Export Products and Agriculture

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    EXPORT PRODUCTS AND AGRICULTURE OFBANGLADESH

    TRUSHA HASAN

    Class: III Section: B

    Bangladesh International Tutorial

    February 22, 2016

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    Table of Contents

    ParagraphNo

    Topics Page No

    1 Introduction2 Export Products of Bangladesh3 Jute/Green Jute/Jute Goods4 Ready Made Garments5 Tea6 Leather and Leather Goods7 Frozen Fish and Shrimps8 Frozen Foods9 Chemicals10 Ceramics

    11 Pharmaceuticals12 Crafts13 Spices14 Tobacco, Betel Leaf, Betel Nuts15 Agriculture of Bangladesh16 Rice, Jute, Tea, Wheat17 Sugarcane, Potatoes, Maize18 Pulses, Grams, Beans, Peas19 Vegetables

    20 Fruits21 Oil Seeds22 Spices23 Tobacco, Betel Leaf, Betel Nuts24 Poultry25 Dairy26 Apiculture (Producing Honey27 Pisciculture (Fish Cultivation)28 Sericulture (Producing Silk)

    29 Conclusion

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    List of Figures

    Figure No Subject Page No

    1 Raw Jute2 Ready-Made Garments3 Tea Garden4 Leather Products5 Frozen Fish and Shrimps6 Frozen Fruits and Meat7 Hydrogen Peroxide8 Ceramics9 Drugs10 Crafts11 Spices

    12 Tobacco Products13 Betel Leaf and Betel Nuts14 Rice Plant15 Jute Plant16 Tea Plant17 Wheat Plant18 Sugarcanes Plant19 Potatoes Plant20 Maize Plant

    21 Vegetables22 Fruits23 Mustard Field24 Spices25 Tobacco26 Betel Leaf Plant and Betel Nuts27 Poultry Farm28 Dairy Farm29 Apiculture

    30 Pisciculture31 Sericulture

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    EXPORT PRODUCTS AND AGRICULTURE OF BANGLADESH

    Introduction

    1. Like many other developing countries, Bangladesh relies quite

    heavily on exports to provide for the needs of its densely populated nation.

    Currently Bangladeshs main export items are garments, jute and jute-

    related goods, leather, frozen fish and seafood. In average annually the

    country makes over $2,000 billion from export trade.

    Bangladesh has a primarily agrarian economy. Agriculture sector plays

    an important role in the overall economic development of Bangladesh

    and it is regarded as the lifeline of Bangladesh economy. About 80%

    people of the country are involved in agriculture sector. The countrys fertile

    soil, ample water sources and the availability of cheap labor forces are the

    main reason of such agricultural prosperity. Rice, jute and wheat are the

    primary crops. Tea, oil seeds, vegetables, fruits, poultry, dairy and fishing

    are the important agricultural products.

    Export Products of Bangladesh

    2. Currently Bangladeshs main export items are garments, jute and

    jute-related goods, leather, frozen fish and seafood. Just three years ago

    the country made over $2,000 billion from export trade. The majority of the

    countrys trade is conducted with the USA but a small portion of exports

    also sees its way to Germany, UK, France and Italy. The main export

    products are discussed below:

    3. Jute/Green Jute/Jute GoodsBangladesh is the largest producer of quality raw jute in the world and the

    best manufacturer of jute goods in the world. Bangladesh export jute and

    jute products like mats, various kinds of jute bags and jute packaging bags,

    jute handicrafts, slippers, shopping bags, wine bottle bags, sling bags, jute

    stationery, floor runners, panels, and lots more.

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    Bangladesh is the largest exporter of raw jute. The country produces and

    exports all types of jute sacks and hessian cloth which used for packing

    industries.

    Figure-01: Raw Jute

    4. Ready Made Garments

    the Ready-Made Garments (RMG) sector has emerged as the biggest

    earner of foreign currency. The RMG sector has experienced an

    exponential growth since the 1980s. The sector contributes significantly to

    the GDP. It also provides employment to around 4.2 million Bangladeshis,

    mainly women from low income families.

