Bangladesh Government Decide To Build On Emergency Stocks

The Bangladeshi government has decided to build on its existing emergency stocks and hence will be buying a record amount of rice from farmers this year at prices 55% higher than in 2007 which is likely to help stimulate production as well.

According to Bangladesh's Food and Agriculture Minister, A.M.M. Shawqkat Ali, the government will build a stockpile of 3.2 million MT of rice; nearly double the previous record for emergency stocks.

Private firms and the government have also imported around 3.5 million MT of food to tackle shortages. Last week the government banned exports of rice for six months.

Impoverished Bangladesh has been hit by a food crisis after floods in July and August and a devastating cyclone in November caused rice prices to double.