FERTILIZER DEMAND IN BANGLADESH
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This study has been performed to find out the factors affecting demand for the fertilizers, urea, triple
super phosphate and muriate of potash and also to estimate the relative contribution of the factors by using econometric models. Understanding the behavior of the variables are crucial as fertilizer crisis has become a regular phenomenon and also because fertilizer is so important to our agriculture. Cobb-Douglus type production function has been conceived for the analysis and estimation was done by ordinary least square in double log form. It is found that the price of urea do not play a significant role in determining its demand but prices of TSP and MOP are vital in their demand determinanation and these demands are price elastic. Non-price factors are important as demand factors, and fertilizer demand in all the three types has seasonal variation. Considering the future direction, it is highly likely that urea has to be imported in near future at a higher international price compared to the existing domestic price.