Food security under threat
Sunday, 11 November 2007
Country's food security seems to be under serious threat, both in short and long terms. Two consecutive floods in the months of July and August this year, disruptions in the supply of farm inputs, including fertilisers, seeds and diesel, have resulted in the fall in Aus and Aman rice output. On the top of everything, the prices of most food items have skyrocketed and rice and wheat become scarce in the international market. Shortfall in the production of rice, wheat, soybean and palm oils, lentil, powdered milk etc., in major exporting countries this year has made the global agricultural commodities market extremely volatile. Rising abnormalities in weather conditions in most part of the world are being blamed for poor production of most agricultural items.
At home, the prices of rice, wheat, lentil, edible oils, powdered milk etc., have been rising unabatedly and there is no sign of any letup in the uptrend in the coming months. The middle and low income people, who have their back to the wall as far as prices of food items are concerned, are now groaning in pain. Even after cutting down their daily consumption of different food items, these people are finding it hard to get the both ends to met. A sense of desperation is developing fast among the vast majority of the population and the government would be committing a big mistake if it fails to read the situation.
There is no denying that the present interim administration has exhausted all possible means, including limited market intervention, to rein in the prices of essential food items. But the fact remains that any intervention mechanism hardly works if both external and internal factors remain hostile. For instance, the government could keep the prices of most essential items stable during the holy month of Ramadan through market intervention by the Bangladesh Rifles and strong market monitoring by the 'joint forces'. The para-military force imported food items on its own and operated a number of wholesale and retail outlets in Dhaka city. But, in reality, that was a sort of marketing of food items at subsidised prices. However, the price stability achieved through market-intervention or strong monitoring had fallen apart as soon as the administration relaxed its price control mechanism immediately after Ramadan and prices of rice, wheat, edible oils and milk powder started rising again. A kilogram of coarse variety of rice is now being sold at Tk.25, atta at Tk.38, a litre of soybean oil at over Taka 90 and a kg of onion (local variety) at Tk 60-Tk 65. Most people refuse to believe their ears when grocers ask such high prices.
In the backdrop of such development on the price front, the food adviser does not have, at least for the time being, any good news for the consumers. He told newsmen a few days back that the food grain prices were unlikely to ease before next March, when harvesting of Boro rice starts. The harvest of Aman rice, in the meantime, is expected to leave a soothing effect on the rice price situation but for a very brief period. It seems that the government and the growers have pinned much hope on next Boro rice crop, which is considered the most 'safe' crop because of a stable and favourable weather condition. Nature is found to be very friendly to the farmers during this season. But, at times, manmade developments such as scarcity of seed, fertilisers and diesel and severe power load-shedding during peak season might create serious problems. The government needs to ensure at all costs the availability of all farm inputs during the upcoming Boro and Rabi crop season. There is no alternative to higher production of food grains and scopes are there to achieve that since the per-acre yield of rice in Bangladesh is well below of that in other Southeast Asian countries and China. Increased production of rice and wheat can only safeguard the country's short and long term food security.
At home, the prices of rice, wheat, lentil, edible oils, powdered milk etc., have been rising unabatedly and there is no sign of any letup in the uptrend in the coming months. The middle and low income people, who have their back to the wall as far as prices of food items are concerned, are now groaning in pain. Even after cutting down their daily consumption of different food items, these people are finding it hard to get the both ends to met. A sense of desperation is developing fast among the vast majority of the population and the government would be committing a big mistake if it fails to read the situation.
There is no denying that the present interim administration has exhausted all possible means, including limited market intervention, to rein in the prices of essential food items. But the fact remains that any intervention mechanism hardly works if both external and internal factors remain hostile. For instance, the government could keep the prices of most essential items stable during the holy month of Ramadan through market intervention by the Bangladesh Rifles and strong market monitoring by the 'joint forces'. The para-military force imported food items on its own and operated a number of wholesale and retail outlets in Dhaka city. But, in reality, that was a sort of marketing of food items at subsidised prices. However, the price stability achieved through market-intervention or strong monitoring had fallen apart as soon as the administration relaxed its price control mechanism immediately after Ramadan and prices of rice, wheat, edible oils and milk powder started rising again. A kilogram of coarse variety of rice is now being sold at Tk.25, atta at Tk.38, a litre of soybean oil at over Taka 90 and a kg of onion (local variety) at Tk 60-Tk 65. Most people refuse to believe their ears when grocers ask such high prices.
In the backdrop of such development on the price front, the food adviser does not have, at least for the time being, any good news for the consumers. He told newsmen a few days back that the food grain prices were unlikely to ease before next March, when harvesting of Boro rice starts. The harvest of Aman rice, in the meantime, is expected to leave a soothing effect on the rice price situation but for a very brief period. It seems that the government and the growers have pinned much hope on next Boro rice crop, which is considered the most 'safe' crop because of a stable and favourable weather condition. Nature is found to be very friendly to the farmers during this season. But, at times, manmade developments such as scarcity of seed, fertilisers and diesel and severe power load-shedding during peak season might create serious problems. The government needs to ensure at all costs the availability of all farm inputs during the upcoming Boro and Rabi crop season. There is no alternative to higher production of food grains and scopes are there to achieve that since the per-acre yield of rice in Bangladesh is well below of that in other Southeast Asian countries and China. Increased production of rice and wheat can only safeguard the country's short and long term food security.