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Rice price stabilization in Bangladesh

Listed author(s):
  • Dorosh, Paul A.
  • Shahabuddin, Quazi

To meet its overall objective of ensuring food security for all households, the Government of Bangladesh undertakes several activities: it intervenes in markets to stabilize prices, targets food distribution to poor households and provides emergency relief after natural disasters. This paper provides measures of the variability of domestic and international rice prices, and examines the mix of government intervention and private sector participation in rice markets. The analysis shows that the relatively high degree of price stability achieved in the 1990s was due in large part to private sector imports that stabilized markets following major production shortfalls. Domestic rice procurement contributed relatively little to raising domestic producer prices at harvest time, involved only a small percentage of farmers, and incurred excessive costs following successful harvests because of procurement prices set far in excess of market prices.

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Paper provided by International Food Policy Research Institute (IFPRI) in its series MSSD discussion papers with number 46.

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Date of creation: 2002
Handle: RePEc:fpr:mssddp:46
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  1. Awudu Abdulai & Christopher Delgado, 2000. "An Empirical Investigation of Short- and Long-run Agricultural Wage Formation in Ghana," Oxford Development Studies, Taylor & Francis Journals, vol. 28(2), pages 169-185.
  2. Christopher Delgado & Pierre Crosson & Claude Courbois, 1997. "The Impact of Livestock and Fisheries on Food Availability and Demand in 2020," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(5), pages 1471-1475.
  3. Goletti, Francesco & Minot, Nicholas, 1997. "Rice markets, agricultural growth, and policy options in Viet Nam," MTID discussion papers 14, International Food Policy Research Institute (IFPRI).
  4. Minot, Nicholas, 2000. "Generating Disaggregated Poverty Maps: An Application to Vietnam," World Development, Elsevier, vol. 28(2), pages 319-331, February.
  5. Goletti, Francesco & Minot, Nicholas & Berry, Philippe, 1997. "Marketing constraints on rice exports from Viet Nam," MTID discussion papers 15, International Food Policy Research Institute (IFPRI).
  6. Kherallah, Mylène & Minot, Nicholas & Gruhn, Peter, 1999. "Adjustment of wheat production to market reform in Egypt," MTID discussion papers 32, International Food Policy Research Institute (IFPRI).
  7. Staal, Steven & Delgado, Christopher L. & Nicholson, Charles F., 1996. "Smallholder dairying under transactions costs in East Africa," MTID discussion papers 9, International Food Policy Research Institute (IFPRI).
  8. Rashid, Shahidur & Sharma, Manohar & Zeller, Manfred, 2002. "Micro-lending for small farmers in Bangladesh," MTID discussion papers 45, International Food Policy Research Institute (IFPRI).
  9. Fafchamps, Marcel & Minten, Bart, 2001. "Property Rights in a Flea Market Economy," Economic Development and Cultural Change, University of Chicago Press, vol. 49(2), pages 229-67, January.
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