Assessing the market power of millers and wholesalers in the Bangladesh rice sector
Purpose: Because of the increasing differential between farm and retail prices, the study proposes to investigate the extent of market power in the rice value chain of Bangladesh using advanced econometric techniques. Design/ methodology/ approach: Using a Stochastic Frontier Estimation approach on...
| Main Authors: | , , , , , |
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| Format: | Journal Article |
| Language: | Inglés |
| Published: |
Emerald Publishing Limited
2021
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| Subjects: | |
| Online Access: | https://hdl.handle.net/10568/109176 |
| _version_ | 1855516802156593152 |
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| author | Rahman, M.C. Pede, Valerien O. Balie, J. Pabuayon, I.M. Yorobe, J.M. Mohanty, Samarendu |
| author_browse | Balie, J. Mohanty, Samarendu Pabuayon, I.M. Pede, Valerien O. Rahman, M.C. Yorobe, J.M. |
| author_facet | Rahman, M.C. Pede, Valerien O. Balie, J. Pabuayon, I.M. Yorobe, J.M. Mohanty, Samarendu |
| author_sort | Rahman, M.C. |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | Purpose: Because of the increasing differential between farm and retail prices, the study proposes to investigate the extent of market power in the rice value chain of Bangladesh using advanced econometric techniques. Design/ methodology/ approach: Using a Stochastic Frontier Estimation approach on cross-sectional data, the study examines the price spread along the rice value chain to determine whether millers and wholesalers exercise market power. Findings: Empirical results reveal that, on average, rice millers and wholesalers charge 33 and 29% above the marginal cost, respectively. This study confirms the non-competitive behavior of the rice market with wholesalers and millers wielding substantial market power. Research limitations/ implications: A limitation of the study is that it does not include the retailers who also play a major role in the Bangladesh rice value chain. This is left for future study. Originality/ value: This study combines primary and secondary data collected on the Bangladesh rice sector to examine the market power of two major players along the value chain, millers and wholesalers, using an advanced econometrics approach. |
| format | Journal Article |
| id | CGSpace109176 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 2021 |
| publishDateRange | 2021 |
| publishDateSort | 2021 |
| publisher | Emerald Publishing Limited |
| publisherStr | Emerald Publishing Limited |
| record_format | dspace |
| spelling | CGSpace1091762025-12-08T10:29:22Z Assessing the market power of millers and wholesalers in the Bangladesh rice sector Rahman, M.C. Pede, Valerien O. Balie, J. Pabuayon, I.M. Yorobe, J.M. Mohanty, Samarendu rice value chains marketing margins stochastic models development agricultural biological sciences development economics econometrics Purpose: Because of the increasing differential between farm and retail prices, the study proposes to investigate the extent of market power in the rice value chain of Bangladesh using advanced econometric techniques. Design/ methodology/ approach: Using a Stochastic Frontier Estimation approach on cross-sectional data, the study examines the price spread along the rice value chain to determine whether millers and wholesalers exercise market power. Findings: Empirical results reveal that, on average, rice millers and wholesalers charge 33 and 29% above the marginal cost, respectively. This study confirms the non-competitive behavior of the rice market with wholesalers and millers wielding substantial market power. Research limitations/ implications: A limitation of the study is that it does not include the retailers who also play a major role in the Bangladesh rice value chain. This is left for future study. Originality/ value: This study combines primary and secondary data collected on the Bangladesh rice sector to examine the market power of two major players along the value chain, millers and wholesalers, using an advanced econometrics approach. 2021-05-24 2020-09-02T18:03:29Z 2020-09-02T18:03:29Z Journal Article https://hdl.handle.net/10568/109176 en Limited Access Emerald Publishing Limited Rahman, M.C.; Pede, V.; Balie, J.; Pabuayon, I.M.; Yorobe, J.M.; Mohanty, S. (2020). Assessing the market power of millers and wholesalers in the Bangladesh rice sector. Journal of Agribusiness in Developing and Emerging Economies. ISSN 2044-0839. Published Online 21Jul2020 |
| spellingShingle | rice value chains marketing margins stochastic models development agricultural biological sciences development economics econometrics Rahman, M.C. Pede, Valerien O. Balie, J. Pabuayon, I.M. Yorobe, J.M. Mohanty, Samarendu Assessing the market power of millers and wholesalers in the Bangladesh rice sector |
| title | Assessing the market power of millers and wholesalers in the Bangladesh rice sector |
| title_full | Assessing the market power of millers and wholesalers in the Bangladesh rice sector |
| title_fullStr | Assessing the market power of millers and wholesalers in the Bangladesh rice sector |
| title_full_unstemmed | Assessing the market power of millers and wholesalers in the Bangladesh rice sector |
| title_short | Assessing the market power of millers and wholesalers in the Bangladesh rice sector |
| title_sort | assessing the market power of millers and wholesalers in the bangladesh rice sector |
| topic | rice value chains marketing margins stochastic models development agricultural biological sciences development economics econometrics |
| url | https://hdl.handle.net/10568/109176 |
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