BNP agitation hit farmers the most: M Asaduzzaman

Disruption in moving farm produces during the 45 days of BNP-driven blockade and general strikes have left Bangladesh’s rural economy in doldrums, says a leading agricultural economist.

Abdur Rahim Badal Chief Economics Correspondentbdnews24.com
Published : 16 Feb 2015, 06:35 AM
Updated : 16 Feb 2015, 08:21 PM

It is the farmers who have suffered the most during the BNP’s agitation, according to M Asaduzzaman, a Professorial Fellow at the Bangladesh Institute of Development Studies (BIDS).

In an interview with bdnews24.com, he said that farm products were rotting in the fields or sold-off at prices way below production costs as the blockade and shutdowns is hampering movements of these commodities to urban markets.

“It’s the farmers’ hands, which is being burnt in the ongoing violent politics. If it is not treated, the wounds would remain. They will not be able to do farming anymore. They will die and leave us no alternative. The economy will suffer in the long-run,” said Asaduzzaman.

bdnews24.com: What is the situation of the agriculture sector amid the blockade and shutdowns?

M Asaduzzaman:
There are two kinds of impact. Firstly, the transportation crisis had led to a fall in supply of vegetables from the North and Southwest region of the country to other parts. Growers are forced to sell them at lower prices. Some are not even picking them up and are leaving them to rot on the fields. Let alone profit, farmers are not being able to recover production cost. This is what I am saying that the agitation is burning the hands of the farmers.

Secondly, the farmers, who are hit, will not be able to start Boro rice farming after two months as they have face severe losses. So, the recent trends of rising Boro crop output over the last few years will not happen. And if there’s poor Boro harvest, the farmers will not focus on vegetable farming. Overall, the farming sector will suffer in the long run.

How do you think this situation should be dealt with?

The major issue is how to bring back normalcy in the country. Along with that, the government needs to take some emergency steps (to compensate the farming sector’s loss). Assistance for buying fertiliser, fuel, seeds and even financial support will be needed, so that they can start farming again.

Which (agricultural) sector has been affected the most in the blockade and shutdowns?

All the sectors suffered, but our staple commodity rice has not suffered that much. The Aman crop harvest happened before the violence started and the Boro crop season starts after two months. It can be said that the rice farmers averted the losses.

Growers of vegetables, fruits and flowers are the most affected. The poultry industry and pisciculture have also suffered. Those in floriculture lost the peak business of Valentines’ Day and Pohela Falgun (celebrations of the arrival of Spring).

What would be the impact of this on the overall economy?

The farming sector contributes almost 60 percent of our economy. Now if that comes down to 54 to 55 percent than the GDP growth of 6.12 percent of last year might not be achieved this year. The 6 percent growth, which sustained over the last few years, might stumble. And there are other economic impacts and if the losses of farming sector is added to that the impact is huge.

It seems that the situation has improved in the last few days. Vehicles are plying and transportation of commodities has increased. Do you think the crisis is on its way to finish?

Yes, it seems so. But the people are still in panic. They have come out to work risking their lives. Plying of vegetable-loaded trucks slumped in the first week after the blockade started on Jan 5, but it increased after security was ensured on highways. Though businessmen are getting farm outputs at low price, transportation cost is high, so the profit is not that much and you have to deal with physical risk to life and limb all the time.

Do you think it is possible to make up the losses of farming sector?

I have said earlier, that it is not possible to make up the losses, which have already occurred. The government needs to take steps to avert further losses. Assistance for farmers, like it happens after flood and other natural calamities, will be needed.

I think the concerned government wings should start to work on this immediately.