Bangladesh broke record for salt production this year, in a remarkable feat driven by favourable weather conditions.
Farmers have surpassed last year's output by an impressive 22%, reaching a production level unseen in the past 62 years.
Despite Cyclone Mocha posing challenges to the production target, the Bangladesh Small and Cottage Industry Corporation (BSCIC) remains optimistic that the domestic demand for salt will be met.
However, concerns loom over the stability of the salt market as Eid-ul-Azha approaches.
According to data provided by the BSCIC, salt production in 2022 amounted to 1.832 million tonnes.
Anisur RahmanThis year's production target was set at 2.385 million tonnes.
Although falling short of the target, the recently concluded season witnessed an impressive output of 2.232 million tonnes, surpassing the previous year's figures by 489,000 tonnes, or 22%.
Analysis of production data revealed that salt was cultivated in 66,424 acres of land during the 2023 season, indicating an increase of 3,133 acres compared to the previous year.
The average salt production per acre stood at 33.62 tonnes or 840 maunds (40 kg per maund) this year, whereas in 2022, it was 28.95 tonnes per acre.
The surge in production was also attributed to an increase in the number of farmers engaged in salt production, which rose from 37,231 in 2022 to 39,467 in 2023.
The BSCIC and local farmers attribute the rise in production per acre to prolonged drought conditions.
Anisur RahmanDespite a marginal expansion in the production land during the five-month season, the actual yield was remarkably high.
They also believe that farmers' interest in salt production has surged due to favorable prices observed at both the field and wholesale levels in recent years.
Origins
Cox's Bazar, known as the main hub of salt production in the country, witnessed its first commercial salt production around 1960.
Traditionally, salt was produced using field clay, but farmers have now adopted polythene sheets for improved quality.
Salt is cultivated in Cox's Bazar Sadar, Teknaf, Pekua, Maheshkhali, Eidgaon, Chakria, Kutubdia, and Banshkhali upazilas of Chittagong for five months each year, starting from November 15 and concluding on May 15.
However, there have been instances of salt production continuing even after the specified period, particularly if the monsoon season is delayed.
The salt production season officially ended on May 13 this year, due to the forecasted landfall of Cyclone Mocha on May 14-15.
Farmers preemptively halted preparations for salt production as heavy rainfall in the Cox's Bazar region.
The BSCIC later confirmed the conclusion of the season on May 21.
While cyclone frequency subsided, regular rainfall marked the end of the season.
Anisur RahmanMd Zafar Iqbal Bhuiyan, deputy general manager of BSCIC Cox's Bazar Salt Industries Development Office, highlighted that the country's demand for salt is approximately 2.1 million tonnes.
Consequently, the current production has comfortably exceeded domestic requirements.
Bhuiyan attributed the record production to the favorable weather conditions necessary for salt production and the farmer-friendly pricing.
Pricing paradox
However, despite achieving an all-time high in salt production, the price of salt in the country has not witnessed a decline.
At the field level, salt was priced between Tk350 to Tk400 per maund, but by the end of the season, it rose to Tk500 to Tk520.
In the mill or wholesale market, salt is currently trading at Tk1,250 to a maximum of Tk1,500 per two maunds.
Despite a surplus in production of 400,000 tonnes compared to the previous year, salt prices have remained unaffected.
Factors such as increased demand during the upcoming Eid-ul-Adha, rising commodity prices, and supply management challenges contribute to the lack of price reduction.
Traders and mill owners have voiced their concerns regarding BSCIC's salt production practices.
They claim that approximately 15% of salt produced at the field level is wasted each year.
This year, due to the soaring salt prices, farmers harvested salt within 6-7 days instead of the usual 11 days.
As a result, the percentage of malnourished salt increased to 25-30%.
Despite the increased production, the anticipated decline in salt prices failed to materialize.
Industry insiders find the sustained high prices unusual given the record-breaking production levels.
The increasing demand for salt in power plants, dyeing factories, and textile factories annually creates a supply management crisis despite production growth.
The demand spikes further during the Eid-ul-Azha, prompting traders to express concerns about the future stability of the salt market.
