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Internship Report 1379 PDF
Internship Report 1379 PDF
On
On
Prepared For:
Chairman
Prepared By:
Chairman
Jahangirnagar University
Dear Sir,
With due respect I would like to inform you that, I have successfully completed my three month long
internship period at GMark Consulting Limited. Now, I would like submit my internship report on
“Baseline study for EDP „Chili traders enterprise – Fulchari‟ project in Bangladesh” for your kind
consideration.
I hope my effort would get succeed to get your satisfaction. Please contact with me at any time of
your convenience to discuss any issue regarding this report.
Yours Sincerely,
__________________________
First of all I would like to express my gratitude to the Almighty for giving me both physiological and
psychic ability to complete this report. I would also like to thank my external supervisor, Mr. Abu
Darda, Senior Manager of Business Development and communication unit of GMark Consulting
Limited for his true guidance and inspiration. I would also like to thank Mr. Aminul Moven, Senior
Manager, Research, Monitoring and Training unit, for his valuable time which he took to give me an
practical knowledge about the total research process.
I would also like to convey my sincere gratitude to my respected teachers and also my internal
supervisor Mr. Baktiar Rana, Associate Professor, Institute of Business Administration, Jahangirnagar
University for all the kind supports and advises. Without their blessings, this report might not get
published.
I would finally like to thank my family members and friends for supporting me with the wonderful
moral support they gave during the preparation of this report.
Definitions
Actual Cost: Actual cost refers to the total cost without own contribution. This cost involves the
factual cost that actually occurred. For example, latent costs like fraction of present market price of a
piece of cultivated land that a farmer already owns will not come under this cost.
Baseline Study: Work done to collect and interpret information on the condition or trends of the
existing environment.
Char: Durable sandbars that emerge from deep of rivers as islands are called as Chars. Once the
chars become ready to be vegetated, people start living on them.
Control: Individual farmer, who hasn‟t come under the program, therefore is not member of any of
the program supported producer groups. A „control‟ farmer is an indirect beneficiary of the
referencing program.
Producer Group: The group of farmers acting collectively for common interest.
Sharecropping: Sharecropping is the system where landless farmers borrow lands from other big
farmers in exchange of certain percentage of the produced crops.
Sub-Sector: A part or division of a particular sector. Chili sub-sector is a part of the total agriculture
sector of Bangladesh.
Treatment: Individual farmers, who are the direct beneficiary of the program. Treatment farmers
may or may not join a producer group.
Total Cost: The sum of all costs that occurs in any given situation. This cost consists of any factual
and latent costs.
Table of Content
EXECUTIVE SUMMARY…………………………………………………………..………….…………....…..ix
At the char areas of Gaibandha sub-district, chili cultivation is highly practiced in comparison to the
previous years. One reason behind this scenario might be the higher profitability of the crop. Farmers
can obtain a good profit from chilies. For this one reason, foreign donor organizations that are aimed
at fighting world poverty are becoming interested in this sector particularly for this area. Considering
its high profitability, numbers of foreign donor funded projects are being designed concentrating chili
cultivation. The aim of Oxfam (Donor of Enterprise Development Program-EDP) is to develop and
facilitate a link between root level farmers and the local markets which will positively affect the
farmers’ living standard.
Literacy rate in this area is poor. For this reason farmers are unaware of the effective production
procedures. They are also less interested in using high productive inputs like hybrid seeds. As a
result, it can be said that if these farmers can somehow be managed to use high quality inputs, the
overall production in this area may increase.
Being a seasonal crop, chili is somewhat a feasible crop for the farmers to retain enough profit until
any natural disaster affects the cultivation process. Though it is a profitable crop, farmers do not
cultivate it in a wide range because of its fragile nature. It easily gets affected by natural
phenomena. On the other hand, nature in this char area is unpredictable. As many as three different
kinds of natural disaster (Continuous rain, late flood and dense fog) may hit the area in a single year.
This natural phenomena force the chili production to go down.
Farmers prefer to sell dry chili than green chili, as it is more profitable. Farmers mainly sell green chili
when they are in need of some emergency cash. About 54% of the respondent farmers said that
they sell dry chili. They have to process green chilies before they can sell it as dry chilies. They
mainly follow the traditional way in drying process. Once they have dried the chilies, they might have
to store it up to six-seven months before they can sell all the chilies. They usually use polythene bags
for packaging and use their own houses as the storage.
Transportation is one of their main concerns in the whole process of cultivation to marketing chilies.
In the marketing season, the whole char dries up, and they face enormous difficulty in transporting
the crops. By the end of September, all of the river lines of the area turn into dry lands. During this
time period, they have to use hand carts, vans and other vehicles to transport the product.
Access to different service providers of this sector is getting higher now a days. As a result of govt.
focus and contribution of private sector actors, farmers are receiving more information about seeds,
fertilizers, pesticides, effective irrigation system, advise on marketing the product and so on. As a
result, farmers are getting interested in this crop more.
Social point of view towards women involvement in chili production is another pressing issue. Most of
the women are involved only in in-house processing tasks. But, this view is changing at present. In
some areas, increased number of women is contributing alongside the male members in the fields as
well.
Despite many obstacles, chili cultivation is being a good tool to fight poverty in the char areas. This
tool can be a more effective one if proper actions can be taken to develop the sector. Some extra
concentration in additional services regarding effective cultivation method, alternative market linkage
system etc. can make the smile wider in the farmers’ face.
ix
CHAPTER ONE: INTRODUCTION
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Enterprise financing Increased Increased
enterprise „women Wider change
Enterprise support &
sustainability empowerment‟ through
mentoring
Increased “demonstration
women‟s Increased effect” / scaling
Targeted analysis &
participation & income up
support to women
leadership
1.4. Methodology
1.4.1. Study Area
The baseline study area was Fulchari upazila under Gaibandha district as Oxfam GB
Bangladesh works there for Chilli Traders Enterprise Development under REE-CALL project.
