Agriculture in the Philippines is a major sector of the economy, ranking third among the sectors in 2022 behind only Services and Industry. Its outputs include staples like rice and corn, but also export crops such as coffee, cavendish banana, pineapple and pineapple products, coconut, sugar, and mango. [1] The sector continues to face challenges, however, due to the pressures of a growing population. As of 2022 [update] , the sector employs 24% of the Filipino workforce [2] and it accounted for 8.9% of the total GDP. [3]
The Philippines is one of the most vulnerable agricultural systems to monsoons and other extreme weather events, [4] which are expected to create more uncertainty as climate change affects the Philippines. However, the Food and Agriculture Organization has described the local policy measures as some of the most proactive in risk reduction. [5]
In 2022, the country's chief economist Arsenio Balisacan said that Philippine agriculture was in crisis, citing such issues as the high price of meat and rice and low profitability for farmers. [13]
There are 10.66 million people employed in agriculture in the Philippines. [14] The average daily wage for farmers is PHP331.10. Men on average earn PHP335.00 a day, while women earn an average PHP304.60 a day. [15]
Many of the Philippines' farmers operate small-sized farms which have been granted to them as a result of several decades of land reform programs. While land reform is enshrined in the Philippines' 1987 Constitution as a means of ensuring the welfare of small farmers, the land distribution component of these land reform programs have largely not yet been followed through with the agricultural services and infrastructure development needed to make these smallholder farms economically efficient or productive. [16] Economists such as Bernardo M. Villegas have cited the potential of interventions such as Farmers' Cooperatives which would allow smallholder farms to achieve the economies of scale needed to become more economically viable. [16]
Many Filipino farmers live in poverty due to a combination of factors, including economic policy, environmental, and land ownership issues. [17] [18]
In the Philippines, the official professional designation is Licensed and Registered Agriculturist [19] but is more commonly shortened as "Licensed Agriculturist" or more simply as "Agriculturist". They are licensed and accredited after successfully passing the Agriculturist Licensure Examination, regulated by the Professional Regulation Commission and the Board of Agriculture. [20] A Licensed Agriculturist can affix the title "L.Agr." (as name suffix) or "Agr." (as name prefix) to indicate the profession. [21]
The primary role of agriculturists are to prepare technical plans, specifications, and estimates of agriculture projects such as in the construction and management of farms and agribusiness enterprises. [22] The practice of agriculture also includes the following:
A prospective professional agriculturist is typically required to have a four-year Bachelor of Science degree in Agriculture, although other degree programs directly related to agriculture are also allowed to take the licensure examination if they earn at least eighteen (18) units of agriculture credits from a recognized higher education institution. [23] About 5,500 registered agriculturists pass the licensure examination annually. [24] It is one of the hardest licensure examinations in the country with 29.84% passing rate in November 2021. [25] [26]
The agriculturist profession and its board of agriculturists were created in 2002 by the Professional Regulation Commission, [23] in order to "upgrade the agriculture and fisheries profession" [27] by the virtue of the Agriculture and Fisheries Modernization Act of 1997. The practice of the agriculture profession is a professional service admission. Similar to other professions in the Philippines, malpractice and illegal practice of agriculture are grounds for suspension or revocation of certificates of registration and professional licenses. [28] Licensed agriculturists in the Philippines are integrated into one accredited integrated professional organization, which is the Philippine Association of Agriculturists.The Philippines is the 8th largest rice producer in the world, accounting for 2.8% of global rice production. [29] The Philippines was also the world's largest rice importer in 2010. [30] In 2010, nearly 15.7 million metric tons of palay (pre-husked rice) were produced. [31] In 2010, palay accounted for 21.86% percent of gross value added in agriculture and 2.37% of GNP. [32] Self-sufficiency in rice reached 88.93% in 2015. [33]
Rice production in the Philippines has grown significantly since the 1950s. Improved varieties of rice developed during the Green Revolution, including at the International Rice Research Institute based in the Philippines, have improved crop yields. Crop yields have also improved due to increased use of fertilizers. Average productivity increased from 1.23 metric tons per hectare in 1961 to 3.59 metric tons per hectare in 2009. [29] [ original research? ]
