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Farewell to Agriculture? Productivity Trends and the Competitiveness of Agriculture in Central Asia

Author

Listed:
  • Gharleghi, Behrooz
  • Popov, Vladimir
Abstract
Agricultural productivity in the Central Asian republics of the USSR stopped growing from the late 1970s and declined in the 1990s when the transition to the market occurred. As a result, most agricultural goods were uncompetitive on the both the domestic market and the world market, and the agricultural trade balance deteriorated as imports grew faster than exports. Although there have been a few success stories – cereals in Uzbekistan, meat production in Azerbaijan, oil seeds in Kazakhstan – the overall picture is not one of agriculture as the driving force of the region’s future growth. We argue, however, that the relative decline of agriculture is consistent with international experience. In ‘economic miracle’ countries, the share of agriculture fell faster than in other countries because the sector donated labour to the industrial sector, which was the engine of growth. The problem in Central Asia is not the slow growth of agricultural output, but the slow growth of productivity in agriculture, which fails to increase the competitiveness of agricultural products and leads to an inability of the rural population to move to more productive industrial activities.

Suggested Citation

  • Gharleghi, Behrooz & Popov, Vladimir, 2018. "Farewell to Agriculture? Productivity Trends and the Competitiveness of Agriculture in Central Asia," MPRA Paper 89520, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:89520
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    File URL: https://mpra.ub.uni-muenchen.de/89520/1/MPRA_paper_89520.pdf
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    References listed on IDEAS

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    1. Nagesh Kumar & Matthew Hammill & Selim Raihan & Swayamsiddha Panda, 2016. "Strategies for Achieving the Sustainable Development Goals (SDGs) in South Asia: Lessons from Policy Simulations," Development Papers 1601, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) South and South-West Asia Office.
    2. Sanjay G. Reddy, 2012. "Randomise This! On Poor Economics," Journal, Review of Agrarian Studies, vol. 2(2), pages 60-73, July-Dece.
    3. Briones, Roehlano & Felipe, Jesus, 2013. "Agriculture and Structural Transformation in Developing Asia: Review and Outlook," ADB Economics Working Paper Series 363, Asian Development Bank.
    4. Chenery, Hollis & Taylor, Lance, 1968. "Development Patterns: Among Countries And Over Time," Center for International Affairs (CIA) Archive 294545, Harvard University, Center for International Affairs.
    5. Reddy, Sanjay G., 2012. "Randomise This! On Poor Economics," Review of Agrarian Studies, Foundation for Agrarian Studies, vol. 2(2), December.
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    1. repec:zbw:iamodp:305468 is not listed on IDEAS
    2. Robinson, Sarah, 2020. "Livestock in Central Asia: From rural subsistence to engine of growth?," IAMO Discussion Papers 305468, Institute of Agricultural Development in Transition Economies (IAMO).
    3. Robinson, Sarah, 2020. "Livestock in Central Asia: From rural subsistence to engine of growth?," IAMO Discussion Papers 193, Leibniz Institute of Agricultural Development in Transition Economies (IAMO).
    4. Popov, Vladimir, 2019. "Successes and failures of industrial policy: Lessons from transition (post-communist) economies of Europe and Asia," MPRA Paper 95332, University Library of Munich, Germany.

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    More about this item

    Keywords

    Agriculture productivity; Central Asia; Competitiveness;
    All these keywords.

    JEL classification:

    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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