Identifying the Potential Reasons Behind the Price-increasing Issues in Vegetable Supply Chain in Bangladesh and Proposing Possible Solutions

Abstract

Agriculture is one of the largest employment sectors in Bangladesh, contributing 11.61% of GDP in the fiscal year 2021-22. This sector is contributing significantly even in the toughest situation of COVID-19. Farmers are the main actors behind this contribution. But we have seen farmers not getting a fair price for the vegetables they produce. On the contrary, when the same vegetables are coming to large cities, they are sold at higher prices. Our research tries to identify the potential causes behind the price-increasing issues of vegetables in the existing vegetable supply chain in Bangladesh. We also tried to recommend a solution to reduce the problem so that the farmers can get a better and fair price for the vegetables they produce. In this study, we tried to mention the reasons behind the price-increasing issues after conducting surveys. To conduct our research, we spoke with farmers and middlemen who are actively involved in the vegetable supply chain. Through our survey and after having conversations with them, we found out that both parties (farmers & middlemen) are dissatisfied with the current state. We came to know that the farmers feel the necessity of having a central supply chain system, and the middlemen are talking about the government's involvement in the whole process. When it comes to recommending a solution, we can't do a practical solution regarding the government's involvement. So, we proposed a central supply chain model that will help to minimize the price-increasing issues of vegetables in the vegetable supply chain in Bangladesh.