An Economic Analysis of Jute Sector in Bangladesh : Problems and Prospects

The study makes an attempt to analyze the constraints and future prospects of export-oriented jute in Bangladesh. Economic profitability of jute was measured including an assessment of comparative advantage using policy analysis matrix. Johansen cointegration approach was used to estimate a stationary relationship between world and Bangladeshi raw jute prices as well as among the regional market prices in Bangladesh. Six performance indicators were used to measure marketing efficiency of raw jute. For forecasting purpose, nine deterministic time series models were considered. Several studies have been conducted on marketing system of jute, which were mostly inadequate in terms of area of investigation and reflected very past situation more than a decade ago. The contribution of the present study to the literature is that it will represent the first empirical test of market integration between Bangladeshi and world jute market in a dynamic framework using a recent data set. This book should be useful to the researchers and policy makers in agribusiness and marketing fields, or anyone else for integrated policy formulation.