Abstract: The standard of living of rural people is closely related to rural development, a multidimensional process that often involves the reorganization and reorientation of a nation`s entire economic and social system. Rice marketing is one of the most important factors in determining the rural economy of Bangladesh. This study focuses on the standard of living of rice farmers, marketing channels, prices received by the farmers and intermediaries, marketing costs and net earnings of farmers, margins to intermediaries and the income differences of farmers in the different marketing channels. The research is based on data collected through a survey of 105 farm households and 38 intermediaries carried out during July to August 2003 in Jhikargacha upazila in the Jessore district of Bangladesh. The study found that 83% of households sold exclusively unpolished rice and only 17% of households sold partially polished rice, although selling polished rice could earn 30% more money. As land cultivators with less than one acre did not have sufficient marketable surplus, they were excluded from the survey. In the study, statistical mean has been used for the calculation. It is argued that because of the limits on alternative ways of improving the conditions of the villagers, promotion of polished rice marketing may be a major way of alleviating poverty and improving living conditions.