A Decade of Transformation in the Supply of Fertilisers

Bangladesh is a densely populated country in South Asia. Agriculture is a significant contributor to our country's GDP. To increase crop yields and guarantee food security, fertilisers play a crucial role. Even 15–20 years ago, farmers in Bangladesh would have been hard hit by a lack of fertiliser, leading to lower crop yields and widespread hunger.

Fertiliser shortage in Bangladesh did occur for several different reasons. It resulted primarily from a lack of production. Due to insufficient production and sloppy management of the fertiliser supply chain, the government fell short of farmers' expectations. As a result, a shortage of fertilisers in the market would lead to an increase in the prices of fertilisers and the black market.

Inadequate credit for farmers also played a significant role in the fertiliser crisis. Fertilisers were expensive on the market, making it hard for small farmers to buy them, and a lack of access to credit only worsened matters. A general lack of expertise in the field exacerbated the fertiliser crisis of that time. Many farmers overused or underused fertiliser because they weren't sure how much or what kind to use, leading to lower crop yields. In 1995, during the BNP regime, the situation deteriorated to the point where farmers took to the streets to demand fertiliser.
It was a tragic time in Bangladesh when farmers were being murdered. Protests arose in response to a lack of fertiliser, which negatively impacted farmers' crops and income. The government assured them it would provide enough fertilisers, but it never did. When farmer protests grew violent in different parts of the country, police were called to restore order. The situation escalated rapidly and became violent. Several farmers were killed, and many more were injured when police opened fire on the crowd. The incident was widely condemned by people in Bangladesh and beyond.

A commission of inquiry was established after the murder to investigate the circumstances surrounding it. The report from the commission highlighted the unjustified and excessive use of force by the police. After further investigation, several police officers were detained and found guilty of murder charges. The event served as a wake-up call to the need to support farmers and guarantee their access to necessary inputs like fertilisers. It also stresses the importance of governments recognising the right to peaceful protest and responding with an appropriate level of force.

Killing farmers in different districts at the time highlighted the human cost of the fertiliser crisis and sparked widespread outrage among farmers. This increased the burden on the government to better regulate the availability of fertiliser and to take the necessary steps to guarantee that farmers can afford to buy it. The tragic events of the BNP era serve as a painful reminder of the importance of agriculture in providing for the needs of millions of people in Bangladesh.

Bangladesh's agricultural sector and economy were severely impacted by the fertiliser crisis of the time. Reduced crop production, food insecurity, and higher prices occur when fertiliser is in short supply. The country's GDP was negatively impacted at the time due to the decline in agricultural production. Furthermore, millions of farmers were impacted by the time's crisis, leading them to either give up farming altogether or shift their focus to producing crops that did not need fertilisers to thrive. The government did nothing at the time to address the crisis. Therefore, the agriculture industry faces new challenges due to the high cost of fertilisers and violence and chaos in the fertiliser supply chain caused by criminal gangs.

Subsequently, since coming to power in 2009, Sheikh Hasina's government has been instrumental in helping Bangladesh become self-sufficient in fertiliser production. Several policies and initiatives have been adopted and put into action by the government in response to the fertiliser crisis, aiming to increase domestic production and decrease reliance on imports. The initiative's central plank was the privatisation of the fertiliser industry, which allowed for the import and distribution of fertilisers by private companies. This increases efficiency in the distribution of fertiliser and introduces competition to the market. The government began subsidising farmers on a large scale and providing them with access to credit to lower the price of fertilisers.

Government spending on expanding fertiliser factories, such as urea plants, has risen sharply in an effort to raise domestic output. The government has taken many steps to make the Bangladesh Chemical Industries Corporation (BCIC) a strong organisation, able to monitor the growth of Bangladesh's fertiliser sector and boost domestic production. Owing to the government's efforts, Bangladesh can now produce all of the urea it needs. The country has also seen an increase in the production of other types of fertilisers. For instance, the import of diammonium phosphate (DAP) and muriate of potash (MOP) used to be common but is no longer the case. The availability of fertilisers to farmers has vastly improved, and the market price of fertilisers is now within farmers' budgets. In addition, the government has been working to lessen farmers' reliance on chemical fertilisers by encouraging the use of organic fertilisers. Chemical fertilisers have a negative impact on the environment, but switching to organic fertilisers improves soil productivity.

The agricultural sector of Bangladesh can only grow with the help of the Sheikh Hasina government's push for self-sufficiency in fertiliser production. Sustainable agricultural practices have been enhanced, reliance on imports has been decreased, and fertilisers are more easily accessible due to government policies and programs. The government has recently increased the price of all fertilisers, which some may argue is unfair. The farmers would certainly feel the strain of a TK 5 per kg price hike. The government has made it clear that the rising price of raw materials on global markets is a major factor in its decision to implement these measures. Once there is a drop in the price of raw materials on international markets, we anticipate the government will lower the price. We trust that our Prime Minister will always put the interests of the country's farmers first as she has done in the past.

Twenty years ago, the fertiliser crisis in Bangladesh had a devastating effect on the lives and livelihoods of farmers there. Farmers fighting for access to fertiliser have, in extreme cases, paid with their lives. The families of the farmers who were killed at that time have not received justice for the murder. These terrible events no longer happen because the current government has implemented policies that are helpful to farmers. There is no longer a need for farmers to lobby for fertiliser. Instead, government employees and local government representatives deliver fertiliser cards to farmers' homes.

By guaranteeing a sufficient supply of fertilisers to farmers at affordable prices, the current government is playing a positive role in revolutionising agricultural production. This is why, despite the COVID-19 pandemic for the past two years, the people of Bangladesh have not been severely impacted. Bangladesh has achieved self-sufficiency in producing agricultural products in almost all areas. There have been no cases of farmers dying in the country in the last 15 years due to the demand for fertilisers, owing to the commendable initiatives of the current government in the agricultural sector, as in other sectors. Even farmers did not have to take to the streets to agitate for fertiliser. 

Writer: Professor, Department of Public Administration, University of Rajshahi

Courtesy: Daily Sun