Bangladesh: encourage potato based industries

February 16, 2010

We came accross this Letter to the Editor (by Popy Sultana) in the Financial Express, a Bangladesh Newspaper. We include the letter here in PotatoPro, because the letter so rightfully stresses the stabilizing role of the potato processing industry on te potato market, something that we may so easily take for granted in markets with a lot of processing companies:

Potato based food and allied products such as flakes, starch, chips and similar other items have only a limited market in Bangladesh. But the food products have a huge international market, which can be tapped by Bangladeshi producers. The aspect of comparative advantage also should give an edge to entrepreneurs in this field because potato growing is almost an effortless and inexpensive exercise in this country due to the fertility of its soil. The potatoes are also of good quality and suitable in terms of nutrition value for overseas markets.

Record quantities of potatoes were produced during the last two years far in excess of the total local demand. But the producers did not get a good return for their efforts. Thus, out of frustration they could be discouraged in producing enough potatoes in the coming seasons. This again could cause another problem from hiking up its price for scarcity. That could be bad news for its common consumers in the country.

But all of these problems could be solved and the farmers kept motivated to produce potatoes on the higher side if the excess quantity could be added value by turning them into various potato based food products and exported;it then could open up a rich new vein of export earnings for the country. For this to happen, the government should encourage potato based industries through various measures.

Sponsored Content