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Watermelon prices triple from farm to market in Bangladesh

In Bangladesh, watermelon cultivation has exceeded targets, with Barishal emerging as a pivotal hub. Despite this, urban consumers face prices three times higher than farm-level rates. Farmers, however, are content with the prices, while consumers express frustration over elevated costs for the summer fruit.

Supply chain analysis reveals that middlemen, rather than farmers, control pricing. The fruit passes through several hands before reaching retail markets. Coastal regions in Patuakhali and Bhola are dominated by expansive watermelon fields. Farmers refer to the crop as "green gold," given its profitability over a short period.

Watermelon cultivation has nearly tripled to 91,715 hectares in the fiscal year (FY) 2022–23, up from 34,615 hectares in 2018–19. Production has similarly increased to 3.6 million tons in FY23, from 1.367 million tons five years prior, as per the Department of Agricultural Extension (DAE). Of this, Barishal contributed approximately 2.7 million tons in FY23.

In Bhola's Char Meghbhasan village, farmers like Motahar Howlader invested $3,700 in 1.3 hectares, selling the yield to wholesalers for $6,000. Large watermelons are priced at $1.10–$1.20 each, and medium ones at $0.73–$0.92. Howlader's production costs and land rent impact his profits. Wholesale traders like Delwar Hossain, who purchased 19.4 hectares, expect 2,400–2,500 watermelons per 0.65 hectares. Large watermelons sell for $2.30–$2.80, with logistics costs inflating retail prices.

In Barishal's markets, 7–8 kg watermelons sell for $3.20–$3.40, reaching $4.10–$4.60 in retail. During Ramadan, demand drives prices. In Patuakhali's Galachipa and Rangabali upazilas, profits are anticipated. Farmer Barek Mridha sold watermelons at $9,200 per hectare. Wholesale buyers from Dhaka have pre-purchased produce. Large watermelons sell for $2.75 each.

Patuakhali accounts for 60% of Barishal's watermelon cultivation, with an additional 4,750 hectares over last year. The average yield is 51.9 tons per hectare. In Patuakhali, 6–7 kg watermelons sell wholesale for $2.20–$2.80, with retail prices reaching $3.70–$4.60.

Shamim Ahmed from DAE Bhola reports 1,355 hectares of watermelon cultivation, with yields of 51.9 tons per hectare. In Mojarchar, 12 kg watermelons sell for $2.75 each. Bhola's watermelons reach 22 kg, offering higher rates for growers.

Md Nazrul Islam Sikder of DAE Barishal notes that intermediaries inflate retail prices, with 65% of the national supply from Barishal. "Farmers sell at relatively low prices, but by the time watermelons reach Dhaka, Chattogram, Faridpur, and other markets, the price triples," he said.

Source: The Daily Star