The overview of leading agricultural product of Southeast Asia: Good for invest

southeast asia agriculture production

When it comes to Asia terms, what is on your mind? The largest area? Exactly. Asia becomes the largest region, accounting for roughly 30% of the planet's surface area. It is also the world's most populous land, representing approximately 60% of the current population. Asia has advantages and disadvantages on Earth's surface. The most outstanding coastline of any region is subordinate to the nation's widest variety of climatic extremes. As a result, it delivers the most different kinds of vegetation and animal species on Earth. Since Asia is huge, this article will specifically describe Southeast Asia with a unique continental and leading agriculture product. One of the countries in the equator line benefits its climate and agriculture production. Before you go further, it is good for you to enrich your agriculture production countries here. Now, let's get started answering your question about why Southeast Asia is the largest agricultural production region. 

Behind the scene of becoming the most prominent region producing agricultural production


Southeast Asia has a rich environmental and agricultural diversity. Almost all of the region is mountainous, and temperatures range from lowland areas to mild climates in the highlands. In addition, there is a wide range of topographic conditions, ranging from coastal plain hills and mountains and the alluvial regions in the lowlands to mountain ridges, hills, and mountains in the uplands and highlands. Indeed, most of Southeast Asia has fertile volcanic or alluvial soil quality. In detail, Indonesia has many volcanic mountains that deliver fertile soil, which is good to plant palawija (crops are grown as the second crop in the dry season, e.g., corn, potato, cassava), tobacco, fruits. East Java is Indonesia's prominent rice production, followed by West Java and Central Java. Unsurprisingly, you can find alluvial soils there. Vietnam and Thailand are two of the world's top three rice export commodities. Likewise, certain lands in Malaysia and Indonesia have inceptisol soils. Inceptisol soil is formed from a sedimentary or metamorphic rock with a slightly brownish and blackish color and a somewhat grayish mixture. This land can also support the formation of beautiful forests. Hence, Malaysia and Indonesia can produce oil palm much more. 

Regardless, Southeast Asia is struggling in facing Covid 19 pandemic, climate change, urbanization, water scarcity. Let's say climate change harms sustainable agricultural development because of irregular weather patterns, floods, drought, and natural disasters. Pandemic situation limits farmers' activity to maintain their land. Also, barriers that arise in food distribution and logistics problems between regions and countries can reduce food availability. Southeast Asia countries apply smart farming technology to keep their work flowless and effective in response to this issue. Countries are utility and aware of precision agriculture technology. Some have arranged a program to improve crop quality as they are top agricultural production. Therefore, these Southeast Asia countries contribute to the highest agricultural production globally. Here is the overview of the leading agricultural product of Southeast Asia countries. 

Southeast Asia countries with their prominent agricultural product


Vietnam

Southeast Asia accounts for about half of global rice exports. It produces one-fifth to one-fourth of global output. The Vietnam news predicts that their country will be the second-largest rice exporter in 2021. Vietnam outsourced 6.15 million tons of rice for US$3.07 billion in 2020, a 3.5 percent decline in quantity but a 9.3 percent capital gain over the previous year. Vietnam outsourced almost 1.9 million tons of rice for US$1.01 billion during the first four months of this year, a 10.8 percent decrease in quantity but a 1.2 percent capital gain, owing primarily to a 13.4 percent higher in rice export price, that achieved US$534 per ton on average.

Thailand

2020 became the most competitive year for Thailand and Vietnam. The two countries competed to title as the first runner up of world rice exporter. Yet, Thailand only got the third place as a rice exporter after India and Vietnam. Rice is one of the most crucial agricultural products. Rice is also a food source in Thailand, with each person consuming nearly 115 kilograms per year on average. As a vital economic crop, rice naturally occupies a central position in the private sector. Rice is Thailand's most planted crop, accounting for 45 percent of all Thai farmland, and 17.5 million Thais, or nearly one-fifth of the population, are involved in rice production.


top three rice exporting countries

Indonesia 

Indonesia is the nation's largest palm oil producer, with an annual output of more than 30 million tons. The palm oil industry provides jobs to over 2 million Indonesians, with several obtaining indirect economic advantages. According to US Department of Agriculture data, nearly 85 percent of palm oil is produced in Indonesia and Malaysia. In 2019, Indonesia manufactured 42.5 million tons, compensating for 58 percent of the global market, while Malaysia supplied 19 million tons, accounting for 26 percent of total demand. 

Malaysia

Per previous data, Malaysia follows Indonesia as the second-largest palm oil manufacturer. Sabah becomes the home of palm oil that can deliver 25 percent palm oil supplier. After it, Sarawak contributed 19 percent for global demand, followed by Johor 16 percent, Pahang 14 percent, and Perak 7 percent. 


countries with the highest palm oil production


Lastly, to keep their agricultural production up and stable, each country has programs and strategies. In this digitalization era, technology makes it simpler to develop and improve agricultural products quality. Want to see what are the programs? Stay tuned to our blog and social media. 



Posted by : Nurhayati

Published At : 07/01/2022 09:18:44

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