The budget is presented in June. Setting the background for Bangladesh's agriculture budget therefore means considering the country's farm-based economy as a whole, food security, the effects of climate change and the need to improve farmers' lives.

Agriculture contributes about 12-14% of Bangladesh's GDP and employs a large share of the population (about 40%). Its contribution to employment, poverty reduction and food security matters when the budget is set.

Food security and food stocks: to raise food production, budget allocations for modern technology, seed, fertiliser, irrigation and agricultural research must increase. Investment in sustainable farming is important in the context of climate change.

• Subsidies: keep subsidies on fertiliser, diesel and farm machinery and make them easy to access.
• Farm credit: give farm loans on easy terms and set up a support fund for indebted farmers; improve market management to ensure fair prices for farm produce.
• Research and technology: raise the research budget, especially for developing climate-resilient varieties; expand digital farm information services and training.
• Environment-friendly and sustainable farming: promote organic and eco-friendly practices; prevent water waste in irrigation and encourage recyclable technology.

Bangladesh's agriculture budget should improve farmers' lives, raise productivity and turn farming into a sustainable, technology-based sector.

• Subsidies to cut production costs: adequate subsidies on fertiliser, seed, irrigation, electricity and machinery, so that farmers get these inputs below market price.
• Research and technology development: more funding for agricultural research, strengthening institutions such as BRRI, BARI and BAU; investment in resilient varieties to meet climate change is urgent.
• Overall farm infrastructure: modernise irrigation and drainage; improve roads and communications to ease the transport of rural produce.
• Marketing and storage: more cold stores and silos; direct marketing systems (a digital farmers' market) to ensure fair prices.
• Crop insurance and security: introduce and expand crop insurance for farmers hit by natural disasters; social safety net programmes for farmers (allowances, easy loans).
• Including young and women farmers: training in modern farming and investment incentives for young people; separate support and access to technology for women farmers.

Research is vital to food security. With rising food demand, climate change, shrinking farmland and rising production costs, a research-based agriculture budget is now essential for a sustainable food system.

Bangladesh's national budget has some basic weaknesses for agriculture that hold back farm development and farmers' welfare.

• Inadequate allocation: although agriculture is the lifeblood of the economy, its share of the total budget is very small (usually under 5%), and it does not get an allocation in proportion to its roughly 12-13% share of GDP.
• A conventional, repetitive spending structure: most of the allocation goes on subsidies or running costs (such as fertiliser subsidy), with little for development and long-term projects.
• Too little investment in research and technology: allocations for research institutes are very limited, holding back progress on new varieties, sustainable technology and climate-smart farming.
• Little attention to markets and processing: budget support for marketing, storage, cold stores and processing is almost absent or negligible, and farmers do not get fair prices for what they grow.
• No special initiatives for women and small farmers: there is almost no separate planning or allocation for women or marginal farmers.
• Weak disaster preparedness: specific, effective measures to deal with drought, floods or climate change losses are limited.
• Weak and inefficient implementation: many projects are not completed on time despite allocations, and planning without understanding local farmers' needs reduces the budget's effectiveness. Export capacity is very weak, and farm products are largely unable to compete internationally.

Agriculture budgets in developed countries such as the United States, Canada, the Netherlands, Australia and Japan have clear strengths that have made farming modern, sustainable and profitable.

• Investment in science and technology-based farming: large allocations for research and innovation (a bigger R&D budget), and support for automation, drones, AI and genetic engineering.
• Crop insurance and financial security: crop insurance and compensation systems to cover weather and market risks, with easy loans and subsidies for farmers.
• Efficient infrastructure and supply systems: large investment in irrigation, storage, transport and direct marketing, and public food warehouses and processing centres for food security.
• Training and agricultural education: modern training programmes for farmers and funding for agricultural universities and research institutes.
• Encouraging green and sustainable farming: incentives for organic farming, water-saving technology and climate-resilient methods.
• Digital agriculture: digital apps, information platforms and market management systems for farmers.

The results are high productivity, with bigger yields from less land (precision farming); export capacity, with produce able to compete internationally; higher farm incomes and living standards; lower risk, with farmers protected despite disasters or market swings; environmental protection through sustainable, lower-carbon farming; and youth participation, as technology-based farming draws young people in.

Source: Jagonews24. First published in Bengali on The Agro News.