Bangladesh’s journey of agricultural exports: unleashing the potential
Editorial Note: Bangladesh’s agriculture sector is flourishing, driven by
fertile land, government support, and global demand. With $1 billion+
in exports and middle-income ambitions, the sector is poised for
growth. Strengthening quality standards, modernizing infrastructure,
and strategic branding are key. Collaborating with industry experts and
investing in cold storage and transportation will maximize potential. -by
Talukder Tetulia, Washington DC, USA
Orginial News was publishedin the Financial Express By JEWEL RANA
Published : Apr 05, 2023 11:36 AM
Bangladesh has made remarkable progress in the agricultural sector
over the past few years. The country’s fertile land, favourable climatic
conditions and proper policy support by the government have created
enormous opportunities for agri-business. With increasing demand for
high-quality agricultural products in international markets, Bangladesh
has great potential to boost its agri-export earnings. The country’s agri-
food exports have been increasing in recent years, with over $1 billion
worth of products exported to different international markets. As
Bangladesh prepares to graduate from a least developed country to a
middle-income country, there is a growing need to diversify its
economy and find new sources of growth. Agriculture, as one of the
country’s largest sectors, has great potential to contribute to this effort.
However, there is still a lot of untapped potential in the sector, and if
properly harnessed, it can be a game-changer for Bangladesh’s
economy. It can help to earn foreign exchange, create employment
opportunities, and increase farmers’ incomes.
Bangladesh has a strong comparative advantage in the production of
many agricultural products, including rice, jute, tea, and shrimp. By
increasing exports of these and value added other products, the
country can build a more diversified and resilient economy. Identifying
the challenges of agri-export is crucial to overcome them and achieve
its goal of boosting agri-exports. Bangladesh has started addressing
these challenges with concerted efforts from the government, private
sector, and development partners to improve infrastructure, increase
productivity, and ensure compliance with international quality
standards. Investment in modernising its SPS infrastructure and
building the technical capacity of its regulatory agencies like Plant
Quarantine wing and Plant Protection Wing of the Dept of Agricultural
Extension (DAE) is very important. Initiatives have already been taken
to expand modern testing facilities, enhanced information sharing with
importers to help ease the burden of compliance for exporters. The
government has initiated several projects to introduce advanced
technology in various stages of agri-production, storage, and
processing. Projects have been taken to improve the quality of
agricultural products. Implementation of Good Agricultural Practices
(GAPs) is in place. Plant Quarantine Wing of DAE is working with USDA
for the implementation of a traceability system to track the entire
supply chain of agricultural products. The system enables exporters to
provide detailed information about the origin of the products, the
methods of cultivation and processing, and the storage conditions. This
will help to ensure that products meet the necessary quality and safety
standards.
Now, we have to think about establishment of integrated cold storage
system and investment in developing the required infrastructure to
preserve the quality of perishable agricultural products during
transportation. This can involve setting up refrigerated trucks and
storage facilities as well as establishing cold chain logistics systems to
ensure the smooth transportation of products from farm to market.
Marketing and branding strategies should be modernised to promote
agricultural products in international markets. This can involve investing
in market research to identify target markets, developing promotional
materials that highlight the unique qualities of Bangladeshi agricultural
products, and participating in international trade shows and
exhibitions.
Country branding is a crucial aspect of promoting a nation’s identity
and image to the world, and it can have a significant impact on the
export of agricultural products. We all know that branding is an
effective tool to market a country’s products and services globally, and
it creates a positive perception of a country in the minds of the
consumers. Bangladesh needs to develop a brand strategy that can
clearly articulate its unique selling proposition. The strategy should
include an appropriate brand message, logo, and marketing campaigns
that can bring to light the strengths and competitive advantages of
Bangladesh’s agro-products. Public bodies can collaborate with industry
leaders and experts in the agro-trade sector to develop a
comprehensive branding strategy. Thailand’s efforts to create a country
brand for agri export have been focused on promoting its products,
improving quality, and engaging with other countries and international
organisations. These efforts have helped Thailand become a major
player in the global agri-export market and can serve as a model for
other countries looking to build their country brand for agri-export.
Australia has also successfully created a strong country brand for agri-
export through a combination of factors such as product quality, safety,
reliability, and sustainability. They have invested in marketing and
advertising campaigns to promote agricultural products, such as the
“True Aussie” campaign, which highlights the country’s high-quality
produce and livestock. The campaign has been successful in positioning
Australian agriculture as a premium, trustworthy, and sustainable
brand in international markets. They have also established trade
agreements with various countries to reduce trade barriers and
improve market access for its agricultural products. These agreements
have helped to improve the country’s competitiveness in international
markets and enhance the recognition of its brand.
Bangladesh can learn from Thailand’s and Australia’s approach and
develop a similar strategy to build a strong country brand for its
agricultural products in international markets. Agri-exporters face
several challenges in exporting agricultural products, particularly in
meeting sanitary and phytosanitary (SPS) requirements. SPS measures
are designed to protect human, animal, and plant health by preventing
the introduction and spread of pests and diseases. While necessary to
ensure food safety, these measures can also pose significant barriers to
trade, particularly for developing countries like Bangladesh that may
lack the necessary infrastructure and resources to comply with complex
SPS requirements. For example, many countries require products to be
free from specific pests and diseases that may not be prevalent in
Bangladesh. In those cases, exporters may have to invest in costly pest
control measures or obtain additional certifications to meet these
requirements. It is necessary to strengthen regulatory framework and
surveillance system to ensure compliance with SPS measures and
implementation of phytosaniatry guidelines, protocols to meet
international standards. Producers must be made aware of the harmful
effects of excessive pesticides use and the importance of adhering to
the recommended usage guidelines. The existing initiatives of the
government to reduce the use pesticides needs to be refocused
because it is a growing concern for non-compliance in export.
The European Union (EU) is one of the largest markets for agricultural
products in the world. Compliance with EU standards and regulations
remains a major challenge, with many exporters facing barriers to entry
and struggling to meet the requirements of the EU market. A
comprehensive plan for reducing noncompliance and improving access
to the EU market for agro products will require a coordinated effort
from government, industry, and civil society. By working together to
address the root causes of noncompliance and develop practical
solutions, exporters can increase their competitiveness and access new
markets, while also ensuring that their products meet the highest
standards of quality, safety, and sustainability. The country has an
abundant supply of raw materials, such as fruits, vegetables, spices,
grains, and fish, which can be processed into high-value products for
export. One of the most promising areas for export is the processed
food sector. Processed food products such as jams, pickles, sauces,
chutneys, and canned fruits and vegetables have a high demand in
international markets due to their convenience, longer shelf life, and
unique flavors.
The use of advanced processing techniques and modern packaging
methods can help ensure that these products maintain their quality and
freshness during transportation. Bangladesh has great potential for
exporting a variety of dry and processed food products, including
processed foods, dry foods, and seafood. By investing in infrastructure,
quality control measures, and compliance with international standards,
Bangladesh can tap into these markets and increase its export earnings.
This will not only benefit the country’s economy but also provide new
opportunities for farmers, processors, and exporters to contribute to
the development of the agriculture sector. To overcome the upcoming
challenges for market access, international cooperation is essential for
enhancing agricultural exports for Bangladesh. This requires
engagement with international organisations, markets, and partners to
improve compliance with standards and regulations, improve market
access, and introduce new technologies and knowledge. By working
together, Bangladesh can continue to develop its agricultural sector
and become a competitive player in the global marketplace.