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This study was conducted by following mix method approach. A total of 77 Chili farmer were
interviewed from two unions (Fulchari and Gojaria) of Gaibandha. The following table shows
the distribution of sample size in terms of type of respondent, gender and location of the
study.
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Chapter Two: The Organization
Page 4 of 28
Feasibility Study
Business Plan Preparation
3. Training, Workshop and Seminar
GMark also provide training services in other organizations, operating in different sectors for
enhancing the knowledge in depth including:
Establishing/reforming Stakeholders‟ Forum
Capacity Building of NGOs
Capacity building of Business Management Organization
Capacity Building of Associations
Dissemination Workshop
2.5. SWOT analysis of GMark
Strengths
Field Expertise
Energetic & highly skilled workers
Highly specialized in Market Development facilitation & Enterprise Development
Strong planning ability and field coordination
Weaknesses
Lack of strong corporate structure
Improper distribution of responsibilities
Lack of sufficient manpower.
Opportunities
Enhancing network with partners
More scope of collaboration with various government programs
Access to thematic areas which are prioritized by renowned donor agencies
Threats
Increasing number of organizations with same interest- “the rivals”
Slowed inflow of funds from the donor agencies
Larger firms may quote lower prices due to economies of scale
Page 5 of 28
CHAPTER THREE: GENERIC FINDINGS
Page 6 of 28
who practice mortgage system (locally known as „Bandhok‟) for cultivable land acquisition.
Only seven producers stated that they follow Sharecropping system for Chili cultivation.
Frequency Land Amount
Characteristics
(n=77) (decimal)
Own Land 57 9,668
Land Ownership Sharecropping 7 429
Mortgage 14 8,80.5
Table 06: Type of land ownership and total amount of land
3.2. Major Income Generating Activities (IGAs)
Major Income Generating Activities (IGAs) in the surveyed areas are Rice, Maize, Chili and
Jute. Due to the topographical position of Chars and land characteristics, these crops are
found suitable to cultivate. Cattle rearing (especially cow rearing followed by goat) and
poultry (duck and chicken rearing) are the most common IGAs under livestock sector. Among
the off-farm activities, respondents mentioned sewing and labor as major regular
occupations. All of the respondents are involved in Chili cultivation, 57% of the respondents
have earning from livestock and only 14% respondents mentioned their involvement in off-
farm activities.
The following table illustrates that economic involvement of a male farmer is higher than that
of a female farmer in almost all the income generating options. Participation of female
households are delimited within their house-premise and unpaid productive works.
Page 7 of 28
CHAPTER FOUR: ECONOMIC CONTEXT
Total Chili
Total Number
District Upazila Union Village Name Cultivated
of Chili Farmer
Area (Acre)
Kotokgacha 200 90
Gazaria
Golna 220 104
Page 8 of 28
Years of involvement in Chili production
Farmers‟ of study area are involved in Chili production in average of some nine (09) years. 22
of the respondents mentioned that they are producing Chili for 4 to 6 years followed by 21
respondents who mentioned their 10-15 years of involvement in Chili production. Some 12
respondents are found either in their inception period in cultivation or have maximum three
years of direct involvement.
Number of Chili plots per farmer
On an average, each Chili farmers have about 67 decimal lands for Chili cultivation. Majority
of the farmers (46.8 percent of the total respondents) lack the ability to produce Chili in more
than one plot. Only a few farmers (04 farmers) mentioned that they have at least four plots
for Chili cultivation, in recent year. Only one respondent was found holding seven Chili plots
of his or her own.
Growth rate of cultivating area
The yearly growth rate of cultivating areas for Chili has found increasing, in most of the
areas. As Chili has been proven as higher income potential option several times, farmers are
getting involved with this sector more and more. The study found that highest growth of
cultivating area is occurred in Kotokgacha village, 13.13 percent followed by 12.29 increases
in cultivating land in Gabgachi.
4.3. Seed Sourcing: What Farmers Do?
The villagers are still depending on their own retained seeds. About 67% of the farmers use
retained local variety seeds where 33% purchase seeds from different sources i.e. neighbor
Chili farmers, local markets etc.
4.4. Tools in use
Shallow machine, power tiller, and spray machine are the main machines used while chili
production. Eighty-eight percent of chili farmers used power tiller as rent or have own, and
rest 12 percent are used bullock for tilling. Ninety-Five percent of Chili farmers have used
shallow machine as own or rented, and 100% of Chili farmers have used spray machine for
spraying pesticides. Besides, in the survey areas, some other tools are polythene/plastic
pipes, bamboo baskets, spade, plough, ladder,etc. which also used.
Sl Tools Usage Percentage
No
01 Power Tiller 88%
02 Shallow Machine 95%
03 Spray Machine 100%
Table 11: Tools used in chili cultivation
Page 9 of 28
The findings imply that many of the Chili farmers have now accepted and started using of
mechanical tools than they were before. Rigorous promotional efforts of many agro-
machinery companies introduce farmers with handy technologies and also make the tools
available within the periphery of Char lands.
4.5. Cost Benefit Analysis
The entire chili cultivation process can be divided in two parts for costs‟ calculation. Principal
investment is done in the growth process of the plants starting from managing the targeted
land for cultivation. This first phase can be marked upto first green chili harvesting period.
