Splitting BADC into six new companies for agri development
Wednesday, 12 August 2009
Md. Ashraf Hussain
Production of rice has increased three times since independence. Besides, BRRI, a member of the other organisations like Bangladesh Agriculture Development Corporation (BADC) deserve the credit for the achievements of the agriculture sector. In the eighties, the then government downsized Bangladesh Agricultural Development Corporation (BADC) following prescriptions of the donor agencies. Otherwise, Bangladesh possibly could achieve more by this time. Seed production by enlisted farmers, procurement and distribution of inputs and irrigation facilities can help further develop the sector.
A company under private public participation (PPP) should be able to provide better results. The Awami League (AL)-led alliance government, which won a landslide victory in the last election, should restore the BADC as it was originally intended to support activities for achieving food security. Given its due role, BADC can achieve agricultural development.
But Bangladesh needs six companies under the Companies Act, 1914, in six administrative divisions. Their objectives should be like those of BADC. The companies could be named after each administrative division. It could be, Dhaka Agriculture Development Company Limited, Khulna Agriculture Development Company Limited and the like. Each company should take programmes to suit the requirements of the zone. Certain area is suitable for certain crop. Cropwise production potentials of each zone should be fully exploited, which a public sector corporation could not do due to its traditional structure. The companies interact with each other for achieving the national agricultural objectives.
Each company should allow the general public to buy 40 per cent of its shares, the non-resident Bangladeshis and the government should be allowed to buy suitably from the rest of the shares. The ministries of agriculture, industry food and commerce may retain a reasonable portion from the government shares to create an example of public-private partnership. The company should be given the freedom to render the needed service for a faster agricultural development. These companies could suitably off-load shares in the stock market as well. The stock market can generate capital for big agricultural ventures for boosting economic development.
The board of such policies should formulate policies. For this purpose, it should represent all the stake-holders including the non-resident Bangladeshis. The ministries holding shares should not be allowed to vote in the election of directors to represent the private share holders.
The managing director should be a professional person, who could be appointed for three or five years on contract. He or she should be selected through open competition.
(The writer can be reached at: mah120cb@yahoo.com)
Production of rice has increased three times since independence. Besides, BRRI, a member of the other organisations like Bangladesh Agriculture Development Corporation (BADC) deserve the credit for the achievements of the agriculture sector. In the eighties, the then government downsized Bangladesh Agricultural Development Corporation (BADC) following prescriptions of the donor agencies. Otherwise, Bangladesh possibly could achieve more by this time. Seed production by enlisted farmers, procurement and distribution of inputs and irrigation facilities can help further develop the sector.
A company under private public participation (PPP) should be able to provide better results. The Awami League (AL)-led alliance government, which won a landslide victory in the last election, should restore the BADC as it was originally intended to support activities for achieving food security. Given its due role, BADC can achieve agricultural development.
But Bangladesh needs six companies under the Companies Act, 1914, in six administrative divisions. Their objectives should be like those of BADC. The companies could be named after each administrative division. It could be, Dhaka Agriculture Development Company Limited, Khulna Agriculture Development Company Limited and the like. Each company should take programmes to suit the requirements of the zone. Certain area is suitable for certain crop. Cropwise production potentials of each zone should be fully exploited, which a public sector corporation could not do due to its traditional structure. The companies interact with each other for achieving the national agricultural objectives.
Each company should allow the general public to buy 40 per cent of its shares, the non-resident Bangladeshis and the government should be allowed to buy suitably from the rest of the shares. The ministries of agriculture, industry food and commerce may retain a reasonable portion from the government shares to create an example of public-private partnership. The company should be given the freedom to render the needed service for a faster agricultural development. These companies could suitably off-load shares in the stock market as well. The stock market can generate capital for big agricultural ventures for boosting economic development.
The board of such policies should formulate policies. For this purpose, it should represent all the stake-holders including the non-resident Bangladeshis. The ministries holding shares should not be allowed to vote in the election of directors to represent the private share holders.
The managing director should be a professional person, who could be appointed for three or five years on contract. He or she should be selected through open competition.
(The writer can be reached at: mah120cb@yahoo.com)