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Export Profitability of Vegetables: A Micro Study of Bangladesh Perspective

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Document pages: 8 pages

Abstract: The present study aims at determining export profitability and the influencing factors of fresh vegetables export from Bangladesh. This study is based on both primary and secondary data. Primary data were collected from 30 vegetable exporters in Dhaka city using direct interview method. The secondary data were collected from different reports of govt. and international organizations. Both tabular and statistical techniques were used to analyze the data. Multiple Linear Regression model was used to estimate the parameters. The findings of the study showed that vegetable exporter’s earned a profit of Tk. 17,750, Tk. 17,759, and Tk. 34,467 per tons from Middle East, UK, South East Asian countries, respectively. The results from the regression analysis should show the effect of the total vegetable production and exchange rate could be interpreted in such a way that the foreign exchange earned from vegetables export could be increased by 1.932 per cent per year on an average due to the increment of total production of vegetables by one per cent. Similarly, it can also be inferred that for one per cent increase in the (value of dollar) exchange rate, the foreign exchange earned from vegetables export could be increased by 0.997 per cent. The major problems identified by the exporters are high cost of air freight, longer custom procedures and inadequate space in cargo. If govt. could formulate proper policy to reduce the problems, Bangladesh could be able to earn more foreign currency from vegetable export.

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