Agriculture is the key sector
of Myanmar's economy. It provides employment to two thirds
of the population, contributes 58% to the county's GDP and
48% of its exports. However, the sector, nevertheless, has
shown mixed performance over the last two decades.
The agricultural
potential is under-realised as evidenced by relatively low
yields, input use, irrigation coverage despite ample water
resources and low cropping intensity in comparison with other
South and Southeast Asian countries. Malnutrition pockets
exist in various parts of the country despite overall national
food self-sufficiency.
Agricultural growth is central
to any rural development promotion effort. Broad-based and
economically efficient rural growth can significantly help
to reduce rural poverty by bringing about sustainable increase
in productivity and reducing risks and vulnerability for the
poorest population.
A sector review for use by government
and the international donor community to identify issues,
and define broad investment needs to stimulate broad-based
agricultural growth is an essential preparatory step. The
review would include the formulation of feasible options,
suitable strategies and of action plans as a basic framework
for investment decisions-by government and external donors.
The agricultural sector review
is intended to:
• Assist national institutions
and the international donor community to appreciate the large
poverty reduction potential of a broad-based agricultural
and rural investments in Myanmar;
• Assist national institutions to specify a medium and long-term
policies and investment strategies within its overall planning
framework that will improve the incomes and well-being of
the poorest rural communities;
• Advocate increased commitment by international donors to
assist agricultural growth in Myanmar for poverty reduction
and rural sector support.
Some of the key themes expected
to be covered by this Review are:
(a) Identifying the comparative
advantages of Myanmar agriculture and sub-sectors by analysing
ways and means of integrating further market-oriented principles
and policies into the agriculture sector, while protecting
the rural poor from short-term adverse effects of a transition.
(b) Upscaling community development
initiatives and identifying those schemes that are 'best practices'
in terms of beneficiary impact and sustainability; and assessing
the conditions for their replicability on a wider scale within
an appropriate policy framework.
(c) Facilitating agricultural
services and institutions to operate in a more multi-disciplinary
participatory manner; strengthening research and development;
improving land allocation and administration and scaling up
rural financial services.
(d) Conserving and developing
land and water resources by assessing further needs and feasibility
of irrigation development from economic and environmental
aspects. 
