post

Great Progress in Agricultural Transformation: From Service to Production Society

Great Progress in Agricultural Transformation: From Service to Production Society

Phnom Penh: In a decisive move toward economic transformation, the government of Laos, through the Ministry of Agriculture and Forestry, is making significant strides in promoting agriculture as a cornerstone of the national economy. This initiative marks a pivotal step in shifting the country from a service-based model to a robust, production-driven society.

According to Lao News Agency, Minister of Agriculture and Forestry, Mr. Linkham Douangsavanh, outlined these achievements during a National Assembly session on June 10, 2025. He emphasized the successful implementation of two key national policies: one aimed at promoting livestock and aquatic animal production, and the other focused on boosting crop cultivation. These policies have been effectively coordinated across both central and local levels, supported by comprehensive plans, targeted projects, and strategic partnerships.

The outcomes to date are impressive. During the recent dry season, more than 37,600 hectares of commercial crops were cultivated, exceeding the national target by 18%. International trade opportunities have also expanded, with 74 agricultural products now approved for export to key trading partners such as China, Vietnam, and Thailand.

In May 2025, Laos successfully exported 90 tons of mangoes to China, with projections indicating a rise to 1,500 tons by the end of the year and an ambitious target of 15,000 tons in 2026. The country is also preparing to enter new markets, including Brunei, while continuing to grow exports of high-demand products such as coffee, dried fruits, and more.

Infrastructure development is advancing alongside production. A state-of-the-art slaughterhouse in Hatxaifong District is nearing completion and will have the capacity to process over 300,000 animals annually into frozen meat. Meanwhile, a buffalo fish processing facility in Champasak Province has already exported over 400 tons, with an annual export potential expected to reach 6,000 tons in 2025 and 20,000 tons in 2026.

Looking forward, the government remains committed to strengthening domestic agricultural production and positioning it as a major contributor to national revenue. Policy measures under consideration include imposing import duties on select goods such as animal feed, fertilizers, rice, and other agricultural products to protect local producers.

To further support farmers, cooperatives, and production groups, efforts are underway to improve access to affordable credit, even for those without traditional collateral through initiatives such as agricultural credit guarantee schemes. Simultaneously, the government is accelerating negotiations with trade partners, particularly China, to open more markets for key exports such as rubber and frozen beef.

These developments signal a promising future for Laos’s agricultural sector, paving the way toward a self-reliant, production-based economy.