Regional trade opportunities for Asian agriculture

Abstract

Trade in food and other agricultural products is increasingly important across East and Southeast Asia, where high-income Asian economies have driven significant agricultural expansion, and the People's Republic of China's (PRC) momentous growth promises more stimulus to agro-food activity in the region. The PRC is expected to become a net importer of agro-food in the coming decades, which will have significant implications within the region. As its middle class continues to emerge, the resource intensity of food consumption (e.g., meat and dairy) will lead to net imports and require expansion of agricultural capacity elsewhere. Because low-income Southeast Asia is generally seen to be well below its agro-food potential, this situation suggests a significant opportunity for self-directed poverty reduction through regional agro-food market expansion. This chapter reviews the history of high-income Asia and the PRC's emergence in the region's agro-food markets. Finally, the Greater Mekong Subregion's role is analyzed for the potential of Asian agro-food trade to contribute to poverty reduction. © 2010 by Emerald Group Publishing Limited. All rights reserved.