Food policy liberalization in Bangladesh: how the government and the markets delivered
"Three factors, advent of new technology (HYV), development of infrastructure and market liberalization working in tandem have delivered favorable food security outcomes for Bangladesh. Bangladesh's food-policy has benefited from a liberalized trade regime and a consistent downsizing of the government, all with favorable effects on poverty and nutrition. Post liberalization, the findings suggest a perceptible increase in the cost-effectiveness of the public food grain distribution system (PFDS). The favorable effects of liberalization are also evident in growths in outputs, market size, the size of private stocks, the emergence of a two peak harvest seasonality, and finally in declining real rice prices. The government has moreover downsized the PFDS, making poverty-reduction a priority basis for grain allocation. While imports relative to total availability have remained virtually unchanged during the last 25 years, public issue relative to the availability has fallen by about a half. Average food grain consumption has fallen slightly during the 1990s but in face of rising incomes, this could partly be driven by diversifying tastes. Comparing the efficiency of the private and the public sector, the private marketing margin is slightly higher. In spite of the significant advantage(s) enjoyed by the public sector, the margin being thin is significant. In order to account for the expected global changes under the Doha round, simulations using competitive spatial-equilibrium models for the world's rice and wheat markets forecast increase in prices for rice and wheat by 21.7% and 10.1% respectively by 2013. USDA global CGE models (2001) show figures of increase in wheat prices by 18.1%, and rice prices by 10.1%. These estimates are used in a multi-market model for Bangladesh as estimates for global price shocks. Sensitivity analysis shows that over a range of values involving both an upper and a lower limit, small declines will occur in real incomes and caloric levels of both urban poor and rural landless households, while large farms will experience a small gain in their real incomes. Based on values corresponding to the lower limit, overall effects on food security are however quite small." Authors' Abstract
|Date of creation:||2006|
|Contact details of provider:|| Postal: 1201 Eye Street, NW, Washington, DC 20005-3915|
Web page: http://www.ifpri.org/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- von Braun, Joachim & Gulati, Ashok & Hazell, P.B.R. & Rosegrant, Mark W. & Ruel, Marie T., 2005.
"Indian agriculture and rural development: Strategic issues and reform options,"
1, International Food Policy Research Institute (IFPRI).
- von Braun, Joachim & Gulati, Ashok & Hazell, P.B.R. & Rosegrant, Mark W. & Ruel, Marie T., 2005. "Indian agriculture and rural development: Strategic issues and reform options," Issue briefs 35, International Food Policy Research Institute (IFPRI).
- P. J. Dawson & P. K. Dey, 2002. "Testing for the law of one price: rice market integration in Bangladesh," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(4), pages 473-484.
- Ahmed, Akhter U. & Rashid, Shahidur & Sharma, Manohar & Zohir, Sajjad, 2004. "Food aid distribution in Bangladesh," FCND briefs 173, International Food Policy Research Institute (IFPRI).
- Dorosh, Paul A. & Farid, Naser, 2003. "Implications of quality deterioration for public foodgrain stock management and consumers in Bangladesh," MSSD discussion papers 55, International Food Policy Research Institute (IFPRI). Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:fpr:mtiddp:92. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.