Harvest yields have increased significantly by using foliar fertilizer (Rc 62 -> 27% increase, Rc 80 -> 40% increase, Rc 64 -> 86% increase) based on PhilRice National Averages. [34]
The government has been promoting the production of golden rice. [35] However, in April 2023, the Supreme Court of the Philippines issued a Writ of Kalikasan ordering the Department of Agriculture to stop the commercial distribution of genetically modified rice and eggplants in the country. [36]
The table below shows some of the agricultural products of the country per region. [37]
Region | Rice | Corn/maize | Coconut | Sugarcane | Pineapple | Watermelon | Banana |
---|---|---|---|---|---|---|---|
Ilocos Region | 1,777,122 | 490,943 | 39,463 | 19,512 | 197 | 26,936 | 43,164 |
Cordillera (CAR) | 400,911 | 237,823 | 1,165 | 51,787 | 814 | 141 | 26,576 |
Cagayan Valley | 2,489,647 | 1,801,194 | 77,118 | 583,808 | 35,129 | 7,416 | 384,134 |
Central Luzon | 3,304,310 | 271,319 | 167,737 | 678,439 | 1,657 | 7,103 | 58,439 |
NCR | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Calabarzon | 392,907 | 64,823 | 1,379,297 | 1,741,706 | 88,660 | 2,950 | 96,306 |
MIMAROPA | 1,081,833 | 125,492 | 818,146 | 0 | 448 | 3,192 | 168,299 |
Bicol Region | 1,264,448 | 243,908 | 1,105,743 | 239,010 | 130,595 | 5,598 | 76,452 |
Western Visayas | 1,565,585 | 213,362 | 294,547 | 1,682,940 | 12,687 | 83,336 | 200,222 |
Negros Island Region | 557,632 | 185,747 | 274,315 | 13,440,259 | 9,468 | 546 | 157,974 |
Central Visayas | 269,801 | 101,333 | 274,069 | 241,573 | 998 | 1,161 | 126,220 |
Eastern Visayas | 955,709 | 91,145 | 1,165,867 | 179,363 | 7,186 | 670 | 227,223 |
Zamboanga Peninsula | 661,775 | 220,180 | 1,682,121 | 107 | 1,657 | 638 | 281,856 |
Northern Mindanao | 725,120 | 1,216,301 | 1,851,702 | 3,065,463 | 1,468,386 | 2,024 | 1,832,173 |
Davao Region | 441,868 | 224,100 | 2,246,188 | 208,743 | 26,880 | 1,070 | 3,455,014 |
Soccsksargen | 1,291,644 | 1,239,275 | 1,159,818 | 680,383 | 794,334 | 2,132 | 1,159,091 |
Caraga Region | 653,431 | 118,774 | 804,722 | 0 | 2,682 | 3,010 | 259,738 |
ARMM | 488,215 | 673,036 | 1,393,168 | 113,343 | 921 | 80 | 531,048 |
Corn/maize is the second most important crop in the Philippines. 600,000 farm households are employed in different businesses in the corn value chain. As of 2012 [update] , around 2.594 million hectares (6.41×10 6 acres) of land is under corn cultivation and the total production was 7.408 million metric tons (8.166×10 6 short tons). [38] The government has been promoting Bt corn for hardiness against insects and higher yields. [35]
Coffee is an important agricultural product in the Philippines, and is one of the Philippines' most important export products [40] aside from being in high demand in the country's local consumer market. [41]
The Philippines is one of the few countries that produce the four main viable coffee varieties; Arabica , Liberica (Barako), Excelsa and Robusta . [42] 90 percent of coffee produced in the country is Robusta. There have been efforts to revitalize the coffee industry. [43]
As of 2014, the Philippines produces 25,000 metric tons of coffee and is ranked 110th in terms of output. However local demand for coffee is high with 100,000 metric tons of coffee consumed in the country per year. [41]
Coffee was said to have been introduced in the Philippines around 1696 when the Dutch introduced coffee in the islands. It was once a major industry in the Philippines, which by the 1800s was the fourth largest coffee producing nation. [44]
However, Islamic culture has been pervaded by coffee drinkers from the 1500s. And with the close ties of the Philippines to the Islamic World since the 12th century, it would not be impossible to speculate that coffee has been in the Philippines before the Dutch "introduced" it. [45]Coconuts play an important role in the national economy of the Philippines. According to figures published in December 2015 by the Food and Agriculture Organization of the United Nations, it is the world's largest producer of coconuts, producing 19,500,000 tonnes in 2015. [46] Production in the Philippines is generally concentrated in medium-sized farms. [47] There are 3.5 million hectares dedicated to coconut production in the Philippines, which accounts for 25 percent of total agricultural land in the country. [48] In 1989, it was estimated that between 25 percent and 33 percent of the population was at least partly dependent on coconuts for their livelihood. Historically, the Southern Tagalog and Bicol regions of Luzon and the Eastern Visayas were the centers of coconut production. [49] In the 1980s, Western Mindanao and Southern Mindanao also became important coconut-growing regions. [49]
