Farmers' investments fail to match returns: Study

Farmers in the country invest laboriously in growing crops but do not receive a return equal to their investment, as revealed in a study published by the Bangladesh Institute of Development Research (BIDS).

Dr MA Sattar Mandal, agricultural economist and emeritus professor at Bangladesh Agricultural University, presented the paper titled "Political Economy of Agrarian Futures in Bangladesh: Insights from a Scoping Study" on the third day of the annual conference organised by BIDS at a hotel in Dhaka on Saturday.

As per the study findings, allocating 18% of the budget to seeds, fertilisers, pesticides, and herbicides results in a return of 13%. Investing 23% in machinery yields a return of 16%. Furthermore, dedicating 27% to family labour corresponds to a return of 19%, while allocating 32% to hired labour leads to a return of 22%.

During the seminar, speakers highlighted that agriculture in Bangladesh was traditionally confined to family farms, where landowners cultivated for personal use without farming for others. 

However, the introduction of various technologies, including irrigation, new crop varieties, and mechanisation, has ushered in a new era in agriculture, providing opportunities for the landless and sharecroppers.

MA Sattar Mandal said, "There was once a notion that the landless would phase out of agriculture. However, the current scenario reveals that landowners often lack family labour for farming and are opting to lease their land. This dynamic is creating a mutually beneficial situation for both parties."

He added, "Technology plays a crucial role in facilitating this shift, and its influence continues to expand. This development is a positive aspect for overall food management."

Hossain Zillur Rahman, executive chairman of the Power and Participation Research Centre, said, "Efforts are underway to embrace climate-resilient agriculture, exemplified by a revolution in pumpkin cultivation in Jamuna pastures."

"At the policymaking level, we need to adopt a broader perspective to propel agriculture forward, as it remains a pivotal resource to navigate any crisis situation," he said.