Market System and Consumer Dynamic Analysis of the Fish Sector in Bangladesh

Abstract

Over the last few decades Bangladesh has witnessed population growth and rapid economic growth that has resulted in higher disposable incomes. This has been driving demand for fish.According to statistics from the Department of Fisheries, in 2017-18, the fisheries sector contributed 3.57% to the national GDP and that over 11% of the country’s total population were employed in this sector. In the past year, fish production in the country topped 4.27 million metric tonnes. The average annual growth rate of the fisheries sector has been 5.26% - that of agriculture has been even higher at around 10% - over the last 10 years and total fisheries production is projected to rise to 4.55 million MT by 2021 on the back of rising cultured fish production. Given the prominence of the fisheries sector in the Bangladeshi economy, LightCastle Partners, appointed by WorldFish, is conducting a detailed study on the fish and fish-based products market in Rajshahi, Rangpur and some parts of Dhaka. This research project, in its first phase, covered over 1,000 consumer respondents spread over 75 fish markets to better understand market systems and consumer dynamics in this sector. Under the study, consumers have demonstrated a strong affinity towards fish. As a result of massive investments into aquaculture, the fisheries market, which had traditionally been supply-driven, where supply dictated the taste and purchases of the consumer has more recently taken on a demand-driven form. This means that consumers now demand specific types of fish, and cultured fish types such as Tilapia, Rui, Catla, Shing, Magur and Pabda that are in abundant supply are seeing a downward trend in prices. Aquaculture has proliferated to provide a steady stream of fish supply across the year at local markets, accounting for over 84% of national production.