There’s potential in Bangladeshi pulses/
USDA’s Megan Francic spills the beans on this often overlooked market

Megan Francic is the Agricultural Attaché at the U.S. Embassy in Bangladesh. Jesse Sam spoke to her in May to learn more about one of South Asia’s most overlooked pulses markets and the work the U.S. Department of Agriculture (USDA) is doing to support its development.

Bangladesh’s pulses sector is often overlooked. Could you give our readers an overview of the market in terms of domestic production and consumption, as well as imports and exports?

Pulses play a very important role in the Bangladeshi diet. People rely on lentils, gram (chickpea), khesari (grass pea), and mung beans for a significant portion of their protein requirements. But domestic supply does not meet demand. Bangladesh produces approximately 0.9 million metric tons (MT) of pulses every year but this is only 36% of total demand, which we estimate at 2.5 million MT. 
That 1.5 million MT shortfall is made up through imports: mung beans from Myanmar, Tanzania, and Mozambique; lentils from Nepal, Canada, Australia, Turkey, and China; and gram from Myanmar and Australia.

Is it fair to say that Bangladesh’s domestic production has stagnated in recent years?

That is correct. According to estimates from the Ministry of Agriculture, production in fiscal year 2019/20 was 1.06 million MT. That figure fell to 0.93 million MT in 2020/21. And for 2021/22, the government expects production to reach 1.02 million MT. 

What would you say is driving this trend?

I’d say there are two key reasons behind this. Most importantly, I think it’s because farmers are not producing high yield pulses. Traditional, low-yield pulse varieties dominate local pulse production; this makes growing pulses less profitable compared with other crops, so farmers plant fewer pulses. The Bangladesh Agricultural Research Institute (BARI) has developed 42 modern pulse varieties, but farmers have not widely adopted them yet.
The second reason is climate-related. Traditionally, pulses are cultivated in the southern coastal districts of the country. But increasing levels of soil salinity in these regions — which negatively affects plant growth and crop yields — means that pulse cultivation is decreasing. 

On crop diversification, why do you think farmers are reluctant to switch to more modern, higher yield seed varieties?

Well, first of all it’s important to say that this is not unique to pulses; we also see this in rice growing, too. Ultimately, however, I think it just comes down to increased engagement between the government and farmers. Both the government and private sector have done some great work on developing modern hybrid seed varieties. But it takes concerted work to spread awareness, understanding, and adoption of these seeds across rural farming communities.
There is a Department for Agricultural Extension (within the Ministry of Agriculture) which works with farmers to foster adoption of new seed varieties. I’ve had the chance to see this fieldwork in action, meeting local government officials and extension agents in villages across the country. I’m always impressed by everything they’re doing — and I know it’s a priority for the government — so I think the outlook is positive.

Can you tell us about the main ways in which the United States is supporting Bangladesh’s agriculture sector?

So at USDA, we have a $50 million development portfolio in Bangladesh that covers a wide range of agricultural issues. This ranges from increasing production — for example, the Food for Progress programme which is focused on shrimp production — to trade facilitation and strengthening regulatory agencies. We are also cooperating on climate change: Bangladesh’s government is extremely active on the world stage in this area.
We also work very closely with our colleagues at USAID (U.S Agency for International Development), which provides over $50 million in annual expenditure to Bangladesh through its ‘Feed the Future’ initiative. Feed the Future activities are focused on a really diverse range of topics, including: agricultural policy, food safety, agricultural extension, biotechnology, climate smart agricultural production, market systems, digital agriculture, mechanisation, infrastructure, trade and private sector competitiveness, nutrition, resilience, and much more. It’s a really comprehensive set of priorities. 
And in terms of the pulses sector more specifically, we are excited to collaborate with our colleagues at USA Dry Pea & Lentil Council and the U.S. Dry Bean Council on how we can provide more targeted support. And I’d also add that we are very focused on increased outreach to American exporters, to inform them about the incredible potential of this country. Bangladeshi officials are determined to transition the economy from relying on development and aid to investment and trade. With a large, increasingly middle-class population, that is a very exciting long-term investment proposition.

That’s really impressive. Could you also tell us more about the Bangladesh Trade Facilitation Project, which has been in the news recently?

The Bangladesh Trade Facilitation Project is a $27 million Food for Progress project that aims to expand regional and international trade in agricultural goods. The programme will achieve this through several measures, including:

• addressing systemic constraints to agricultural trade at Bangladeshi ports (including harmonizing trade processes and pre-clearance processing); 
• simplifying and automating import and export processes; 
• improving the capacity of government agencies, laboratories, and warehouses; 
• fostering private and public investment, especially in cold storage
• supporting Bangladesh to implement WTO Trade Facilitation Agreement Schedule C measures covering testing procedures, risk management, perishable goods, and formalities.  

The project began in 2020 and will run until 2025. In addition to helping Bangladesh meet its WTO obligations, it will increase trade and will, importantly, reduce the time it takes to clear agricultural goods at ports of entry, which is a major hurdle exporters face.
 

And what about the Bangladeshi government: what are its priorities for developing the agriculture sector?

The Ministry of Agriculture is now in the fifth year of a 5-year project to increase production of pulses and oilseeds in the country by supporting farmers with free seeds, technical support, and other inputs. But, as previously noted, pulse cultivation has been stagnant in recent years. Nonetheless, it remains a policy priority; and with higher global prices for both edible oils and pulses, the government has a compelling argument when it comes to encouraging increased production of pulses, mustard, and rapeseed.

Are there areas where you think the government could be doing more?

I think it would be the topic we touched on earlier: extension activities to foster adoption of modern, higher-yielding seed varieties. Traditional pulse varieties provide less than 1 MT of production per hectare. By contrast, varieties developed by the Bangladesh Agricultural Research Institute yield 1.5 MT per hectare — that’s a 50% increase. Lower yields affect profitability for farmers. 
More research is also needed to develop more hybrid varieties as well. In particular, Bangladesh needs seed varieties that are heat-stress and saline tolerant, to support pulse cultivation in coastal areas. 

And finally, thinking about the wider global context, what impact is the Russia-Ukraine war having on Bangladesh’s agriculture sector?

As we are seeing in much of the world, food price inflation is currently a huge issue in Bangladesh. Compared to one year ago, the price of lentils has risen 38% while mung beans and gram have increased by 4%. There are a number of factors behind this, including: increased global demand, tighter stocks, difficult growing conditions, rising energy and input costs, and ongoing supply chain issues. But Russia’s invasion of Ukraine has only exacerbated the situation.
We are also tracking what is happening in the fertilizer markets, as fertilizer is essential for healthy yields. As a country with a small land mass and large population, Bangladesh is very susceptible to food security shocks.