A review of international and local tenders for procurement of rice and wheat

Working Paper
[FMRSP Working Paper No. 15]

Due to draught in 1997/98 and floods in 1998/99, Aman production was badly affected in the country. The estimated shortfall in production was 1.1 million MT and 2.1 million MT respectively. To maintain government stocks the Ministry of Food decided to procure rice by both international and local tenders. During this period, domestic price levels were closely maintained at, or very near, the import parity prices until the arrival of the Boro crop of 1998/99. While the government was augmenting public stocks, the private sector imported a total of 3.46 million metric tons of food grain in the 1998/99 financial year.
In all, 8 local and 12 international tenders for rice and 5 international tenders for wheat were floated in FY 1997 to 1999. By these tender processes, the government procured a total of 0.432 million metric tons of rice and 0.584 million metric tons of wheat during this period. This papers attempts to evaluate these tenders and suggests ways to improve the process.

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Date and language
Oct 1999
Personal Author
Agris Subject Categories: 
Trade, marketing and distribution
Agris Subject Categories: 
International trade

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