State of the Bangladesh Economy in FY2021-22
Independent Review of
RBD
Bangladesh's Development
2.1 Changes in prices in the Supply Chain of
Rice: Farmgate, Wholesale and Retail Markets
Domestic production, consumption and deficit:
□ Domestic supply chain of rice is operating primarily on the basis of domestic production and
supply.
☐ It is important to note that domestic production of rice has maintained considerable growth over
the last several years.
➤ On the other hand, domestic consumption also maintained consistent growth (1% per year)
over the years.
Despite having the good harvest of rice, this is found to be inadequate to meet domestic demand.
As a result, there was a deficit in rice supply from the local market.
➤ Moreover, the deficit in the local market, unless properly managed, would create scopes for
market manipulation by different concerned actors.
Table: Domestic Production and Consumption of Rice (in ‘000 metric tons)
Domestic Consumption
Domestic Production
Year
Production
Growth Rate
Domestic
Consumption
Growth
Surplus/deficit
Rate
2015
34500
0.00%
35100
0.00%
-600
2016
34578
0.23%
35000
-0.28%
-422
2017
32650
-5.58%
35200
0.57%
-2550
2018
34909
6.92%
35400
0.57%
-491
2019
35850
2.70%
35700
0.85%
150
2020
34600
-3.49%
36100
1.12%
-1500
2021
36250
4.77%
36700
1.66%
-450
CPD (2021): State of the Bangladesh Economy in FY2021-22 (First Reading)View entire presentation