Box 1. Small Farms and Large Farms: Efficiency and Equity Implications of Agricultural
Growth
Alternate models. The Government of Myanmar faces important policy choices in the agricultural sector, in particular whether to focus public resources on the smallholder sector or large-scale commercial farming. This is a policy question on which much can be learned from the development experience of other countries in the region and around the world. Many land-constrained Asian countries – including India, China, South Korea, Japan, Vietnam, Bangladesh and the Philippines – have focused their agricultural development strategies on small-farmer-led growth.Others, including Laos and Cambodia, have followed a mixed strategy that promotes large-scale private agribusiness investment alongside local small farms. At the other end of the spectrum, land-abundant Brazil has centered its agricultural growth strategy on highly mechanized, large-scale farms. Over the past three decades, these large farms have successfully turned Brazil into a highly competitive exporter of soybeans, sugar and meat. Which of these strategies will best suit Myanmar? Available evidence on the efficiency and equity implications of alternate
agricultural growth strategies can help to answer to this question.
Box 1. Small Farms and Large Farms: Efficiency and Equity Implications of Agricultural
Growth
Alternate models. The Government of Myanmar faces important policy choices in the agricultural sector, in particular whether to focus public resources on the smallholder sector or large-scale commercial farming. This is a policy question on which much can be learned from the development experience of other countries in the region and around the world. Many land-constrained Asian countries – including India, China, South Korea, Japan, Vietnam, Bangladesh and the Philippines – have focused their agricultural development strategies on small-farmer-led growth.Others, including Laos and Cambodia, have followed a mixed strategy that promotes large-scale private agribusiness investment alongside local small farms. At the other end of the spectrum, land-abundant Brazil has centered its agricultural growth strategy on highly mechanized, large-scale farms. Over the past three decades, these large farms have successfully turned Brazil into a highly competitive exporter of soybeans, sugar and meat. Which of these strategies will best suit Myanmar? Available evidence on the efficiency and equity implications of alternate
agricultural growth strategies can help to answer to this question.
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