin & Bernard, Andrew, 1989. "Rice price fluctuation and an approach to price stabilization in Bangladesh:," Research reports 72, International Food Policy Research Institute (IFPRI).
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    Keywords

    Agricultural and Food Policy;

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