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Environmental constraints and profitability relationships in agriculture: a case study of wheat farming in Bangladesh

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  • Sanzidur Rahman
  • M. Hasan

Abstract

This article attempts to measure the influence of environmental constraints on profitability and resource use in agriculture by utilizing survey data of 293 wheat farmers from three regions of Bangladesh. Analysis is based on a profit function, where the selected variables representing environmental constraints were incorporated as additional fixed factors. Results revealed that environmental constraints have a significant influence on both profitability and farmers’ resource allocation decisions. Output supply and input demands were significantly affected by land suitability and other environmental constraints (i.e. a combination of poor soil fertility, pest and weed infestation and weather variation). The policy implications include development of wheat varieties that are suitable for low lying and/or marginal areas, are resistant to insect and pest attacks and can withstand weather variations. Also, soil fertility improvement through soil conservation and crop rotation, improvement in managerial practices through extension services and strengthening of research–extension link will improve profitability.

Suggested Citation

  • Sanzidur Rahman & M. Hasan, 2011. "Environmental constraints and profitability relationships in agriculture: a case study of wheat farming in Bangladesh," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 16(4), pages 630-643.
    • Handle: RePEc:taf:rjapxx:v:16:y:2011:i:4:p:630-643
    DOI: 10.1080/13547860.2011.621365
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    Cited by:

    1. Sanzidur Rahman & Mohammad Mizanul Haque Kazal & Ismat Ara Begum & Mohammad Jahangir Alam, 2016. "Competitiveness, Profitability, Input Demand and Output Supply of Maize Production in Bangladesh," Agriculture, MDPI, vol. 6(2), pages 1-14, May.

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