Inflation in The Food Sector in Bangladesh: Causes and Consequences
The most recent threat to the global economy is the rising food prices. Population did play an important role behind the rising food prices in the recent past. But the scenario has changed over the past thirty years. More than population the rise in the per capita income has fuelled demand, thereby creating the demand supply gap. The ever-expanding demand-supply gap is the contributing factor for this food price rise. In the recent times the shortage in the food supply has led to violence in many parts of the world. This paper attempts to examine the extent to which the recent inflationary impetus in Bangladesh may be attributed to adverse cost conditions or supply side considerations. The paper attempts to identifies the background and the domestic and international factors behind the recent price hikes in Bangladesh .The paper analyze the basic effects due to the food shortage and consequent price hikes in Bangladesh. This paper also shows some policy implications for the global food security.