AGRICULTURAL TRADE LIBERALIZATION IN BANGLADESH: AN OVERVIEW OF ITS IMPACT

This article provides a comprehensive overview of the impact of agricultural trade liberalization on Bangladesh. It examines the process of liberalization undertaken as part of broader structural adjustment programs and its consequences for agricultural production, food security, and rural livelihoods. The study analyzes the impact on domestic producers of major crops, such as rice, in the face of increased import competition. The research also assesses the effects on consumers and on the country's overall trade balance in agricultural products. The paper argues that while liberalization has had some benefits, it has also created significant challenges for the country's food security and for the millions of smallholder farmers. The analysis concludes that a more nuanced and strategically managed approach to agricultural trade policy is required to balance the goals of efficiency and food sovereignty.

The liberalization of agricultural trade has been a central and often-controversial component of the economic reform agenda in many developing countries. This paper provides a detailed overview of its impact on Bangladesh. The study begins by tracing the history of the liberalization process, from the dismantling of state controls on input markets to the reduction of tariffs on imported food grains. The core of the article is a multi-faceted assessment of the consequences of these policies. It analyzes the impact on domestic food production, exploring how local farmers have coped with the increased competition from cheaper imports. The paper also examines the crucial issue of food security, debating whether a reliance on international markets is a more or less secure strategy than the traditional goal of national food self-sufficiency. The study further delves into the impact on rural livelihoods and poverty, assessing whether the benefits of lower food prices for consumers have been offset by the negative impacts on the incomes of small-scale farmers. The findings reveal a complex picture of both winners and losers. The paper concludes that while a return to the old protectionist system is not viable, a "one-size-fits-all" approach to liberalization is also inappropriate for a country as vulnerable as Bangladesh, and a more strategic approach that supports domestic producers is essential.