Potato and onion growers in Bangladesh are facing losses despite strong harvests, as farmgate prices remain below production costs. At the farm level, potatoes are selling for Tk4–7 (US$0.04–0.06) per kilogram against production costs of Tk15–17 (US$0.14–0.15), while onions are selling for Tk20–25 (US$0.18–0.23) per kilogram compared to costs of Tk38–40 (US$0.35–0.36), according to the Department of Agricultural Marketing.
Favourable growing conditions have resulted in higher production this season. The Department of Agricultural Extension reports that potatoes were cultivated on about 469,000 hectares, slightly above the 467,000-hectare target, with nearly 70 per cent already harvested. Onion cultivation reached around 302,000 hectares, exceeding the 286,000-hectare target.
Production is estimated at around 11.5 million tons of potatoes and 4.3 million tons of onions, exceeding domestic demand of approximately 9 million tons for potatoes and 2.6–2.7 million tons for onions.
Farmers report that both weather-related risks and market conditions are affecting returns. Recent rainfall and hailstorms have raised concerns about crop damage for unharvested produce. At the same time, high supply levels are reducing prices below cost levels.
In Shakharia Union of Bogura Sadar, Delwar Hossain, a potato grower, reported losses after storing 550 bags in cold storage last year. Despite spending more than Tk600,000 (US$5,450) on production and Tk220,000 (US$2,000) on storage, he sold the crop for less than Tk200,000 (US$1,820). This season, he cultivated potatoes on five bighas, with costs of about Tk35,000 (US$320) per bigha, but is selling yields for Tk12,000–15,000 (US$110–135) per bigha. "There are few buyers this season. Many locals are taking potatoes for cattle feed. Potatoes are selling at just Tk100 (US$0.91) per maund," he said.
Moslem Uddin Pramanik, another farmer from Bogura Sadar, reported selling land after losses. "Cultivating potatoes no longer puts food on our table – it takes it away," he said.
Raju Ahmed, also from the same area, reported debt of Tk80,000 (US$730) after cultivating early-season potatoes on eight and a half bighas. He is also selling onions below production cost. "Soon, farmers may even take their own lives under debt," he said.
Ainul Haque, a grower and teacher, stated, "Our land supports three crops a year, so usually gains from one offset losses from another. But this season, the potato losses are so severe that no other crop can compensate."
Abu Noman Faruq Ahmed of Sher-e-Bangla Agricultural University said rising input costs are limiting returns. He highlighted the need for crop insurance to manage risks from weather and price fluctuations.
Mahfuz Alam of the Bogura Department of Agricultural Extension said market imbalance is a key issue. "Production far exceeds domestic demand, and exports remain limited. Opportunities to process potatoes into other products are untapped. The government must take steps to resolve these problems more easily," he said.
Source: The Business Standard