Fish Price Volatility, Price Transmission, and Market Integration in Bangladesh
Date
2021-08
Authors
Deb Palash, Prokash
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
The world is experiencing a dramatic decline in capture fisheries. To meet the supply deficit, the dependency on the aquaculture industry is growing exponentially and all the major fish producing countries are experiencing significant growth in aquaculture production. This aquaculture growth is associated with two major factors: lower cost of production, and greater control over the production process with higher efficiency. As aquaculture has significant control over the production process, the necessity of investigating price uncertainty is becoming more important than determining production uncertainty. Therefore, in this thesis, I investigate fish price volatility, price transmission, and market integration in Bangladesh, where most of the animal source protein (around 60%) is driven from fish consumption. This study has found that the country is experiencing lower fish price volatility during recent years, which may be the result of substantial growth in aquaculture production. Almost all fish markets in the country are inefficient to adjust a price shock indicating there is more room for improving the functioning of fish markets. Fish originated from only capture sources are showing significantly higher price volatility than those from culture and mixed sources. It is also noted that the direction of causal relationship is moving from retail markets to wholesale markets, which indicates a demand driven behavior where retailers have more market power than wholesalers and producers. Hence, suitable policies are needed not only to continue the growth and innovation of the aquaculture industry but also to support all the participants along the value chain.
Description
Keywords
fish, aquaculture, price, volatility, market, price transmission, market integration, value chain
Citation
Deb Palash, P. (2021). Fish price volatility, price transmission, and market integration in Bangladesh (Unpublished thesis). Texas State University, San Marcos, Texas.