Contribution of Agriculture in the Economy of Bangladesh.

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Abstract

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This study is based on secondary data. This text is primarily focused on contribution of agriculture in the economy of Bangladesh. In the way of doing so, a short briefing about the economy of Bangladesh is given and demonstrated Bangladesh agriculture condition at a glance. The agriculture is shown as the share of GDP, proportion of labor force working in agricultural sector, budget allocation for agriculture, agriculture in net export-import and countered with some fancy questions those pop up in our heads sometimes. Through this note several charts, graphs and tables are presented. It will help to comprehend those data in an effortless way. Agriculture is most crucial crux in nearly all economy as well as economy of Bangladesh, so it is so vital to know agricultural economics and its contribution. On this point we can rehearse Theodore Schultz. He began his acceptance speech for the 1979 Nobel Prize in Economics observing: “Most of the people in the world are poor, so if we knew the economics of being poor we would know much of the economics that really matters. Most of the world's poor people earn their living from agriculture, so if we knew the economics of agriculture we would know much of the economics of being poor” (Shultz, 1979).

INTRODUCTION:
Bangladesh emerged from its war of independence desperately poor, overpopulated, and reeling from overwhelming war damage to its institutional and physical capital. It was not until 1978/79 that per capita income had recovered to its pre-independence level. The economy was ravaged by acute food shortages and famines during the early years. According to some authors, Bangladesh was designated as a “test case” for development, and Henry Kissinger called it “an international basket case.”(Faaland and Parkinson, 1976) More than 30 years later, doubts and doubters have been proven wrong. With sustained growth in food production and a good record of disaster management, famines have become a phenomenon of the past. Bangladesh’s per capita GDP has more than doubled since 1975. Life expectancy has risen from 50 to 67.2 years; population growth rates of 3 percent a year have been halved, child mortality rates of 240 per 1,000 births have been cut by 85 percent, literacy has more than doubled, and the country has achieved gender parity in primary and secondary schools. In Bangladesh, where agricultural production contributes heavily to national income and poverty is overwhelmingly rural, the success or failure of any policy reform crucially depend on the treatment of agriculture. In a subsistence agrarian economy of Bangladesh, domestic food production has an important role to play in the quest for food security

REVIEW OF BANGLADESH ECONOMICS:
The economy of Bangladesh is a rapidly developing market-based economy. (http://www.unfpa-bangladesh.org) Its per capita income in 2010 was est. US$1,700 (adjusted by purchasing power parity). According to the International Monetary Fund, Bangladesh ranked as the 43rd largest economy in the world in 2010 in PPP terms and 57th largest in nominal terms, among the Next Eleven or N-11 of Goldman Sachs and D-8 economies, with a gross domestic product of US$269.3 billion in PPP terms and US$104.9 billion in nominal terms. The economy has grown at the rate of 6-7% per annum over the past few years. More than half of the GDP is generated by the service sector; while nearly half of Bangladeshis are employed in the agriculture sector. Other goods produced are textiles, jute, fish, vegetables, fruit, leather and leather goods, ceramics, ready-made goods. Bangladesh has made significant strides in its economic sector performance since independence in 1971. Although the economy has improved vastly in the 1990s, Bangladesh still suffers in the area of foreign trade in South Asian region. Despite major impediments to growth like the inefficiency of state-owned enterprises, a rapidly growing labor force that cannot be...
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