The rest investment is done in the process of drying the green chili. This phase can be
named as the second phase. Analysis in contrast with the control and treatment group, no
substantial differences could be found.
Figure 02: Differences in cost between Total cost and Actual Cost
At the very beginning, farmers use their own lands as well as others in the mortgage system. As
a result, land value has a great impact over the total investment cost in cultivating chili. In the
treatment category, 27 farmers are found in each of the groups, cultivating on their own land
and cultivating on others‟ land with mortgage or lease. But, no trends were found on the basis of
the ownership of the chili cultivating lands. People cultivating chili on their own lands are found
investing around 22 thousand BDT per 33 decimals while others are found investing around 21
thousand BDT.
Descriptive Statistics
N Mean
Page 10 of 28
The 67 treatment respondents can be categorized based on their lands owned. The
categories are as follows:
1. Farmers with no own lands as landless farmers,
2. farmers with upto 99 decimal (3 bighas) as small farmers,
3. farmers with 99 to 198 decimals (4- 6 bighas) as medium farmer and
4. farmers with more than 198 decimals (more than 6 bighas) land as large farmers.
Farmers’ Category Frequency Percent
Page 11 of 28
Fertilizers are applied in three layers macro, micro and composts. The micro fertilizers include
urea, DAP, MoP; macro fertilizers include Zn, Boron, Gypsam and cowdung and few other
kind of packed compost fertilizers are applied. For cowdung, there is no available market and
they have to depend on their own cows.
In different villages, the irrigation follows a trend. Due to the differing soil qualities, the
demand for irrigation as well as the cost differs highly.
Name of Mean total Mean
Village cost of Actual cost
Irrigation of
Irrigation
Farmers have to invest a lot paying the labor wages. The expenditures upto green chili production are
compartmentalized as expenditures in land, input costs (seed, fertilizers, pesticides and irrigation),
labor wages, transportation costs and wastage costs. In different villages, the expenditure patterns are
different. Most notable is, in the Gabgachi village, the cost for labor is the highest amongst all other
villages. And the most spending is done in harvesting the chili from the field.
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The actual cost of land is derived based on the available 8% bank interest rate for a period of six
months over the certain amount of money mortgaged to the owner of the land. The values are
found differing in different villages. The value is highest (867 taka) at Gabgachi village and
lowest (154 taka) at Khochapara village. Along with the differing land values, the transportation
costs also differ but in opposite direction. The transportation cost is minimum (650 taka) in the
Gabgachi village and highest (1,967 taka) in Khonchapara village.
Name of Mean Actual Mean Actual Cost of Mean Actual Mean Mean
Village cost of Land Inputs (TAC_Input) Labor Spending Transportation Wastage
(AC_N) (T_AC_labor) Cost (Trans_ac_n) Value
(WastV_ac_n)
After the first harvesting of green chili, drying sorting and packaging are the key tasks. Then
comes the sales and marketing. Sales and marketing includes transportation costs and other
commissions including HAAT and weighing commission. Even though costs are associated
throughout the process, the green chili production is the most crucial.
N Mean
Cultivating each 33 decimal, farmers have to invest 17284 taka for green chili production. For
producing dry chili, they have to invest more 1009 taka and 1147 taka for sales and other
marketing related issues and events.
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In the sales, most of the farmers preferred to sell their production from the mainland last year.
86% of the total farmers sold their chili from mainland and only 14% sold somewhere else.
Sales from Mainland
Frequency Percent
Lastly, the yield of green chili also shows a varying trend at the studied villages of Gaibandha
district. Per acre yield is maximum (6739 KG) at the Gabgachi village and minimum (3682KG) at
Khonchapara village. In average yield per acre is 4288 kg while according Bangladesh Agricultural
Research Institute (BARI) the national yield is 4453 kg per acre 1.
Name of Village Yield per acre (KG)
Gabgachi 6,739
Khonchapara 5,729
Kholabari 4,493
Kotokgacha 2,823
Golna 3,682
Total 4,288
Gross profit margin of the producers who does not practice selling of green chili stands at BDT
54, 751 per 33 decimal of land (based on 2013 market price). Where every farmer sells dry chili
grade 1, 2 and 3 in couple of occasions. This process of selling continues till end of December of
every year. The cycle starts from April/May of each year.
Descriptive Statistics
N Mean
1
KrishiProjuktiHatboi (DwiteeoKhondo), Page 175
Page 14 of 28
Farmers who practice green chili have less chili to dry and hence the statistics show (in the below
table) they earn less profit than those who have not sold green chili at the beginning of
production cycle. But still some farmers especially with those who are landless and marginal have
economic pressures of having instant cash have to sell green chili to get cash.
Frequency Percent
46.3% respondent have sold green chili this year while rest 53.7% respondent did not sell
green chili rather they let all the field crops to mature and harvested in an intend to dry.
However, practices vary year to year; when the price of green chili really shoots up farmers
have tendency to sell green chili earlier. Usually char farmers can sell green chili earlier and
gets much better price than that of this year. But this year of 2013, due to late flooding chili
season shifted behind the schedule and hence green chili did not yield much profitability. This
practice of selling green chili reduced gross margin almost half from previous case (year
2013). Gross profit margin stands at BDT 24, 864 per 33 decimal of chili land.
Descriptive Statistics
N Mean
Page 15 of 28
CHAPTER FIVE: CAPACITY OF THE PRODUCER GROUPS
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5.2. Group Activity
The PGCPG has already initiated a saving scheme of Tk 10 per month individually. The savings
can help the group to invest in the Chili harvesting season when capital is a crucial issue for the
rural char farmers. It is to be mentioned that the training of better Chili cultivation methods is of
prime interest in the groups. Regardless to their efforts for establishing these groups, they are
yet to get registrations.
