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Food quality changes and implications: Evidence from the rice value chain of Bangladesh

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  • Minten, Bart
  • Murshid, K.A.S.
  • Reardon, Thomas

Abstract

In Dhaka, the capital of Bangladesh—one of the poorest countries in Asia, where rice accounts for almost 70 percent of consumers’ caloric intake—the share of the less expensive coarse rice is shown to be rapidly decreasing in rice markets and the quality premium for the fine rice has been consistently on the rise in the last decades. It thus seems that the role of rice as only a cheap staple food is being redefined. The increasing demand for the more expensive varieties is seemingly associated with a more important off-farm food sector—in particular, milling, retailing, and branding—as well as a transformed milling industry. We further find that the labor rewards for growing different rice varieties are not significantly different and that farmers do not benefit directly from consumers’ increased willingness to pay for rice.

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  • Minten, Bart & Murshid, K.A.S. & Reardon, Thomas, 2012. "Food quality changes and implications: Evidence from the rice value chain of Bangladesh," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 125280, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae12:125280
    DOI: 10.22004/ag.econ.125280
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    3. Prakash P., & Kishore A., & Roy D., & Behura D. & Immanuel S., 2017. "Biofortification for Reducing Hidden Hunger: A Value Chain Analysis of Sweet Potato," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 30(2).
    4. Abdulai Adams & Emmanuel Tetteh Jumpah & Kehinde Damilola Ilesanmi & Hajei Douri Bennin, 2019. "Analysis of parboiled rice processing in northern region of Ghana: determinants, constraints and opportunities," Asian Journal of Agriculture and rural Development, Asian Economic and Social Society, vol. 9(2), pages 284-297, December.
    5. Baker, Derek & Mtimet, Nadhem, 2013. "It depends who you ask: How to establish a sampling frame for traders?," 2013 Fourth International Conference, September 22-25, 2013, Hammamet, Tunisia 159701, African Association of Agricultural Economists (AAAE).
    6. Curzi, Daniele & Pacca, Lucia, 2015. "Price, quality and trade costs in the food sector," Food Policy, Elsevier, vol. 55(C), pages 147-158.
    7. Iqbal, Kazi & Tsubota, Kenmei & Shonchoy, Abu S & Hoque, Mainul, 2018. "Distributional impact of political violence : evidence from differential impacts on commodity price," IDE Discussion Papers 711, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    8. Krzysztof Drachal, 2019. "Analysis of Agricultural Commodities Prices with New Bayesian Model Combination Schemes," Sustainability, MDPI, Open Access Journal, vol. 11(19), pages 1-23, September.
    9. McFall, William A. & Magnan, Nicholas & Spielman, David J., 2013. "Hybrid Rice as a Pro-Poor Technology? Evidence from Bangladesh," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150150, Agricultural and Applied Economics Association.
    10. Hendrik Feyaerts & Goedele Van den Broeck & Miet Maertens, 2020. "Global and local food value chains in Africa: A review," Agricultural Economics, International Association of Agricultural Economists, vol. 51(1), pages 143-157, January.
    11. Minten, Bart & Tamru, Seneshaw & Reardon, Thomas, 2021. "Post-harvest losses in rural-urban value chains: Evidence from Ethiopia," Food Policy, Elsevier, vol. 98(C).
    12. Reardon, Thomas & Echeverria, Ruben & Berdegué, Julio & Minten, Bart & Liverpool-Tasie, Saweda & Tschirley, David & Zilberman, David, 2019. "Rapid transformation of food systems in developing regions: Highlighting the role of agricultural research & innovations," Agricultural Systems, Elsevier, vol. 172(C), pages 47-59.
    13. Schwarz, Jana & Mathijs, Erik & Maertens, Miet, 2015. "Changing patterns of global agri-food trade and virtual water flows," Working Papers 200308, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    14. Diagne, Mandiaye & Demont, Matty & Ndour, Maïmouna, 2017. "What is the value of rice fragrance? Consumer evidence from Senegal," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 12(2), June.
    15. Rosa Paula Cuevas & Valerien O Pede & Justin McKinley & Orlee Velarde & Matty Demont, 2016. "Rice Grain Quality and Consumer Preferences: A Case Study of Two Rural Towns in the Philippines," PLOS ONE, Public Library of Science, vol. 11(3), pages 1-17, March.
    16. Abu Hayat Md. Saiful Islam & Joachim Braun & Andrew L. Thorne-Lyman & Akhter U. Ahmed, 2018. "Farm diversification and food and nutrition security in Bangladesh: empirical evidence from nationally representative household panel data," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 10(3), pages 701-720, June.
    17. Jana Schwarz & Erik Mathijs & Miet Maertens, 2015. "Changing Patterns of Global Agri-Food Trade and the Economic Efficiency of Virtual Water Flows," Sustainability, MDPI, Open Access Journal, vol. 7(5), pages 1-22, May.

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    Agricultural and Food Policy; Consumer/Household Economics; Food Consumption/Nutrition/Food Safety;
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