AGRICULTURE

Overview of the Agriculture Sector

Agriculture is the dominant sector contributing to 25% of GDP and supporting livelihood of 85% of Papua New Guineans and through employment. The sector comprised of cash crops namely palm oil, coffee, cocoa, tea, copra, rubber as well as other crops grown for domestic consumption. Oil palm industry operates under a nucleus farming model and it is the most developed and best performing industry accounting for more than half of agriculture exports. In comparison, coffee was once the most dominant crop before palm oil dominated export flows. Cocoa remains the third largest exporter over the years followed by copra. 

The government is currently focussing to revive and diversify investments in Coffee, Rubber, Cocoa, Copra and Spices industry and is seeking international technical support to drive more downstream processing facilities of these commodities as value adding to the PNG’s rich organic produce.  

 

PNG has immense potential to increase export revenue from livestock (cattle) farming and other hydroponic projects all throughout the country given its favourable geographical condition.

The Agriculture sector is the foundation and a vital engine for economic development for Papua New Guinea in the medium to long-term. It provides the basis for the social and economic survival of our people with potentials to make agriculture the main source of economic growth.

 

 

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COFFEE

Coffee is the second leading agricultural commodity in Papua New Guinea (PNG), after oil palm, and contributes substantially to foreign exchange earnings, employment and national GDP. Between 2012 and 2017, coffee accounted for 27% of total agricultural export and 6% of GDP, translating to about K450 million annually.

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