In overcoming the challenges in producing Chili, several agents are working to support the
farmers and Chili producers. They institutes are Department of Agricultural Extension (DAE), Non
– Governmental Organizations (NGOs), Lead Farmers, Companies, Producers‟ Group (PG) and the
Traders. The villagers have hardly 2- 3 times interaction with the DAE in related to the seed,
fertilizer application, pest infestation and control measures, irrigation and harvesting Chili and
they identify the services provided by DAE as soberly satisfactory. The NGOs are also playing a
role similar to the DAE with a similar level of farmers‟ satisfaction in the villages Gabgachi and
Kotokgacha. The farmers of Khinchapara villagers have more interaction with the NGOs and are
satisfied with the services provided for them. The traders also play a significant role in seed,
fertilizer application, pest infestation and control, harvesting, sorting, transporting, packaging and
other trading related services in the villages PurboGabgachi and PurboKhonchapara.
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CHAPTER SIX: MARKET LINKAGES AND SERVICES
Page 18 of 28
inputsHowever, most of the farmers are self-sufficient regarding the sourcing of seed. Most the
respondents are satisfied with the availability of inputs like seed, fertilizers, pesticides, and
irrigation.
6.2. Forward Market Scenario
6.2.1. Analysis of Sales Trend
Seventy one respondents gave the information regarding each time or 1 instance sale and they
generally sell 4.09 mounds each in average. According to the response of individual producer in
2013, only 15 respondents sold a total of 243.00 mound Chili which is 16.20 mounds in average.
In 2012, 60 respondents sold a total of 1,032.75 mound Chili which is 17.21 mounds in average.
In 2011, 47 respondents sold a total of 747.50 mound Chili which is 15.90 mounds in average.
Almost all the respondents sell their product in cash and no one mentioned about credit selling.
Generally farmers bear all kind of transport and caring cost like house-boatghat-haat. Individual
producers get the information of price mostly from traders; 32 respondents mentioned about it.
Other sources are neighbors (27), producer (10) and government office (1). Eightof them
mentioned that they did not rely on any of the mentioned sources rather they went to market
with their product, analyze the market price and sell their product accordingly.22% farmers
received information of Chili price from more than one source, while 21% farmers did not
mention about information source of selling price.
6.2.2. What matters the sales – ‘Grade’
Figure 06: Dry Chili: Grade-1
Image of Grade 1 Chili Some characteristics of grade-1
Dry Chilies are full red Chili with good shape
Dried Chili with stem and sepal, Spicy flavor
Long size dried Chili
Dried Chili with seed
No crushed Chili.
Page 19 of 28
Figure 07: Dry Chili: Grade-2
Image of Grade 2 Chili Some characteristics of grade-2
Some portion of stem and sepal broken
Medium size dried Chili
Moderately red.
Price trend from local bazar shows that price of both green and dry Chili increased in the year of
2013 compared to prices in the year of 2012 and 2011.
Page 20 of 28
6.2.4. Traders Mapping
The study identifies that there are traders involved in chili business in the Fulchari market of
Gaibandha. These traders mainly buy dry chili from the local farmers and sell them across the
country. A few traders agreed that they do business regarding green chili. But most of the
respondents (about 80%) have to say that their main product is dry chili.
Average Sales Average Purchase
(Mound) (Mound)
Product
2012 2012
Small Trader Large Trader Small Trader Large Trader
Green Chili 100-150 5000-10000 100-200 5000-10000
Dry Chili- Grade 1 50-360 1000-2000 50-360 1000-2000
Dry Chili- Grade2 200-270 1000-2000 200-270 1000-2000
Dry Chili- Grade 3 90-200 - 90-200 -
Table 23: Average purchase and sales records (amount) of the traders
There are mainly two types of traders present in the market. Local traders who trade small
amount are located nearby villages. There are outside traders who trade large amount, and come
from outside the Fulchari upazila and outside the Gaibandha district. They buy chili and sell them
in remote market places like Bogra etc. The number of outside traders (120-150 in average) is
high than the number of local traders (50-80 in average). On an average most of these traders
sell their products to other large traders. Pickups, Vans and other local vehicles are used as the
transportation medium.
Almost every respondent said that they sell highest amount of dry chilies in the Bengali month of
Chaitra-Baishakh (March-April) and green chilies in Magh-Falgun (January-March). They receive
the highest price in the month of Ashwin-Kartik (September-October) for dry chilies and in the
month of Agrahayan-Poush (November-December) for green chilies. All of them prefer to sell
their product only in cash.
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Gabgachi Khonchapara Kholabari Kotokgacha Golna Other Village
CTE-f
Fulchari Market
Outside Market
(Bogra, Gaibandha, Dirajganj, Dhaka, etc.)
Most of the traders don‟t provide the chili farmers with any services. But few local traders offer
some services like doorstep chili collection from farmers, suggestions on production related issues
which help the farmers to get a good production in some cases.
The respondent traders pointed some major constraints to their business. Some of these are:
High commission rate in market places, high labor cost, no storage facility, political instability like
strikes etc. Some of the opportunities that they found in favor of their business are: good quality
of products, availability of transport, microcredit facility etc.
