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Bumper Crops, Producer Incentives And Persistent Poverty: Implications For Food Aid Programs In Bangladesh

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  • Dorosh, Paul A.
  • Shahabuddin, Quazi
  • Aziz, Md. Abdul
  • Farid, Naser

Abstract

Food aid has played a useful role in Government of Bangladesh efforts to increase food security in the last three decades, adding to foodgrain availability, supplying wheat for targeted distribution to poor households, and helping to finance development projects and programs. However, sustained increases in domestic production of both rice and wheat have increased the likelihood of disincentive effects arising from continued large inflows of food aid. The analysis shows that if good rice harvests continue so that real rice prices remain at their levels of 2000, and if international wheat prices return to their average 1995-99 levels, then public wheat distribution may need to be cut to levels below the current amount of food aid received (650 thousand tons in 2000/2001) to avoid reducing domestic prices below import parity. However, resources will continue to be required for programs that increase access to food by the poor, contribute to increased utilization of food and result in improved nutritional outcomes, even if the need for food aid to increase availability of foodgrains diminishes.

Suggested Citation

  • Dorosh, Paul A. & Shahabuddin, Quazi & Aziz, Md. Abdul & Farid, Naser, 2002. "Bumper Crops, Producer Incentives And Persistent Poverty: Implications For Food Aid Programs In Bangladesh," MSSD Discussion Papers 16218, CGIAR, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:ags:iffp11:16218
    DOI: 10.22004/ag.econ.16218
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    References listed on IDEAS

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    1. Singer, Hans & Wood, John & Jennings, Tony, 1987. "Food Aid: The Challenge and the Opportunity," OUP Catalogue, Oxford University Press, number 9780198285182.
    2. Coate, Stephen, 1989. "Cash versus direct food relief," Journal of Development Economics, Elsevier, vol. 30(2), pages 199-224, April.
    3. Paul Dorosh & Steven Haggblade, 1995. "Filling the Gaps: Consolidating Evidence on the Design of Alternative Targeted Food Programmes in Bangladesh," Bangladesh Development Studies, Bangladesh Institute of Development Studies (BIDS), vol. 23(3-4), pages 47-80.
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    2. Abdulai, Awudu & Barrett, Christopher B. & Hazell, Peter B. R., 2004. "Food aid for market development in Sub-Saharan Africa," DSGD discussion papers 5, International Food Policy Research Institute (IFPRI).
    3. del Ninno, Carlo & Dorosh, Paul A., 2002. "In-Kind Transfers And Household Food Consumption: Implications For Targeted Food Programs In Bangladesh," FCND Discussion Papers 16413, CGIAR, International Food Policy Research Institute (IFPRI).
    4. Dorosh, Paul A. & Shahabuddin, Quazi, 2002. "Rice price stabilization in Bangladesh: an analysis of policy options," MSSD discussion papers 46, International Food Policy Research Institute (IFPRI).
    5. Shahabuddin, Quazi & Dorosh, Paul A., 2002. "Comparative advantage in Bangladesh crop production," MSSD discussion papers 47, International Food Policy Research Institute (IFPRI).
    6. Mohajan, Haradhan, 2013. "Food, Agriculture and Economic Situation of Bangladesh," MPRA Paper 54240, University Library of Munich, Germany, revised 18 Aug 2013.
    7. Mohajan, Haradhan, 2013. "Food and nutrition of Bangladesh," MPRA Paper 53527, University Library of Munich, Germany, revised 11 Nov 2013.
    8. Delgado, Christopher L. & Rosegrant, Mark W. & Wada, Nikolas & Meijer, Siet & Ahmed, Mahfuzuddin, 2002. "Fish as food: projections to 2020 under different scenarios," MSSD discussion papers 52, International Food Policy Research Institute (IFPRI).
    9. Rashid, Shahidur & Sharma, Manohar P & Zeller, Manfred, 2004. "Micro-Lending for small farmers in bangladesh: Does it affect farm households' land allocation decision?," Journal of Developing Areas, Tennessee State University, College of Business, vol. 37(2), pages 13-29, January-M.
    10. del Ninno, Carlo & Dorosh, Paul A., 2002. "In-kind transfers and household food consumption: implications for targeted food programs in Bangladesh," FCND discussion papers 134, International Food Policy Research Institute (IFPRI).
    11. Nicholas Minot & Lisa Daniels, 2005. "Impact of global cotton markets on rural poverty in Benin," Agricultural Economics, International Association of Agricultural Economists, vol. 33(s3), pages 453-466, November.
    12. Barrett, Christopher B., "undated". "Food aid's intended and unintended consequences," ESA Working Papers 289062, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
    13. Gulati, Ashok & Narayanan, Sudha, 2002. "Rice Trade Liberalization And Poverty," MSSD Discussion Papers 16214, CGIAR, International Food Policy Research Institute (IFPRI).

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