March 4, 2023

Thai agricultural sector series: Raising productivity - 2. Land and Production

Thai agricultural sector series is a special article by ListenField board of director, Dr. Supavud Saicheua.
This series will provide macro view of agricultural sector in Thailand and how ListenField technology can help to solve the problem at the end of the series.

Let's begin...

Agricultural Production Index

Although yield did not increase for two decades, total agricultural production rose significantly from 2005 to 2021 (based on available data) as seen in the table below. What does this mean? It is likely that the increased production could have come from putting less fertile marginal farm land into production and/or further encroachment of natural forests. 

Agricultural Production Index (Bank of Thailand)


Agricultural Production Index (Bank of Thailand)

Again, using World Bank data as seen below, it is clear that Thailand has been allocating more land for agricultural use during the past 20 years.

This is in contrast to the global trend in which less land is being devoted to agriculture. For example, in 2000 the percentage of land for agricultural use was 37.6%. By 2020, this percentage fell to 36.5%. In the case of Thailand, the percentages are 38.8% and 45.0% respectively.

Thailand vs World -- Agricultural Land as % Of Land Area

Given land limitations and increasing concerns about global warming and environmental deterioration, the ability for Thailand to bring more land into cultivation in the future is likely to be severely limited.

In the next series, we will discuss irritation.

Previous article in the series: https://www.listenfield.com/blog/thai-agricultural-sector-series-raising-productivity

More information about the author

https://www.listenfield.com/team

He is currently an Advisor of Kiatnakin Phatra Financial Group.

He was the MD of Phatra Capital Public Company Limited (2011-2017) and was also the MD and Head of Research of Phatra Securities Public Company Limited.

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