Experts flag implementation gaps despite higher agriculture budget

Despite increased allocations for agriculture in the proposed FY2026-27 budget, farmers continue to face rising input costs, post-harvest losses, climate risks, inadequate market access and weak implementation of development programmes, experts said at a roundtable in Dhaka today (17 June).

The discussion, titled "National Budget FY2026-27: Strategic Discussion on Crop Agriculture," was organised by LightCastle Partners and Sustainable Agriculture Foundation (SAF) Bangladesh at a hotel in Gulshan, according to a press release.

Speakers noted that while agriculture remains critical for food security, rural livelihoods, agro-industrial growth and exports, the benefits of public investment have yet to adequately reach smallholder and marginal farmers. They also highlighted the sector's growing vulnerability to climate change and dependence on agricultural inputs.

According to a presentation at the event, the proposed budget allocates Tk28,881 crore to the Ministry of Agriculture, including Tk7,946 crore for development expenditure, up from Tk27,224 crore in FY2025-26. It also proposes Tk17,001 crore in agricultural subsidies, including fertiliser support.

The presentation showed that agriculture's share in the development budget has doubled, while subsidy allocations have declined by 1.4%, with support for industry players shifting towards input tax cuts. Greater emphasis has been placed on water management, irrigation, post-harvest management and assistance through the Farmer Card programme.

However, experts expressed concern over budget implementation. ADP implementation rates fell to 60% in FY2024-25 and 62% in FY2025-26, from 93% in FY2022-23 and 95% in FY2023-24.

Md Habibullah, director of the Admin and Finance Wing at the Department of Agricultural Extension, said government initiatives such as the Farmer Card pilot and post-harvest infrastructure development demonstrate a strong commitment to improving farmers' outcomes.

Anwar Faruque, board director of Bangladesh Krishi Bank and former secretary of the Ministry of Agriculture, said the proposed budget contains positive measures, including reduced duties on essential commodities, tax relief on fertiliser inputs and expansion of the Krishak Card programme. However, he stressed that these benefits must effectively reach farmers and help reduce production costs.

Other speakers included Hasan Zafir Tuhin, chairman of the Barind Multipurpose Development Authority; Dr Wais Kabir, former executive chairman of the Bangladesh Agricultural Research Council; AK Osman Haruni, senior policy advisor for food security and agriculture at the Embassy of the Kingdom of the Netherlands; and Ataus Sopan Malik, managing director of AR Malik Seeds.

The speakers called for stronger implementation of agricultural programmes, enhanced climate resilience, improved market systems, better post-harvest management and greater support for farmers to ensure sustainable growth and higher productivity.

More than 30 policymakers, agricultural scientists, economists, entrepreneurs and development practitioners attended the roundtable.