The Philippines is the world's third largest producer of pineapples, producing more than 2.4 million of tonnes in 2015. [50] The Philippines was in the top three banana producing countries in 2010, including India and China. [51] Davao and Mindanao contribute heavily to the total national banana crop. [51] Mangoes are the third most important fruit crop of the country based on export volume and value next to bananas and pineapples. [52]
There are at least 19 provinces and 11 regions that produce sugarcane in the Philippines. A range from 360,000 to 390,000 hectares are devoted to sugarcane production. The largest sugarcane areas are found in the Negros Island Region, which accounts for 51% of sugarcane areas planted. This is followed by Mindanao which accounts for 20%; Luzon by 17%; Panay by 07%; and Eastern Visayas by 04%. [53] It is estimated that as of 2012 [update] , the industry provides direct employment to 700,000 sugarcane workers spread across 19 sugar producing provinces. [54]
Sugar growing in the Philippines pre-dates colonial Spanish contact. [55] Sugar became the most important agricultural export of the Philippines between the late eighteenth century and the mid-1970s. [55] During the 1950s and 60s, more than 20 percent income of Philippine exports came from the sugar industry. [55] Between 1913 and 1974, the Philippines sugar industry enjoyed favoured terms of trade with the US, with special access to the protected and subsidized the American sugar market. [55]
Aquaculture in the Philippines (which includes fish, shellfish, and seaweed farming) comprises 39% of the country's fisheries sector. The rest of the fisheries sector is composed of commercial and municipal fishing. [60]
Some of the more common aquaculture products in the Philippines are bangus, tilapia, catfish and mudfish, and prawns. [60]
Up to 27% of total aquaculture production comes from the Bangsamoro Autonomous Region in Mindanao. [60]
Aquaculture accounts for 51% of fish produced in the country. [61]
Climate change poses a major threat to fishing and fish farming in the Philippines. [62]
Crocodile farming in the Philippines refers to agricultural industries involving the raising and harvesting of crocodiles for the commercial production of Crocodile meat and crocodile leather.
In the Philippines, crocodile farmers breed and raise two species of Philippine crocodiles: the Philippine saltwater crocodile ( Crocodylus porosus ) [63] and the Philippine freshwater crocodile ( Crocodylus mindorensis ). Farms that trade crocodile skin are regulated by the Convention on International Trade in Endangered Species (CITES). [63] [64]
Crocodiles help maintain the balance of Philippine ecosystems such as wetlands; crocodile farming in the Philippines is also geared towards the rescue and conservation of both C. porosus and the "endangered and endemic" C. mindorensis. Crocodile farms also contribute to tourism in the Philippines and offer public education about crocodiles. [63] [64]According to the Philippine Fiber Industry Development Authority, the Philippines provided 87.4% of the world's abaca in 2014, earning the Philippines US$111.33 million. [67] The demand is still greater than the supply. [67] The remainder came from Ecuador (12.5%) and Costa Rica (0.1%). [67] The Bicol region in the Philippines produced 27,885 metric tons of abaca in 2014, the largest of any Philippine region. [67] The Philippine Rural Development Program (PRDP) and the Department of Agriculture reported that in 2009–2013, Bicol Region had 39% share of Philippine abaca production while overwhelming 92% comes from Catanduanes Island. Eastern Visayas, the second largest producer had 24% and the Davao Region, the third largest producer had 11% of the total production. Around 42 percent of the total abaca fiber shipments from the Philippines went to the United Kingdom in 2014, making it the top importer. [67] Germany imported 37.1 percent of abaca pulp from the Philippines, importing around 7,755 metric tons (MT). [67] Sales of abaca cordage surged 20 percent in 2014 to a total of 5,093 MT from 4,240 MT, with the United States holding around 68 percent of the market. [67]
There are an estimated 458,000 families dependent upon the cultivation of rubber trees. Rubber is mainly planted in Mindanao, with some plantings in Luzon and the Visayas. [68] As of 2013 [update] , the total rubber production is 111,204 tons. [69]
The Food and Agriculture Organization described local policy measures as some of the most proactive in risk reduction. [5]
The government supports the approval and cultivation of genetically modified crops. [35] However, the Supreme Court issued injunctions against genetically modified products in 2015 and 2023. Farmers and environmentalists have held demonstrations and filed court petitions protesting the promotion, cultivation, and sale of genetically modified products in the Philippines. [70] [71]
The Department of Agriculture (abbreviated as DA; Filipino: Kagawaran ng Pagsasaka) is the executive department of the Philippine government responsible for the promotion of agricultural and fisheries development and growth. [72] It has its headquarters at Elliptical Road corner Visayas Avenue, Diliman, Quezon City.