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    Figure-02: Ready-Made Garments

    Figure-03: Tea Garden

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    5. Tea

    Tea is the second main export oriented cash crop of Bangladesh. Tea is

    mostly cultivated in the hill tracks of northeast portion of Bangladesh.

    Moderate height and slope of the hill tracks as well as heavy rain fall makethis area suitable for production of premium quality tea in Bangladesh.

    Besides, a considerable quantity of tea is cultivated in the hill tracks of

    northwest and southeast portion of Bangladesh. Tea sector contributes

    about 1% of the total GDP in Bangladesh.

    6. Leather and Leather Goods

    Today the leather sector is a major industry in the country. The leather

    industry is composed of a broad category of products like finished leather,

    footwear and other leather goods. A good number of tanneries have been

    modernized in the last decade for producing quality finished leather. The

    basis of this sector is the domestic supply of rawhides and skins of goat,

    cow and buffalo. A considerable amount of the leather products are

    exported to overseas markets, which has contributed towards the economic

    development of this sector as one of the major foreign exchange earners.

    Figure-04: Leather Products

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    7. Frozen Fish and Shrimps

    Frozen food is the second largest export sector of the economy. The

    massive natural resources available in Bangladesh make this sector

    particularly promising for investors looking to supply in international as wellas in domestic markets. Export of frozen food is earning about 400 millions

    of foreign currency yearly which is about 3% of total export and contributing

    3.78% in GDP. Shrimp contains more than 80% of frozen food item.

    Bangladesh captured 25% of world shrimp market. A significant area in the

    southern part of the country is under cultivation of shrimp culture.

    Figure-05: Frozen Fish (left) and Shr imps (right)

    8. Frozen Foods

    Following a period of strong investment in technology, processes and

    regulation the frozen foods sector has flourished and earned itself an

    excellent reputation with trading partners. The city dwellers and households

    are progressively adapting to frozen foods (not only protein- like fish and

    meats but also vegetables as well). For Bangladesh plausible lucrative

    export destinations are USA, Canada, Australia, Middle-East and Europe.

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    Figure-06: Frozen Frui ts (left) and Frozen Meat (right)

    9. Chemicals

    Bangladesh has turned into a textile chemical exporter from importer in

    recent years thus helping the country in earning millions of foreign

    currency. Presently, the country is exporting hydrogen peroxide, a major

    chemical used in the bleaching and sterilizing process in textile and paper

    and pulp industries, to half a dozen countries including India, Nepal,

    Malaysia, Pakistan and Sri Lanka.

    10. Ceramics

    In recent years ceramic industries in Bangladesh has grown up in a large

    extent. It is playing a great role on country's export earnings. The quality of

    Bangladeshi ceramic products fascinated the international customers.Hence there is a great opportunities to invest in this sector. Bangladesh

    exports ceramic products to about 50 countries including USA, UK, Italy,

    Germany, France, Spain, Norway, Sweden, Turkey, Poland, Australia, New

    Zealand, Canada, Mexico, Brazil and Chile.

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    Figure-07: Hydrogen Peroxide

    Figure-08: Ceramics

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    11. Pharmaceuticals

    The pharmaceutical industry in Bangladesh is one of the most developed

    technology sectors within Bangladesh. Manufacturers produce insulin,

    hormones, and cancer drugs. This sector provides 97% of the totalmedicinal requirement of the local market. The industry also exports

    medicines to global markets, including Europe.

    Figure-09: Drugs

    12. Crafts

    Production of crafts in Bangladesh is a long-standing tradition that

    has turned into a profitable business, benefiting vast numbers of producers,

    retailers and exporters throughout the country. The most popular exported

    crafts include basketry, jute-diversified products (JDP), rugs and mats. In2007, the export volume of Basketry and JDP was about USD 6.5 million

    and USD 8 million respectively. More than 150,000 people are involved in

    this sector as producers and suppliers, 80% of them are poor women as

    artisans. Craft exporters in Bangladesh are experiencing steady growth

    in sales to Japan, the European Union and the USA.