6.2.5. Prevailing Constraints at Sales level
The main constraints of Chili cultivation in the char areas of Gaibandha have different
dimensions. Most of the respondents marked high commission rate at local markets during Chili
selling as the prime constraint. The traders always have the power to offer price as they feel
right since they are limited in number. They exercise this power more in case of green Chili
because once the farmers harvest and bring it to market; they have no choice but to sell it on
that very day as the green Chili would perish very soon. This situation leads farmers to obtain
fewer prices for their crops. As a result their profit decreases.
The study found that import of foreign dry Chili from India during the peak season decreases the
value of local dry Chili. For the imported Chilies price of the local Chilies falls down.
Another major constraint is unavailability of char-friendly transports (i.e. horse carts, van etc.) in
dry season. The situation forces farmers to hire labors to carry Chili from farm-gate to Boat-
station and then to local markets, resulting in increased labor and transportation cost and
decreased profit.
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6.3. Service Market Scenario
6.3.1. The Service Providers
Different key role players associated with Chili cultivation and trading have their influence on the
farmers. Farmers mainly depend on these players regarding the issues that they can‟t contribute
from their cultivating experiences or education. They seek suggestions and sometimes entirely
depend on some parties when they feel the need of improving any service they are receiving
related to Chili cultivation. The parties that are providing these services are:
DAE: Farmers mainly get services from DAE regarding Chili production and its basic elements.
About 40.3%, 41.6% and 14.3% of the respondents agree with the fact that they receive
services from DAE about Fertilizer Application, Pest Infestation and Control Measurement and
Irrigation respectively.
NGO: Farmers mainly receive training related services from the NGO about the use of seeds and
fertilizers. About 20.8% of the respondents say that NGO‟s help them by giving services related
to both of these factors.
Lead Farmer: Lead Farmers play a vital role in most of the Chars where formal organizations or
personnel do not have sufficient access. Traditionally these lead farmers are one among the
group of farmers and have a good experience in Chili cultivation. Lead farmers can provide
support only based on their experience and knowledge. They usually give support regarding
seeds, fertilizers and pesticides.
Company: Due to distance from mainland and unavailability of char friendly transport, formal
companies are not that much available in these char areas. As a result, the farmers do not
receive services from these types of companies.
Producer Group: Producer groups provide supports mostly regarding price, use of pesticides
and seeds. But they also contribute in providing other services like irrigation, harvesting and
transportations etc. A few (about 3.9%) of the respondents say that they also receive trading
related services from the producer group.
Input Trader: Traders are local market actors who are involved with business of various
elements regarding Chili cultivation and trading like seeds, pesticides, fertilizers, packing
elements etc. Farmers are mostly dependent on this type of actor because this actor is the direct
contact person at the time of getting many services. So, naturally these actors possess a huge
influence on the service quality the farmers are getting. Traders mainly provide services on
pesticides and fertilizers. But they also provide some other key services regarding Chili trading
like packing and price. About 19.5% and 13% of the respondents said that they received services
from traders regarding price information and packing elements.
Page 23 of 28
6.3.2. Service Measurement Matrix
About 37.7% of the respondent farmers say that the availability of the seeds is high, but they
mostly can afford it (16.9% of the respondents). The quality of the seeds is medium (28.6%).
Majority of the respondents (33.8%) said that they can collect fertilizers when it is needed. But,
the affordability and quality of the fertilizers are medium (13% and 28.6% respectively). About
33.8% of the respondents have to say that they can avail pesticides at their need. Price of the
pesticides is moderate and pesticides are of medium quality. Many farmers have their own
irrigation machines. Majority of the rest use their neighbors‟ equipment, and others manage it in
exchange of rent. Thus, majority of the respondents are satisfied with the availability of irrigation
machineries. 20.8% respondents think that the quality of irrigation service they are having is
high. The availability and quality of transport in dry season is not satisfactory in the char areas.
About 15.6% respondents marked that they receive poor transportation facility. About 16.9%
respondents say that they somehow can receive trading related services in time. 19.5% of the
respondents also think that the service they are receiving regarding trading, is of medium quality.
Table 25: Farmers’ responses towards the quality of inputs they use
Page 24 of 28
CHAPTER SEVEN: IMPACT OF CLIMATE CHANGE
Besides all the comparative advantages, the char people face the greatest challenge of adverse
environmental impacts. All these three villages grieve from untimely rain, flash flood, late flood
and extreme fog. These environmental factors pose threats to Chili cultivation mostly from March
to October each year.
The total agriculture process in char areas mostly depends on the environment. Any major
fluctuation in the weather usually causes a huge impact on total cultivation process and
production of crops. Following tableshows the perception of individual producer regarding
different types of climate change.
Untimely Rain:
The main impacts that most of the farmers face due to untimely rain is flowers of the Chili plants
drop down. This problem occurs when they face unexpected rainfall at the time they have
immature flowers in the plants. Chili trees are also sensitive to water. So, unexpected rain in the
time of plantation may cause delay in the process. Untimely rain at the time of drying process
hampers the process also and cause difficulty.
Before reaching to the maturity stage (Harvesting), Chili plant sometimes suffers from Pod
Dislodging. Pod Dislodging is a result occurred due to untimely rainfall, where the fruit dislodges
from the plant.
Continuous Rain:
Continuous rain affects Chili crops badly. Due to continuous rain, whole Chili production can get
wasted. As a result, repeat sowing and plantation is required. Another effect of continuous rain
Page 25 of 28
is that excessive rain can make the Chili plants broken. These effects lead to less production at
the end.
Flash Flood:
Flash flood mainly means unseasonal floods that occur all of a sudden. These sudden floods
cause a huge hamper in Chili cultivation like crop wastage, repeat cultivation etc. Due to flash
floods plants died. As a result whole cultivation gets ruined and thus production related cost
increases.
