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Foodgrains policy in Bangladesh

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The grains policies of the government of Bangladesh are described and analysed in this paper. Price policies directly affecting the Bangladesh food production sector have significant effects, but other policies are also highly important. Macroeconomic policies and protection accorded to other sectors of the economy, such as industrial tariff and commercial policies, also influence the grains sector indirectly. Indirect policies affect the net returns to grain producers as relative prices are changed, and this in turn influences the allocation of resources between different grain and non-grain crops within agriculture, between agriculture and non-agriculture and between domestic production and imports. The grains policy analysis carried out in this paper attempts to capture these indirect as well as direct effects through the use of an economy-wide computable general equilibrium model of the Bangladesh economy. -Authors

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Economics Division Working Papers, South Asia - Australian National University, Research School of Pacific and Asian Studies

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