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    Figure-10: Crafts

    Figure-11: Spices

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    13. Spices

    Bangladesh is the land of six seasons where different spices grow in

    different seasons round the year. The demandable spices that grow in

    Bangladesh are Turmeric (organic base), Red Chili, Sesame (black, white,brown and red), Coriander Seed, Black Cumin Seed, Cumin Seed (sweet),

    Fenugreek Seed, Fenugreek Leaf, Cashew Nut, Terminalia Chebula,

    Vinegar, Holyba Sil, Coconut, Almond, Tarmarind, Neem Leaf etc. Those

    are supplied in whole and powder form. Before export all those spices are

    processed properly without any additives.

    14. Tobacco, Betel Leaf, Betel Nuts

    Bangladesh is one of the largest tobacco consuming countries in the world.

    Over 58% of men and 29% of women use some form of tobacco, whether

    smoked (both cigarettes and bidis) or smokeless. Tobacco is grown

    throughout the country with the largest tobacco growing areas include

    Rangpur, Kushtia, and Chittagong Hill. After many years as a net importer

    of tobacco leaf Bangladesh has become a net exporter in recent times,

    exporting about one-third of the tobacco grown.

    Figure-12: Tobacco Products

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    Figure-13: Betel Leaf (left) and Betel Nuts (right)

    Bangladesh exports betel leaves and betel nuts to many countries of Asia

    and Europe including India, Pakistan, Saudi Arabia, United Arab Emirates,

    England, Italy and Germany. Export quality betel leaves are grown in the

    districts of Natore, Kushtia, Rajshahi, Barisal, Khulna and Chuadanga.

    Bangladesh started exporting of betel leaves and betel nuts to Europe in

    1974-75 and to Saudi Arabia in 1991. Basically betel leaves and betel nutsis purchased and consumed by Bangladeshi, Indian and Pakistani

    expatriates living in those countries.

    Agricul ture of Bangladesh

    15. Agriculture is the single largest producing sector of the economy

    since it comprises about 18.6% of the country's GDP and employs around

    45% of the total labor force. It is also an important social sector concerned

    with issues like food and nutritional security, income generation, and

    poverty reduction. The main agricultural products are discussed below:

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    16. Rice, Jute, Tea, Wheat

    Rice is the staple food of the people of Bangladesh. Three types of paddy

    namely Aus, Aman and Boro are produced in this country. The productionof rice can be harvested 2 or even 3 times a year. Bangladesh is the fourth

    largest rice producing country in the world.

    Figure-14: Rice Plant

    Jute, often called the "golden fibre" of Bangladesh, is the main export-

    earner for Bangladeshi agriculture, as Bangladesh remains the world's

    second-largest producer of jute (after India) and the world's largest exporter

    of fiber. Jute is traditionally used for the fiber of carpet backing, burlap

    bags, cheap paper, and various other purposes. Jute production is confined

    mainly to the low-lying areas of the Brahmaputra-Jamuna and Padma

    floodplains.

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    Figure-15: Jute Plant

    Figure-16: Tea Plant

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    Bangladesh also produces tea leaves, mainly for export, although the

    export of this product contributes only 1 percent of the country's hard

    currency earnings. Tea comes second as an export crop. It is mainly grown

    in the hills of Maulvi Bazar district and small areas of Habiganj, Sylhet,

    Chittagong, and Cox's Bazar districts.

    Although rice and jute are the primary crops, wheat is assuming greater

    importance. Next to rice, wheat is the most important crop in Bangladesh. It

    is grown mainly in the drier parts of the north and is cultivated only as a

    winter crop. The production of wheat reached about 9 million metric tons in

    2005-2006. Wheat plays an important role in achieving self-sufficiency in

    food production. However, due to weather conditions the production ofwheat fluctuate greatly, forcing Bangladesh to import wheat from the

    international market.

    Figure-17: Wheat Plant

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    17. Sugarcane, Potatoes, Maize

    Sugar-cane is an important food-crop of our country. It is a great source of

    glucose. People like the juice of sugar-cane very much. Molasses and

    sugar are made from sugar-cane. It grows best in Rajshahi, Natore,Mymenshingh, rangpur, Dinajpur, Jessore, Kustia and Chuadanga districts.

    Figure-18: Sugarcane Plant

    Potato is the most important of the winter vegetables and is widely grown.

