Diversification is an essential part in the process of structural transformation in every
country. Diversification at the macro level generally means that secondary and tertiary sectors of
an economy progressively become more important over time than the primary sector, in terms
of their contributions to national income as well as in disposition of the work force.
The diversification can be of three broad categories: (a) a shift of labor from farm to
non-farm activities, i.e., employment diversification; (b) a shift from a less profitable crop
to a more profitable one, i.e., crop diversification; and, (c) use of resources in diverse
but complementary activities, i.e., resource diversification. This paper concentrates on the
issues of crop diversification, especially how this diversification has been taking place in the
Asia-Pacific region over the last decade. The objective of this paper is to explore
different aspects of crop diversification and how it is happening in the Asia-Pacific region.
Since the early 1990s, significant changes are taking place in domestic and
international demand for crop products due to rise in income and
improved standard of living, fast urbanization, and changing life styles and preference patterns in the Asia-Pacific region.
Trade liberalization and development of transport infrastructure have opened new avenues
of trade and have improved access to new and distant markets. This has created new
opportunities for crop diversification, especially for enterprising and progressive farmers in various
countries.
Crop diversification can be an important instrument for food and nutrition security
and thus helping income growth, poverty alleviation, employment generation, judicious use
of natural resources, sustainable agricultural development, and environmental and
ecological management or improvement. Therefore efforts are needed to be made both at private
and government levels to explore the full potential and prospects of crop diversification to
forge congruence of enhanced productivity, profitability and sustainability.
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