Introduction [in Myanmar’s agrifood system: Historical development, recent shocks, future opportunities]

Duncan Boughton, Ben Belton, Isabel B. Lambrecht and Bart Minten

Chapter 1 in Myanmar’s agrifood system: Historical development, recent shocks, future opportunities, 2024-10-10, pp p. 1-18 from International Food Policy Research Institute (IFPRI)

Abstract: A decade of rapid, albeit uneven, progress in Myanmar’s economic development was thrown into reverse by a series of shocks that began with the COVID-19 pandemic in early 2020. The pandemic was followed by the military coup of February 2021 and the global food, fuel, and fertilizer supply crisis spurred by the armed conflict in Ukraine that began a year later. The coup led to a surge in conflict around the country, hampering and often devastating the livelihoods of the population at large while also causing the internal displacement of about 2.3 million people by the end of 2023, adding to those displaced during prior conflicts. The sharp depreciation of Myanmar’s currency since the coup multiplied the inflationary impact of international price increases for fuel, fertilizer, and imported vegetable oils, causing inflation to spiral upward even as employment opportunities withered. By late 2023, over 70 percent of the population was estimated to be in poverty, more than double the 2017 poverty rate of 25 percent. Though Myanmar’s agrifood system was not left unscathed by these shocks, it has proved resilient. Agriculture and the rural economy are essential to Myanmar’s development, as 70 percent of the population and 87 percent of the country’s poor live in rural areas (MOPF and World Bank 2017a). Agriculture and its associated agro-industries form a key sector of the national economy, employing half of the total labor force and contributing one-third of national GDP—about 23 percent directly in farm incomes and another 11 percent in agro-processing, distribution, marketing, exports, and food retailing (Chapter 2). Ekanayake, Ambrosio, and Jaffee (2019) estimate that nearly half of Myanmar’s poverty reduction between 2005 and 2015 was attributable directly to progress in agriculture. Therefore, a well-functioning agrifood system is crucial to the welfare and food security of Myanmar’s residents.

Keywords: agrifood systems; development; economic shock; governance; Myanmar; Asia; South-eastern Asia (search for similar items in EconPapers)
Date: 2024-10-10
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