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Country's shrimp farmers have urged the government to give due consideration to the pressing needs of the shrimp sector.
"We specially urge the government to provide cash grants to shrimp farmers against their purchase contracts with relative hatcheries, preferably through banking system, in order to enable them to procure and stock the post-larvae (PLs) in their ponds as an initial immediate support," Nazibul Islam, Secretary General, Shrimp Hatcheries Association of Bangladesh (SHAB) told the FE on Thursday.
He also urged for serous work to be initiated for the recovery of the sector from present crisis and medium and long term plan of action for its sustained growth.
The shrimp production in Bangladesh over an area of about two lakh eighty thousand hectares makes an important contribution to the country's GDP, employment at grass root farm level, hatcheries and other stages of shrimp value chain. More than 50 number of shrimp hatcheries located in Cox's Bazaar supply bulk of the vitally needed Bagda shrimp post-larvae for the sector. The farmers depend on them for their overall production process.
Market insiders said for the forthcoming production cycle the hatcheries have produced 200 million PLs investing considerable capital, other inputs and trained manpower. However, with the onset of the current coronavirus pandemic, which has severely affected the farmers, the hatchery owners apprehend that the badly affected cash strapped farmers would not be able to buy the PLs from the hatcheries.
As a chain reaction, the hatcheries would see their revenue sharply dip and the shrimp farms unable to implement their annual production plan.
The impact of the present crisis will be devastating. The hatcheries will incur large operational and financial losses as well as mounting indebtedness due to failure to timely sell their PLs produced for the coming production season.
On their part, the farmers being unable to pay for the PL purchase, will also suffer serious losses as they will not be able to procure and stock the much needed PLs in their ponds needed for production. A significant cut back in the country's shrimp production and export would inevitably follow.
Mr Nazibul Islam, referring to the crisis situation, appealed to the government to come forward with a targeted aid package that would help shrimp farmers and hatchery owners overcome their present difficulties. He noted that in the absence of timely assistance, the main stakeholders in the sector will face dire existential consequences from which it will be difficult to recover.
Shrimp Hatcheries Association of Bangladesh hailed the recent move of the government to help all important productive sector of the economy.