The department is currently led by the secretary of agriculture, nominated by the president of the Philippines and confirmed by the Commission on Appointments. The secretary is a member of the Cabinet. The current secretary is Francisco Tiu Laurel Jr., who assumed office on November 3, 2023.Some agricultural practices, including export crops and encroachment by small farmers, lead to deforestation. [73] Deforestation may in turn affect water supply needed by farms. [73]
Due to the loss of watershed areas, water supply and quality have decreased. Deforestation has also resulted in erosion and siltation, leading to worsened water quality. [73]
Heavy use of chemical fertilizers have also led to declining soil quality. [73]
Agriculture is one of the Philippines' largest sectors and will continue to be adversely impacted by the effects of climate change. The agriculture sector employs 35% of the working population and generated 13% of the country's GDP in 2009. [74] The two most important crops, rice and corn, account for 67% of the land under cultivation and stand to see reduced yields from heat and water stress. [74] In addition to these challenges, the agricultural sector in the Philippines has also been significantly impacted by the drought conditions induced by El Niño . This phenomenon has led to considerable agricultural losses, estimated at about 4.4 billion pesos ($76.2 million). Nearly 78,000 hectares of agricultural land, predominantly used for rice cultivation, have been affected. [75] Rice, wheat, and corn crops are expected to see a 10% decrease in yield for every 1 °C increase over a 30 °C average annual temperature. [76]
Increases in extreme weather events will have devastating effects on agriculture. Typhoons (high winds) and heavy rainfall contribute to the destruction of crops, reduced soil fertility, altered agricultural productivity through severe flooding, increased runoff, and soil erosion. [76] Droughts and reduced rainfall lead to increased pest infestations that damage crops as well as an increased need for irrigation. [76] Rising sea levels increases salinity which leads to a loss of arable land and irrigation water. [76]
All of these factors contribute to higher prices of food and an increased demand for imports, which hurt the general economy as well as individual livelihoods. [76] From 2006 to 2013, the Philippines experienced a total of 75 disasters that cost the agricultural sector $3.8 billion in loss and damages. [76] Typhoon Haiyan alone cost the Philippines' agricultural sector an estimated US$724 million after causing 1.1 million tonnes of crop loss and destroying 600,000 ha of farmland. [77] The agricultural sector is expected to see an estimated annual GDP loss of 2.2% by 2100 due to climate impacts on agriculture. [76]Agricultural areas are being subjected to land conversion to make way for development projects, to the detriment of farmers' welfare and the country's food security. [78] According to former Department of Agriculture secretary Florencio Abad, farmlands are also being converted for non-agricultural purposes, such as for housing subdivisions, shopping centers, golf courses or recreation camps, export processing zones, and mining exploration. [79] Massive land use conversion occurring in the country harms the agricultural sector in general and has negative effects on food security and rice supply. It also leads to higher prices for basic commodities and worsens the country's dependence on agricultural imports. [79]
Farmers and fishers belong to the poorest sectors of Philippine society. The incidence of poverty among farmers was estimated at 31.6% in 2018 [80] (compared to the 16.7% national poverty incidence), [81] according to data from the Philippine Statistics Authority.
Low-skilled agricultural workers usually receive wages at rates following the regional daily minimum wage set by the government. These rates are close to the national poverty threshold. [82]
The issue of low wages may be compounded by landlessness among farmers, as well as contractual and informal work arrangements that do not provide job security or continuing access to statutory benefits (such as health benefits and other social safety nets). [82] Contractual and informal work arrangements also create barriers that prevent farmers from exercising their constitutional right to free association and collective bargaining, which in turn prevent workers from gaining higher pay and developing new skills. [82]
Farmers in the Philippines are exposed to various occupational safety and health hazards. These include exposure to harmful pesticides and chemical fertilizers, physical injuries, and long work hours, according to the International Labour Organization. [83]
Farmers, fishers, land reform advocates, labor rights activists, and ancestral land defenders have been harassed or killed in the Philippines by state and non-state actors. During the 2021 commemoration of the Mendiola massacre, the Commission on Human Rights called for "an end to all killings and impunity in the country" and stressed "the need to protect the people's right to protest and express dissent, as well as to resist any move that would diminish or undermine the people's enjoyment of their rights". [84] House Bill 1112 filed in Congress seeks to declare January 22 as National Farmer's Day. [85]
The economy of the Philippines is an emerging market, and considered as a newly industrialized country in the Asia-Pacific region. In 2024, the Philippine economy is estimated to be at ₱26.55 trillion, making it the world's 32nd largest by nominal GDP and 13th largest in Asia according to the International Monetary Fund.
