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Impact of Agricultural Kind Support System on the Rural Farm Economy of Bangladesh

Tanvir M. B. Hossain
Senior Scientific Officer
Agricultural Economics Division, BARI, Gazipur

Dr. M. A. Monayem Miah
Senior Scientific Officer
Agricultural Economics Division, BARI, Gazipur

S. Hossain
Chief Scientific Officer
Agricultural Economics Division, BARI, Gazipur

Abstract/ Executive Summary:

The field survey of the study was conducted in the FY 2011-12 to evaluate the impact of kind support to the Aus rice producer which was given in the FY 2011-12 Aus season. The study areas were selected purposively from Aus rice growing areas of Bangladesh. For the evaluation of kind support system the selected study areas were Sadar upzila of Dinajpur, Rajshahi, Jessore, Mymensingh, Comilla and Potuakhali district. A total of 600 samples for kind support evaluation were selected through stratified random sampling procedure to achieve the objectives of this study.The assessment and evaluation of the kind support system through providing Urea 20 kg, TSP 10 kg., and MoP 10 kg were carried out in this study. The study revealed that 79% of farmer evaluated and supported that Aus rice production stimulus fertilizer package was a very good system. The cost and return analysis estimated that government provided NPK fertilizer was valued Tk 766. The study revealed that the BCR of Aus rice production by the supported farmer was higher compare to if no support was given.

Keywords: Impact, Kind support, Supported farmer, Unsupported farmer

Location: Dinajpur, Rajshahi, Jessore, Mymensingh, Comilla and Potuakhali districts

Start Date: 00-00-2011

End Date: 00-00-2012

Program Area: Socio-economic and Policy

Non-commodity: Subsidy

Objectives:

i. Assessment of socio-economic profile of supported and unsupported farmer; ii. Evaluation of kind support programme performance from the farmer’s insight; iii. Estimation of contribution and impact of kind support on rice production economy and iv. Identification of policy reform options to improve the system and government support

Methodology:

The field survey of the study was conducted in the FY 2011-12 to evaluate the impact of kind support to the Aus rice producer which was given in the FY 2011-12 Aus season. The study areas were selected purposively from Aus rice growing areas of Bangladesh. For the evaluation of kind support system the selected study areas were Sadar upzila of Dinajpur, Rajshahi, Jessore, Mymensingh, Comilla and Potuakhali district. As the kind support was distributed to the country wide, therefore 6 districts were selected to understand the wideness of the support system in the country. 50 supported and 50 unsupported farmers were selected from each of the study area (extension block) of the respective upazila of each district. A total of 600 samples for kind support evaluation were selected through stratified random sampling procedure to achieve the objectives of this study. Two groups of farmers were chosen to compare perception of kind support and other support programme and comparative profitability between the supported and unsupported farmer of the study area. The dependency ratio of the farmer was calculated by the ratio between the total family member and total number of earning member of the family. Rank order technique was followed to identify the performance of kind support system.

Source of Information: Annual Research Report 2011-2012, Agricultural Economics Division, BARI, Gazipur

Article Link (Online Journal):

Funding Source:

1. Bangladesh Agricultural Research Council

Budget:

Total Budget (Tk.) :

Achievement/Findings:

The assessment and evaluation of the kind support system through providing Urea 20 kg, TSP 10 kg., and MoP 10 kg were carried out in this study. The study revealed that 79% of farmer evaluated and supported that Aus rice production stimulus fertilizer package was a very good system. Government provided NPK fertilizer was valued Tk 766. The value of fertilizer package shared 15% of the fertilizer cost and 2.59% of the total variable cash cost (TVCC) and 1.47% of the without support total cost (WS-TC) which was incurred to produce per hectare Aus rice by the farmer. The amount of the urea fertilizer provided as support was 20% of the total urea applied, the amount of TSP was 13% of the total TSP applied and the amount of MoP was 14% of the total MoP applied by the farmer. About 54% of the farmer mentioned that the amount of the fertilizer given was not enough, they advised to provide 43 kg urea, 26 kg TSP and 23 kg of MoP. In comparison of the cash support for irrigation and kind support for fertilizer, highest percentage of the sample farmer (74%) supported that direct fertilizer support was better than cash support. BCR of Aus rice production by the supported farmer was higher compare to if no support was given. When the support was given the BCR (TVC-Cash) was little higher (2.04) compare to the BCR (TVC-Cash) 1.98 achieved by the supported farmer if support would not be given. The comparative BCR (TC) was higher (1.1) in supported farmer group compare to the 1.07 BCR (TC) of unsupported farmer group. Though the performance was very good but still there is room the make it more efficient because there is need to increase the amount of fertilizer and number of farmer.

Knowledge Management: Report/Proceedings