Domestic Lentil Production in Bangladesh Is More Advantageous Than Using Overseas Imports

Abstract

Lentils (Lens culinaris), often referred to as the “meat of the poor,” are essential for ensuring food and nutrition security worldwide, including in Bangladesh. Despite being a staple food, Bangladesh remains heavily dependent on lentil imports to meet domestic demand. However, comprehensive economic analyses comparing domestic lentil production with imports are scarce. This study fills a critical research gap by providing evidence-based insights into the financial and economic advantages of domestic lentil production over overseas imports, using primary data collected from 196 farmers in central Bangladesh between March and April 2022. The financial profitability analysis revealed a total cost of USD 979.13/ha, generating a net profit of USD 423.55/ha and yielding a benefit–cost ratio of 1.43. However, the economic profitability analysis indicated a lower total cost of USD 692.00/ha, with a net profit of USD 119.37/ha and a benefit–cost ratio of 1.17. Domestic resource cost analysis revealed that local farmers enjoyed a comparative advantage in lentil production. Similarly, the constructed policy analysis matrix (PAM) demonstrated that, at import parity prices, revenue transfers were positive, affirming the economic viability of domestic lentil production. The estimated indicators—including the nominal protection coefficient on output, nominal protection coefficient on input, effective protection coefficient, and private cost ratio—suggest that existing policies effectively safeguard the interests of domestic farmers. To capitalize on this comparative advantage, measures should be implemented to encourage farmers to expand lentil cultivation. Additionally, further research is essential to develop and integrate improved short-duration lentil varieties within the prevailing rice-dominated cropping patterns.