Effect of COVID-19 on shrimp aquaculture in Bangladesh
31 Pages Posted: 22 Jun 2021 Last revised: 23 Jun 2021
Date Written: June 16, 2021
Shrimp farming is fundamental to the national economy of Bangladesh particularly through earning foreign currency. Through survey data from shrimp farmers in south-west Bangladesh, the impact of COVID-19 was assessed. As national lockdowns restricted access to export markets and movements within country, farm incomes decreased against rising production costs. To compensate, farmers reduced their workforce, but even with the sale of co-cultured finfish they still suffered from large drops in revenue (42.8% average reduction in profit). Reduction in product prices were passed on to the consumer, who enjoyed falling product prices including the more expensive shrimp products, but the markup for nearly all aquaculture products increased. The consequences on the future of shrimp farming are discussed along with coping strategies to build resilience against future uncertainties.
Keywords: COVID-19; Shrimp industry; Food security; Sustainability; Bangladesh
JEL Classification: Q21, Q22, E23, E31, Q28
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