The poultry trade of Bangladesh faced threat of survival quite a bit in the past few years, due to the continuous outburst of diseases like bird flu; it still is facing such crisis’s which is holding back the growth of the sector. According to Poultry Breeders Association of Bangladesh, the sector is facing bumpy competition that is causing an elevation in the level of difficulties for domestic poultry farms to prolong their business on an unrelenting basis. One of such which is the high level of interest rates for the credits taken from the local banks, which can rise as high as 18 percent.
Some foreign investors have taken advantage of this situation and entered the domestic market through supplying of credits at rates as low as 5%. As per PBAB information, such firms have been able to already raise their shares up to 40%. The PBAB has discovered the reason to be lack of specific guidelines for the improvement of the sector. The opportunity where it is equal for Bangladeshi or foreigner makes it hard for Bangladeshi companies to flourish with higher international level competition in their own motherland.
The poultry sector due to existing and increasing demand of meat and eggs have substantially good chance of being a very large sector in the country. Of all the food sectors the poultry sector is preferable in this area. The production of protein from this sector is the second largest in the country; supporting almost six million people with over 150 billion in total funding. The industry has had a steady growth of 20% up until now. Despite the government’s desperate efforts to prevent any fall, the industry has been facing serious threats.
The BPAB have stated a few necessary steps that must be taken to prevent this; these include the relevant authorities to hold meeting with the stakeholders of the sector, avoidance of the sector to be used for just business purposes by outsiders. The association has mentioned how skilled the local entrepreneurs are and instead of the market from being taken away from them, it needs to be supported that they can make this sector thrive, which not only improves the sector but also creates job opportunity giving better support to the sector itself.
Some foreign investors have taken advantage of this situation and entered the domestic market through supplying of credits at rates as low as 5%. As per PBAB information, such firms have been able to already raise their shares up to 40%. The PBAB has discovered the reason to be lack of specific guidelines for the improvement of the sector. The opportunity where it is equal for Bangladeshi or foreigner makes it hard for Bangladeshi companies to flourish with higher international level competition in their own motherland.
The poultry sector due to existing and increasing demand of meat and eggs have substantially good chance of being a very large sector in the country. Of all the food sectors the poultry sector is preferable in this area. The production of protein from this sector is the second largest in the country; supporting almost six million people with over 150 billion in total funding. The industry has had a steady growth of 20% up until now. Despite the government’s desperate efforts to prevent any fall, the industry has been facing serious threats.
The BPAB have stated a few necessary steps that must be taken to prevent this; these include the relevant authorities to hold meeting with the stakeholders of the sector, avoidance of the sector to be used for just business purposes by outsiders. The association has mentioned how skilled the local entrepreneurs are and instead of the market from being taken away from them, it needs to be supported that they can make this sector thrive, which not only improves the sector but also creates job opportunity giving better support to the sector itself.
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