Bangladesh is an agrarian country with a tropical climate ideally suited for producing various crops, fruits, vegetables, livestock, and fisheries. It also has a promising agro and food processing industry. Agribusiness in Bangladesh, including food processing and associated machinery production, has the highest potential among eight emerging sectors, with domestic market sales estimated to reach $8 billion by 2025. The domestic market size of agribusiness in 2021 was 3.2 billion dollars and is expected to grow to 8 billion dollars in 2025.  

Bangladesh ranks among the top producers of agri and food production in the world, as mentioned: 

• Bangladesh is the 3rd largest producers of Rice,
• Bangladesh ranks as the 2nd largest producers of Jute,
• The 8th largest producer of potatoes in Bangladesh,
• Bangladesh is the 8th largest producer of Guava,
• Bangladesh is the 7th largest producer of Mango,
• Bangladesh is the 9th largest producer of Onion,
• The 6th largest producers of Eggplant (Brinjal) is Bangladesh,
• Bangladesh is the 46th largest producer of Tomato,
• Bangladesh is the 2nd largest producers of Jackfruits 
• Bangladesh is the 2nd largest producers of dried chili

According to the FAO Report 2024, Bangladesh is a leading fish-producing country, ranking second globally in freshwater fish production after India and third in inland open-water capture production. In 2023, Bangladesh produced 48 lakh tonnes of fish, with 32 lakh tonnes from fish farming and 13 lakh tonnes from open water bodies. Hilsa is Bangladesh's national fish. It accounted for half the open waterbody fish production, totalling 6.5 lakh tonnes.

The agro-processing industry is an important manufacturing industry in Bangladesh. Bangladesh's fertile and tropical climate is suitable for the production of fruits, vegetables, livestock, and fisheries. The sector accounts for 20 percent of the country's gross domestic product. It primarily produces items from agriculture, forestry, and fisheries. Agro-food processing involves primary and secondary processing. The industry processes agricultural products in their basic form, which requires conversion into final products like jams, biscuits, etc. The primary inputs for the industry include crops, poultry and livestock, fishery, and some forestry products.   

The demand for packaged food, processed food, ready-to-eat meals, and frozen meals is rising. The market size of agro-processed foods will be about 3.2 billion USD in 2021. Bangladesh exports over 700 items, including 63 agro-processed products such as cereal grains, frozen fish, processed meat, tea, vegetables, tobacco, fruits, spices, and other processed agricultural goods to more than 140 countries. Local consumption of agro-processed products is growing. The last decade's average growth is 8%. The lockdowns prompted by COVID-19 have boosted this growth of processed food consumption, as these foods are more convenient to buy and store. In terms of exports, this sector has tremendous potential. 

The country has favourable conditions for making and exporting agro-processed food, including fertile soil, inexpensive labor, tax breaks, incentives, capital assistance, and ideal weather conditions. In 2019, the domestic market for agro-processed products was valued at approximately USD 2.8 billion, with an annual growth rate of 7.7% between 2005 and 2017. The agro-food processing sector contributes about 1.7% to Bangladesh's GDP and employs around 250,000 people, accounting for 3.5% of total exports in 2024.