An agricultural subsidy is a government incentive paid to agribusinesses, agricultural organizations and farms to supplement their income, manage the supply of agricultural commodities, and influence the cost and supply of such commodities.
Agriculture in the Empire of Japan was an important component of the pre-war Japanese economy. Although Japan had only 16% of its land area under cultivation before the Pacific War, over 45% of households made a living from farming. Japanese cultivated land was mostly dedicated to rice, which accounted for 15% of world rice production in 1937.
Agriculture in Thailand is highly competitive, diversified and specialized and its exports are very successful internationally. Rice is the country's most important crop, with some 60 percent of Thailand's 13 million farmers growing it on almost half of Thailand's cultivated land. Thailand is a major exporter in the world rice market. Rice exports in 2014 amounted to 1.3 percent of GDP. Agricultural production as a whole accounts for an estimated 9–10.5 percent of Thai GDP. Forty percent of the population work in agriculture-related jobs. The farmland they work was valued at US$2,945/rai in 2013. Most Thai farmers own fewer than eight ha (50 rai) of land.
Agriculture's share of GDP has declined in recent years, falling from 42% in 1989, to 26% in 1999. In 2023, agriculture and forestry accounted for about 12% of Vietnam's gross domestic product (GDP). However, agricultural employment was much higher than agriculture's share of GDP; in 2005, approximately 60 percent of the employed labor force was engaged in agriculture, forestry, and fishing. Agricultural products accounted for 30 percent of exports in 2005. The relaxation of the state monopoly on rice exports transformed the country into the world's second or third largest rice exporter. Other cash crops are coffee, cotton, peanuts, rubber, sugarcane, and tea.
The primary form of agriculture in Sri Lanka is rice production. Rice is cultivated during Maha and Yala seasons. Tea is cultivated in the central highlands and is a major source of foreign exchange. Vegetables, fruits and oilseed crops are also cultivated in the country. There are two Agriculture Parks abbreviated as A. Parks established by the Department of Agriculture. Out of the total population in Sri Lanka, 27.1% engages in agricultural activities. Agriculture accounted for 7.4% of the GDP in 2020.
Agriculture is the largest employment sector in Bangladesh, making up 14.2 percent of Bangladesh's GDP in 2017 and employing about 42.7 percent of the workforce. The performance of this sector has an overwhelming impact on major macroeconomic objectives like employment generation, poverty alleviation, human resources development, food security, and other economic and social forces. A plurality of Bangladeshis earn their living from agriculture. Due to a number of factors, Bangladesh's labour-intensive agriculture has achieved steady increases in food grain production despite the often unfavorable weather conditions. These include better flood control and irrigation, a generally more efficient use of fertilisers, as well as the establishment of better distribution and rural credit networks.
Agriculture is one of the main industries in Taiwan. It contributes to the food security, rural development and conservation of Taiwan. Around 24% of Taiwan's land is used for farming.
Agriculture in Haiti describes the tortured agricultural history of an island nation once described as the "Pearl of the Antilles". The Taíno people were the farming inhabitants of the island when the Spanish first visited in the late 15th century. The Taino died out from European diseases and exploitation and were replaced with imported African slaves. In the 18th century, Haiti became a country of large plantations, especially of sugar cane, owned by Europeans and worked by hundreds of thousands of slaves. The slaves revolted in 1791 and gained independence from France. The plantations were broken up and the land was distributed to former slaves who primarily engaged in subsistence agriculture with coffee as their most important cash crop and as Haiti's most important export.