Fog:
Dense fog is another natural phenomenon that hampers Chili cultivation. It usually happens in
winter season- when crops are in the field and cultivation process is ongoing. Dense fog mostly
affects the Chili flowers and the Chilies. High density of fogs makes the flower and the Chili
curled. Curling flowers drop down and curling Chilies‟ quality decreases from its standard. Having
affected by the curling problem, even the best quality Chilies become the grade three Chilies
(usually called “Fatka” in local language). As a result, farmers get less prices for their Chili crops.
Again, various pest and fungal infections get spread due to dense fog. As a result farmers use
more pesticides and fertilizers in fields to get rid of these problems. Thus, the cost of production
increases also.
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CHAPTER EIGHT: RECOMMENDATIONS AND CONCLUSION
8.1. Recommendations:
There are several recommendations that can be made to develop the market system more
effectively. Most of the constraints that the beneficiaries face are mainly related to the market
linkage system. To overcome such drawbacks, the following steps can be taken:
1. Producer groups should be more strengthen, their activities should be increased specially
regarding high quality seed supply, arranging more group meetings and trainings, increasing in-
house sell facility etc. Producer groups can create linkage with chili traders so that farmers can
sell chilies from their houses. This can somewhat reduce the transportation problem of farmers in
dry seasons.
2. Special trainings inspiring women involvement in the cultivation process should be introduced.
These training should also provide proper knowledge on related matters so that they can become
active participants in the cultivation and marketing process.
3. Good quality packaging materials should be made easily available. This will help to store dry
chilies maintaining the standard moisture.
4. Quality inputs like good quality seeds, fertilizer, pesticides should be made available to the
farmers. Proper training sessions discussing the proper usage of these materials should also be
conducted.
5. Credit facility to farmers to own lands (by purchasing or to get mortgage) should be provided on
easy terms and conditions. More access to commercial and govt. owned bank loan should be
created for the chili producers.
8.2. Conclusion:
From the above discussion and analysis, it can be deducted that chili cultivation can be a
prospective sector in the char areas of Gaibandha for many reasons. The current price trend of
both green and dry chili suggests that the price has increased by a significant amount in recent
times. There are other positive sides of chili production in this area. The weather of char areas
supports chili production. Besides, many government and private sector actors are playing a vital
role in making the farmers more flexible to new technologies and practices. Farmers are willing to
cultivate chili, because it brings more profit in comparison to the other crops they produce.
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There are some disadvantaged section in the cultivation and marketing of chilies. Farmers usually
aren‟t motivated to use hybrid seeds. They are satisfied with the traditional ways of irrigation. As
a result, there has been a negative impact in overall production. Farmers also find some
problems in transportation system in dry seasons. There are insufficient numbers of char-friendly
vehicles. As a result many farmers suffer from lack of sufficient number of vehicles. Less access
to the updated knowledge regarding chili cultivation has become a pressing issue now-a-days.
There has risen a significant demand for this knowledge. As a result, private sector actors are
giving more concentration particularly on this issue.
These limitations have focused on many possibilities to develop the chili cultivation sector. There
are many suggestions on how to improve the service quality. Many actors are undertaking many
innovative actions to positively turn the current drawbacks in to strengths. If these affords
succeed, then the standard of living of the root level farmers in this area may rise up at least at a
moderate scale.
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Annex
Annex 1: Reference
Bibliography
Ministry of Agriculture, Peoples’ Republic of Bangladesh. (2010). Krishi Projukti Hatboi (Vol. 2, p.
175). Dhaka: Author
About Us: GMark Consulting Limited. (2007, April 23). Retrieved October 20, 2013, from Gmark
Consuting Limited Web site: http://www.gmarkbd.com/aboutus
Annex 2: List of Abbreviation
Respondent Profile:
Name of Respondent
Location Area: Village: Union:
Sub-district: District:
Cell Number
Age
Family Size Male………….Female………..Child…………….Elderly……………..Total (………)
Education Non- Under Under Eight SSC HSC Above HSC
Literate Class Five Class
Highest education level among Non- Under Under Eight SSC HSC Above HSC
the family members Literate Class Five Class
Membership of Group/
Associations
Designation in Group/
Associations (If any)
Pattern 2
Pattern 3
2. Please state most dominant crop in different season:
Quality Availability
Sourcing (with
Inputs Variety/input name (Good: 1, Medium: 2, In Time: 1
address)
Bad: 3) Not in time: 2
Seed
Fertilizer
Pesticide
Irrigation x x
5. Provide information about the detailed tasks for chili production, drying and selling and the corresponding times in the
seasonal calendar below. Provide details information about who does what and for each task, how much time is required in hours in the
detailed seasonal calendar.In the table below, M=Men, W=Women, O=Others (Child), L=Labor (Hired)
Activity Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L
Land
Preparation
Input Purchase
Sowing
Fertilizer
Application
Pesticide
Application
Irrigation
Weeding
Harvesting
Sorting
Drying
Packing
Selling (Green)
Selling (Dry)
6. Cost of Production (----------- decimal) and finance:
Finance (Own :O/
Particulars Costs Loan Condition
Loan: L)
Cost:
Land Lease
…………………………………………………………………………………………………………………………………………………………
…………………………………………………………………………………………………………………………………………………………
Dry
2012
2011
2012
2011
13. Please tell us details about your sales operation
Issues Response
What quantity do you
sell generally each
time?
What constraints do
you face while selling
maize?
14. Please state approximate Profit (per 33 decimal lands) of different crops, which are cultivated in
your areas?
