VALUE CHAIN ANALYSIS OF POTATO IN SOME SELECTED AREAS OF PANCHAGARH DISTRICT IN BANGLADESH

Abstract

Potato is one of the most important cash crops in Bangladesh, and the district of Panchagarh is one of the major potato producing areas in the country. The objective of this study was to analyze the value chain of potato in some selected areas of Panchagarh district, including the profitability, value addition, marketing cost, and net marketing margin of different actors in the chain. To achieve these objectives, a structured questionnaire was used to interview 25 farmers, 65 middlemen, and 5 cold storage owners from February to April 2023. The data collected were analyzed using profitability analysis, regression analysis, and moving average method. The findings of this study revealed that the sales price of potato varied significantly between different actors in the value chain. The highest sales price per 100kg of potato was received by the retailer at Tk.2225.00, while the lowest sales price was received by the farmer at Tk.1625.55. The value addition by different actors in the chain varied from 9.25% to 25.70%, with the wholesaler having the highest value addition. The marketing cost of the value chain actors varied from 4.51% to 45.90%, with the wholesaler incurring the highest marketing cost. The net marketing margin of different actors in the chain also varied significantly, ranging from 6.65% to 47.45%, with the retailer having the highest net marketing margin. In addition, the seasonal price fluctuation analysis showed that the price of potato was significantly lower during the peak harvesting period, while it was much higher before the planting period. Moreover, the study found that proper credit facilities should be ensured for the value chain actors, as this was mentioned by the highest number of respondents. The study provides valuable insights into the value chain of potato in Panchagarh district, and highlights the need for policies and interventions to improve the profitability and efficiency of the value chain.