Paddy price should be Tk 1,200 per maund: Barkat

Paddy prices should be set at Tk 1,200 per maund (1 maund = 37.42 kg) by adding the value of farm labour cost with the production cost, Bangladesh Economic Association has suggested.

BEA President Abul Barkat made the suggestion in Dhaka on Saturday while presenting the association’s budget proposal for the upcoming fiscal year.

Low paddy price has frustrated the farmers across Bangladesh after a bumper harvest in the current season. Some farmers even set their paddy field on fire in protest against the low prices.

The BEA urged the government to ensure fair prices of the grain for the farmers.

"The actual losses of the farmers this year will be at least Tk 500 (per maund) in Boro crop. There is enough reason for the government to worry about this,” said Barkat.

The government is procuring paddy at Tk 1,040 per maund from the farmers. But many farmers were forced to sell the paddy at Tk 500-600 per maund, which is well below the production cost, to the middlemen as the government’s procurement delayed.

“The Boro crop production cost is estimated at more than Tk 600 (per maund), excluding the labour cost. But if the labour cost is included, the selling price should stand at Tk 1,200,” said Barkat, a professor of economics.

“Only fixing the government’s procurement rate at minimum 20 percent more than the production cost will not work. It must be ensured that the real farmers get that market price without any trouble.”