Groundnut Maize Jute Rice
15. Are there women involvement for chili production and trade is increasing? If yes, rate of growth
(%) last three years (If possible number).
Trading (%) Production (%)
2013 2012 2100 2013 2012 2011
16. What is the labor wage rate?
Particulars 2013 2012 2011
Male
Female
18. From whom do you get service for production and trading? (Tick)
Production and Trading Lead
DAE NGO Company PG Trader
Related Services Farmer
Seed
Fertilizer Application
Harvesting
Sorting
Transportation
Packing
Price
Others
19. Are you satisfied with the services? If not, why, and how can services be improved?
20. What are the natural disasters /phenomenon this locality faces each year? Please provide affects of natural disasters in the production?
Issues Untimely Rain Continuous rain Flash Flood Late Flood Cyclone Salinity
Please Tick
Affects
21. How PG provides support to you on Chili production and trade?
Name of Group
Year of Establishment
No. of Members Male Female
Name of Group Leader
Location Area:
Village:
Union:
Sub-district:
District:
Age
Average Family Size Male………….Female………..Child…………….Elderly……………..Total (………)
Education Non- Under Under Eight SSC HSC Above HSC
Literate Class Five Class
Highest education level among Non- Under Under Eight SSC HSC Above HSC
the family members Literate Class Five Class
Total land Average Land size Total land size Land used for Chili
Production
Group Dynamics:
4. What are the activities that you do as a group? Why do you do these activities or what are the
benefits you get from it?
5.Does the group provide any specific chili production related support to its members like
Credit,
Input purchase
Selling
Advocacy and lobbying for extension services from government
6. Is the group registered? If yes, where? If not, is there any plan for registration? Where and how?
What is the procedure?
8.What are your main responsibilities in the household? How long have you participated in chili
cultivation? How much time do you spent in chili cultivation in specific works?
10. Who manages the household work when you in the field?Who looks after the children?
11. What help/support do you get from your husband or other members of the family?
12. Do you face family problems if household work is not done properly?
13. How are women involved in chili cultivation? What are their specific activities? How does the
community view women involved in chili cultivation/processing?
14. What are the social norms for women related to marketing? Are women allowed to travel?
Are there constraints on women’s mobility?
15. In general, what are the social, cultural and spiritual that restricts women from fully
participating/benefitting from chili cultivation/processing/marketing?
Production Related:
16. Please state most practiced cropping patterns in this area:
Kharif 1 Kharif 2 Rabi %
Pattern
(March 15-June 15) (June 15-October 15) (October 15-March 15) of pattern follow
Pattern 1
Pattern 2
Pattern 3
Seed
Fertilizer
Pesticide
Irrigation x x
5. Provide information about the detailed tasks for chili production, drying and selling and the corresponding times in the
seasonal calendar below. Provide details information about who does what and for each task, how much time is required in hours in the
detailed seasonal calendar.In the table below, M=Men, W=Women, O=Others (Child), L=Labor (Hired)
Activity Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L M W O L
Land
Preparation
Input Purchase
Sowing
Fertilizer
Application
Pesticide
Application
Irrigation
Weeding
Harvesting
Sorting
Drying
Packing
Selling (Green)
Selling (Dry)
27. Cost of Production (----------- decimal) and finance:
Finance (Own :O/
Particulars Costs Loan Condition
Loan: L)
Cost:
Land Lease
29. Which bring you more profit? Dry Chili: Green Chili:
…………………………………………………………………………………………………………………………………………………………
…………………………………………………………………………………………………………………………………………………………
Dry
2012
2011
2012
2011
34. Please tell us details about your sales operation
Issues Response
What quantity do you
sell generally each
time?
What constraints do
you face while selling
maize?
35. Please state approximate Profit (per 33 decimal lands) of different crops, which are cultivated in
your areas?
Groundnut Maize Jute Rice
36. Are there women involvement for chili production and trade is increasing? If yes, rate of growth
(%) last three years (If possible number).
Trading (%) Production (%)
2013 2012 2100 2013 2012 2011
37. What is the labor wage rate?
Particulars 2013 2012 2011
Male
Female
39. From whom do you get service for production and trading? (Tick)
Production and Trading Lead
DAE NGO Company PG Trader
Related Services Farmer
Seed
Fertilizer Application
Harvesting
Sorting
Transportation
Packing
Price
Others
22. Are you satisfied with the services? If not, why, and how can services be improved?
23. What are the natural disasters /phenomenon this locality faces each year? Please provide affects of
natural disasters in the production?