    At present it grows plenty in Munshiganj, Comilla, Rajshahi, Rangpur,

    Dinajpur, Bogra, Joypurhat and Nilphamari districts.

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    Figure-19: Potatoes

    Maize is now considered as a substitute for both rice and wheat since it can

    be grown in all seasons. From maize one may get food, oil, fuel, fodder and

    poultry feed. Cultivation of maize gets popularity in the northern part of

    Bangladesh.

    Figure-20: Maize Plant

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    18. Pulses, Grams, Beans, Peas

    Masur (lentil) and khesari (chickling vetch) are the two important varieties

    of pulses produced in Bangladesh. Masur is mainly grown in the Gangetic

    delta while khesari is a well-scattered crop in the islands and chars (anyaccretion in the riverbed, usually sandy islands).

    Gram, black gram, beans and green pea are produced to a certain extent in

    every district. Nawabganj has the largest share in maskalai (black gram)

    cultivation.

    Figure-20: Pulses, Grams, Beans and Peas

    19. Vegetables

    Among vegetables, onion, garlic and brinjal are mostly grown as kitchen

    gardens in every district while Patuakhali and Bhola are generally leading

    in sweet potato cultivation. Commonly cultivated vegetables are cabbage,

    cauliflower, brinjal, tomato, carrot, turnip, radish, spinach, lettuce, bottle

    gourd, country bean, garden pea, lady's finger, red amaranths, amaranths,

    sweet gourd, ash gourd, bitter gourd, squash, palwal, snake gourd, teasle

    gourd, yardlong bean etc.

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    Figure-21: Vegetables

    20. Fruits

    Bangladesh abounds with a large variety of tropical and sub-tropical fruits.

    Among fruits, banana, mango, coconut, and jackfruit are generally grown

    around homesteads almost throughout Bangladesh, while pineapple is the

    most common around Maulvi Bazar, Rangamati, Tangail, Khagrachhari and

    Bandarban districts. The most widely cultivated fruits are mango, jackfruit,

    black berry, pineapple, banana, litchi, lemon, guava, custard apple, wood

    apple, elephant apple, golden apple, Indian berry, papaya, tamarind,

    melon, watermelon, cashew nut, pomegranate, palmyra, plum, rose apple,

    olive, and jujube.

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    Figure-22: Fruits

    21. Oil Seeds

    The major oilseed crops grown in Bangladesh are mustard, sesame,

    groundnut and linseed. The minor oil crops are niger, soybean, sunflower,

    safflower and castor. The major contribution of oil comes from mustard

    (65%) followed by sesame (10.71%) and groundnut (invisible oil10.5%)

    Mustard is the principal oil crop in Bangladesh. It is grown mainly in the

    low-lying areas of Brahmaputra-Jamuna and Meghna floodplains.

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    Figure-23: Mustard Field

    22. Spices

    Commonly cultivated spices are green chili, ginger, turmeric, onion, garlic,

    coriander, sweet cumin, black cumin, and fenugreek. Although chilli is

    produced to a certain extent in every district of the country, the cultivation is

    mainly concentrated in the southern districts including Bogra, Sirajganj and

    Pabna.

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    Figure-24: Spices

    23. Tobacco, Betel Leaf, Betel Nuts

    After the liberation war in 1971 tobacco cultivation was mostly sponsored

    by the British American Tobacco Company in Teesta silt in Rangpur area.Three varieties of tobacco i.e Jati, Motihari and Virginia are grown in

    different districts of Bangladesh. Jati and Motihari are mostly grown in

    Rangpur and Bandarban, while Virginia is mostly grown in Kushtia,

    Rangpur, Jessore and Dhaka. Other varieties such as Burley are also

    grown in limited quantities.

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    Figure-25: Tobacco

    Betel Leaf is one of the major economic sources of rural Bangladesh.

    Dinajpur, Rangpur, Chittagong, Faridpur, Jessore, Narayanganj, Barisal

    and Sylhet are the areas producing most betel.

