The Emerging Pattern of Rural Non-farm Sector in Bangladesh: A Review of Micro Evidence

Debapriya Bhattacharya
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Debapriya Bhattacharya: Former Senior Research Fellow, Bangladesh Institute of Development Studies (BIDS)

Bangladesh Development Studies, 1996, vol. 24, issue 3-4, 103-141

Abstract: The conventional view on Bangladesh's rural industries (for that matter, rural non-farm activities in general) maintains that the sector constitutes of units characterised by informal organisation of production, subsistence level of operation, rudimentary technology and low skill requirement, predominant use of family labour and indigenous raw material, depressed factor productivity, and production of low price substitute for local market. The rationale for the promotion of rural non-farm activities (RNAs), given their high labour intensity, in this context, is usually identified with the overriding concern of the country for the provision of productive employment to a growing work force, particularly to rural unskilled labour. The general prognosis in this regard envisages that as the economy undergoes structural transformation, the importance of rural non-farm activities in general and rural industries in particular, will decline in response to evolving conditions and influences (Hymer and Resnick 1969). Macro level evidence and analysis provided elsewhere in the present volume (Bakht 1996) has brought to the fore that recent development experience (i.e., in the 1980s and early 1990s) in Bangladesh do not lend support to this hypoth

Keywords: Cottage industries; Employment; Rural areas; Small scale industry; Disbursements; Development studies; Livestock; Livestock industries (search for similar items in EconPapers)
JEL-codes: A12 (search for similar items in EconPapers)
Date: 1996
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