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Abstract

This paper fills an information gap regarding factors affecting the supply and demand for wheat in Bangladesh. The short and long run supply elasticities were estimated using the Nerlovian Partial Adjustment model while demand elasticities were estimated by single equation model and different types of functions were fitted to study the income consumption relationship for wheat in Bangladesh. The gap between demand and supply has also been worked out. The demand for wheat will continue to increase rapidly but its demand in the urban areas will increase at a substantially higher rate. The study projected the future demand and supply of wheat up to 2012 A.D. The projections revealed that the country would face the shortage of wheat of about 2314 thousand tonnes during the period 2003 to 2012. So it was suggested that the need for mapping the demand and supply management strategy in the country be met by both the Ministry of Food and Agriculture as soon as possible to cope up the demand situation.

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