    Figure-26: Betel Leaf Plant (left) and Betel Nuts (right)

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    24. Poultry

    There is a great market for commercial poultry farming in Bangladesh. And

    it is already an established business opportunity. Poultry products like meat

    and eggs are the main source of animal protein for Bangladeshi people.Chickens are the common and mostly raised poultry birds of Bangladesh.

    Along with chickens, raising some other poultry birds like quails, turkeys,

    ducks, pigeons, peacocks etc. are also gaining popularity day by day.

    Figure-27: Poultry Farm

    25. Dairy

    Livestock is an essential component of the rural economy and the

    livelihood of the subsistence farmers in Bangladesh. Animal production is a

    very important facet of agriculture and milk production is one of the most

    important economic activities in Bangladesh, providing 3.6 million

    households with supplementary income. The dairy system in Bangladesh is

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    characterized by small-scale operations, coupled with crops and other off-

    farm activities. Several government, NGO and private sector initiatives

    have made progress in transforming dairy into a more value-driven and

    market-oriented sector. The dairy market in Bangladesh is lucrative for

    investors given the countrys large population, rising incomes and evolvingdiet.

    Figure-28: Dairy Farm

    26. Apicul ture (Producing Honey)

    Commercial practice of bee-keeping in Bangladesh is still in its infancy.

    There is no statistics of annual honey production recorded by the

    beekeepers of Bangladesh. However, the honeybee's chief value lies in itsability to pollinate over 60 agricultural crops and thus increase the

    production of fruits and seeds. The best known honey in Bangladesh is

    Mustard honey. Mustard is grown in many districts of Bangladesh as an

    oilseed crop. Drum Stick, Zizyphus jujuba, mango, and various other

    vegetables, fruits, forest and crop plants are also good nectar-producing

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    sources. Apiculture can be a good source of earning which can yield large

    amount of honey with enhanced crop, vegetable and fruit production.

    Figure-29: Apiculture

    27. Pisciculture (Fish Cultivation)

    Pisciculture in Bangladesh is playing an important role to the total national

    income of this country. Bangladesh is surrounded by rivers and various

    types of water sources like pond, stream, lake etc. Major parts of the total

    population of this country are directly or indirectly involved with fish or fish

    related business. Especially, most of the people of the southern part of the

    country are directly engaged with pisciculture. Khulna, Barisal, Bagerhat,

    Satkhira etc. are considered to be the best places for pisciculture in

    Bangladesh.

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    Figure-30: Pisciculture

    Fisheries is one of the major sub-sector in the agricultural sectors and

    plays a vital role in the socio-economic development of rural area, fulfilling

    the animal protein demand, creating employment opportunity, alleviating

    poverty and earning foreign exchange for the country.

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    28. Sericulture (Producing Silk)

    Silk is one of the agricultural products and national wealth in Bangladesh.

    The country earns a lot of foreign currency by cultivating silkworm. As an

    agro-based industry sericulture holds out a great deal of prospects inBangladesh. Since British period, silk production occurs in Rajshahi zone

    as British Government selected the Rajshahi zone for cultivation of

    mulberry tree, because the weather and soil are suitable for mulberry tree,

    without which sericulture would not be possible, as the Bombyx mori

    silkworm feeds exclusively on mulberry leaves. Bangladesh currently

    produces about 30 to 32 tons of raw silk even though the total demand for

    raw silk in the country is around 200 tons. There lies a huge potential in silk

    sector in terms of generation of employment and income.

    Figure-31: Sericulture

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    Conclusion

    29. Export growth has significantly increased economic growth of

    Bangladesh. The economy is increasingly led by export-oriented

    industrialization. The Bangladesh textile industry is the second-largest inthe world. Other key sectors include pharmaceuticals, ceramics, leather

    goods, tea and frozen fish.

    Bangladesh is mainly called an agricultural country. Most of the people of

    the country are directly or indirectly involved in agricultural related activities

    to earn their livelihood. Agriculture has a great contribution to the GDP of

    Bangladesh. Besides these export products, the country is also engaged in

    the production of rice, jute, tea, wheat, vegetables, fruits etc. Though yields

    can at times be quite high, the country still faces widespread poverty and itis struggling to free itself from this. Some progress has been made, but

    there are still many people living below the breadline in Bangladesh.