VALUE CHAIN ANALYSIS OF GHEE IN THE PABNA DISTRICT OF BANGLADESH

Abstract

This thesis conducts a comprehensive value chain analysis of the Ghee industry. It explores the various stages involved in the production, processing, and distribution of Ghee, identifying key activities and actors along the chain. The study assesses the value added at each stage and examines the efficiency, competitiveness, and sustainability of the Ghee value chain. The findings contribute to a deeper understanding of the industry's dynamics and highlight potential areas for improvement and innovation. This research provides valuable insights for policymakers, industry stakeholders, and businesses aiming to enhance the value chain of Ghee. Faridpur, Bhangura and Chatmohar Upazila of Pabna district were selected for the study based on the intensive production of milk value-added milk products. A simple random sampling technique was used for collecting data from 60 Ghee Producers, 20 wholesalers, 20 Online Traders and 20 Retailers grand total of 120 respondents by using a structured interview schedule. Tabular analysis and the OLS model were used for the analysis purpose. The Ghee producer’s TVC (per kg) was about Tk.1546.78, average revenue (Per kg) was about Tk.1690.42, Average Profit (Tk/Kg) was about Tk. 143.63 and maintaining the Avg. BCR of 1.086501. The Wholesaler’s Total Cost (Tk/Kg) was 874.43, Profit (Tk/Kg) was 48.90 and the BCR was 1.06. Online Traders' Total Cost (Tk/Kg) was 1014.20, the Profit (Tk/Kg) was 159.05 and the BCR was 1.15822. The Retailer’s Total Cost (Tk/Kg) was 883.90, Profit (Tk/Kg) was 100.85 and the BCR was 1.114159. The number of total employees and BCR had a positive relationship with the Yearly Profit. Occupation (Other Jobs), To Whom Do They Sell Their Products (Other Manufacturers), Occupation (Ghee Producer), Ownership Type (Others), Education Level etc. had a negative significant relationship with the Yearly Profit. Ghee producers and other respondents faced various problems. Most of them are capital shortages, transportation problems, lack of proper roads, inconsistency of demand, inconsistent supply of raw materials, lack of skilled Labor, and local tolls (Chanda) etc. Some various solutions were expressed by the respondents including loan facilities, Govt. intervention, marketing, training facilities, law and order, public awareness etc.