Issues Untimely Rain Continuous rain Flash Flood Late Flood Cyclone Salinity
Please
Tick
Affects
Table 27: Farmer responses regarding services received from different actors
DAE Trader
NGO Lead Farmer Company PG
Production and Number (%)
Trading Related Service Service Service Service Service Service Service Service Service Service Service Service
Services Taken Not Taken Not Taken Not Taken Not Taken Not Taken Not
Taken Taken Taken Taken Taken Taken
Seed 17 60 16 61 20 57 4 73 12 65 14 63
(22.1%) (77.9%) (20.8%) (79.2%) (26%) (74%) (5.2%) (94.8 %) (15.6%) (84.4 %) (18.2%) (81.8 %)
Fertilizer Application 31 46 16 61 15 62 2 77 9 68 26 51
(40.3%) (59.7%) (20.8 %) (79.2 %) (19.5 %) (80.5 %) (2.6%) (97.4 %) (11.7 %) (88.3 %) (33.8 %) (66.2 %)
Pest Infestation and 32 45 12 65 19 58 2 77 10 67 38 39
control measure (41.6 %) (58.4 %) (15.6 %) (84.4 %) (24.7 %) (75.3 %) (2.6 %) (97.4 %) (13 %) (87 %) (49.4 %) (50.6 %)
Irrigation 11 66 5 72 12 65 0 77 6 71 7 70
(14.3 %) (85.7 %) (6.5 %) (93.5 %) (15.6 %) (84.4 %) (0 %) (100 %) (7.8 %) (92.2 %) (9.1 %) (90.9 %)
Harvesting 7 70 5 72 5 72 0 77 7 70 9 68
(9.1 %) (90.9 %) (6.5 %) (93.5 %) (6.5 %) (93.5 %) (0 %) (100 %) (9.1 %) (90.9 %) (11.7 %) (88.3 %)
Sorting 8 69 3 74 7 70 1 76 5 72 7 70
(10.4 %) (89.6 %) (3.9 %) (96.1 %) (9.1 %) (90.9 %) (1.3 %) (98.7 %) (6.5 %) (93.5 %) (9.1 %) (89.9 %)
Transportation 4 73 0 77 1 76 0 77 4 73 6 71
(5.2 %) (94.8 %) (0 %) (100 %) (1.3 %) (98.7 %) (0 %) (100 %) (5.2 %) (94.8 %) (7.8 %) (92.2 %)
Packing 4 73 1 76 1 76 0 77 4 73 10 67
(5.2 %) (94.8 %) (1.3 %) (98.7 %) (1.3 %) (98.7 %) (0 %) (100 %) (5.2 %) (94.8 %) (13 %) (87 %)
Trading Related 4 73 4 73 1 76 1 76 3 74 13 64
Service (5.2 %) (94.8 %) (5.2 %) (94.8 %) (1.3 %) (98.7 %) (1.3%) (98.7%) (3.9 %) (96.1%) (16.9 %) (83.1 %)
Price 3 74 3 74 11 68 0 77 12 65 15 65
(3.9 %) (96.1 %) (3.9 %) (96.1 %) (14.3 %) (85.7 %) (0 %) (100%) (15.6 %) (84.4 %) (19.5 %) (80.5 %)
Table 28: Farmers’ responses regarding the quality of different services that they receive
Seed 29 4 5 39 13 3 6 55 12 22 2 41
(37.7 %) ( 5.2%) ( 6.5%) ( 50.6%) (16.9 %) ( 3.9%) (7.8%) (71.4 %) (15.6 %) ( ( 2.6%) ( 53.2%)
28.6%)
Fertilizer Application 26 12 6 33 4 10 7 56 14 22 3 38
( 33.8%) ( 15.6%) ( 7.8%) ( 42.9%) ( 5.2%) ( 13%) ( 9.1%) ( 72.7%) ( 18.2%) ( (3.9 %) ( 49.4%)
28.6%)
Pest Infestation and 26 13 5 33 3 12 6 56 13 31 4 39
Control Measure ( 33.8%) ( 16.9%) ( 6.5%) ( 42.9%) ( 3.9%) ( 15.6%) ( 7.8%) ( 72.7%) ( 16.9%) ( ( 5.2%) ( 50.6%)
27.3%)
Irrigation 21 4 5 47 7 3 5 62 16 5 4 52
( 27.3%) ( 5.2%) ( 6.5%) ( 61%) ( 9.1%) ( 3.9%) ( 6.5%) ( 80.5%) ( 20.8%) ( 6.5%) ( 5.2%) ( 67.5%)
Harvesting 17 4 2 54 5 5 0 67 14 5 2 56
( 22.1%) ( 5.2%) (2.6 %) ( 70.1%) ( 6.5%) ( 6.5%) ( 0.00%) ( 87%) ( 18.2%) ( 6.5%) (2.6 %) ( 72.2%)
Sorting 5 1 2 57 5 2 1 69 13 6 1 57
( 6.5%) ( 1.3%) ( 2.6%) ( 74%) (6.5 %) ( 2.6%) ( 1.3%) ( 89.6%) ( 16.9%) ( 7.8%) ( 1.3%) ( 74%)
Transportation 6 3 12 56 4 3 1 69 5 3 12 57
( 7.8%) ( 3.9%) ( ( 72.7%) ( 5.2%) ( 3.9%) ( 1.3%) (89.6 %) ( 6.5%) (3.9 %) ( ( 74%)
15.6%) 15.6%)
Packing 10 13 4 50 3 7 4 63 6 18 2 51
( 13%) ( 16.9%) ( 5.2%) ( 64.9%) ( 3.9%) ( 9.1%) ( 5.2%) ( 81.8%) ( 7.8%) ( ( 2.6%) ( 66.2%)
23.4%)
Trading Related 5 13 2 57 1 3 2 71 2 15 2 58
Service (6.5 %) ( 16.9%) ( 2.6%) ( 74%) ( 1.3%) ( 3.9%) ( 2.6%) ( 92.2%) ( 2.6%) ( ( 2.6%) ( 75.3%)
19.5%)
Price 9 12 3 53 0 4 3 70 4 16 3 54
( 11.3%) ( 15.6%) ( 3.9%) ( 68.8%) ( 0.00%) ( 5.2%) ( 3.9%) ( 90.9%) ( 5.2%) ( ( 3.9%) ( 70.1%)
20.8%)
Others (please 1 0 0 76 0 0 0 77 1 0 0 76
specify) ( 1.3%) ( 0.00%) ( ( 98.7%) ( 0.00%) ( 0.00%) ( 0.00%) ( 100%) ( 1.3%) ( ( ( 98.7%)
0.00%) 0.00%) 0.00%)
*NR= No Response