Angola is a potentially rich agricultural country, with fertile soils, a favourable climate, and about 57.4 million ha of agricultural land, including more than 5.0 million ha of arable land. Before independence from Portugal in 1975, Angola had a flourishing tradition of family-based farming and was self-sufficient in all major food crops except wheat. The country exported coffee and maize, as well as crops such as sisal, bananas, tobacco and cassava. By the 1990s Angola produced less than 1% the volume of coffee it had produced in the early 1970s, while production of cotton, tobacco and sugar cane had ceased almost entirely. Poor global market prices and lack of investment have severely limited the sector since independence.
Uganda's favorable soil conditions and climate have contributed to the country's agricultural success. Most areas of Uganda have usually received plenty of rain. In some years, small areas of the southeast and southwest have averaged more than 150 millimeters per month. In the north, there is often a short dry season in December and January. Temperatures vary only a few degrees above or below 20 °C but are moderated by differences in altitude.
Agriculture in Kenya dominates Kenya's economy. 15–17 percent of Kenya's total land area has sufficient fertility and rainfall to be farmed, and 7–8 percent can be classified as first-class land. In 2006, almost 75 percent of working Kenyans made their living by farming, compared with 80 percent in 1980. About one-half of Kenya's total agricultural output is non-marketed subsistence production.
The southeast Asian country of Laos, with a landmass of 23.68 million hectares, has at least 5 million hectares of land suitable for cultivation. Seventeen percent of this land area is actually cultivated, less than 4 percent of the total area.
The role of agriculture in the Bolivian economy in the late 1980s expanded as the collapse of the tin industry forced the country to diversify its productive and export base. Agricultural production as a share of GDP was approximately 23 percent in 1987, compared with 30 percent in 1960 and a low of just under 17 percent in 1979. The recession of the 1980s, along with unfavorable weather conditions, particularly droughts and floods, hampered output. Agriculture employed about 46 percent of the country's labor force in 1987. Most production, with the exception of coca, focused on the domestic market and self-sufficiency in food. Agricultural exports accounted for only about 15 percent of total exports in the late 1980s, depending on weather conditions and commodity prices for agricultural goods, hydrocarbons, and minerals.
Throughout its history, agriculture in Paraguay has been the mainstay of the economy. This trend has continued today and in the late 1980s the agricultural sector generally accounted for 48 percent of the nation's employment, 23 percent of GDP, and 98 percent of export earnings. The sector comprised a strong food and cash crop base, a large livestock subsector including cattle ranching and beef production, and a vibrant timber industry.
In the Philippines, rice production is an important aspect of the country's food supply and economy. The Philippines is the 8th-largest rice producer in the world, accounting for 2.8% of global rice production. The Philippines was also the world's largest rice importer in 2010. There are an estimated 2.4 million rice farmers in the Philippines as of 2020.
Agriculture in Panama is an important sector of the Panamanian economy. Major agricultural products include bananas, cocoa beans, coffee, coconuts, timber, beef, chicken, shrimp, corn, potatoes, rice, soybeans, and sugar cane.
Costa Rican agriculture plays a profound part in the country's gross domestic product (GDP). It makes up about 6.5% of Costa Rica's GDP, and 14% of the labor force. Depending upon location and altitude, many regions differ in agricultural crops and techniques. The main exports include: bananas, pineapples, coffee, sugar, rice, vegetables, tropical fruits, ornamental plants, corn, potatoes and palm oil.
Agriculture in the Republic of the Congo is mostly at the subsistence level. Self-sufficiency in food production is yet to be achieved. Cassava (manioc) is the basic food crop everywhere in the country except in the southern region, where bananas and plantains are prevalent. Among the cash crops, the most important are sugarcane and tobacco, though palm kernels, cacao, and coffee are also cultivated to some extent. The main consumption crops are bananas, manioc, peanuts, plantains, sugarcane, and yams. Subsistence agriculture is the country's most significant employer, and it is one of the three most important economic sectors. With the government's efforts since 1987, agricultural production has increased due to "abolishing state marketing boards, freeing prices, launching new agricultural credit institutions and closing down most state farms". The Niari Valley in the south is a notable agricultural area.
Agriculture is the main part of Tanzania's economy. As of 2016, Tanzania had over 44 million hectares of arable land with only 33 percent of this amount in cultivation. Almost 70 percent of the rich population live in rural areas, and almost all of them are involved in the farming sector. Land is a vital asset in ensuring food security, and among the nine main food crops in Tanzania are maize, sorghum, millet, rice, wheat, beans, cassava, potatoes, and bananas. The agricultural industry makes a large contribution to the country's foreign exchange earnings, with more than US$1 billion in earnings from cash crop exports.
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