Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation

Home to over 735,000 people, the Kingdom of Bhutan has achieved rapid economic growth and poverty reduction, despite the constraints of being a small, landlocked, and mountainous country. Its neighbors, China to the north and India to the south, ar...

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Main Authors: Dizon, Felipe, Jackson, Chris, Adubi, Abimbola, Taffesse, Samuel
Format: Report
Language:English
Published: World Bank, Washington, DC 2019
Subjects:
Online Access:http://documents.worldbank.org/curated/en/568371553841727531/Bhutan-Policy-Note-Harnessing-Spatial-Opportunities-in-Agriculture-for-Economic-Transformation
http://hdl.handle.net/10986/31530
id okr-10986-31530
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spelling okr-10986-315302021-06-14T10:04:19Z Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation Dizon, Felipe Jackson, Chris Adubi, Abimbola Taffesse, Samuel AGRICULTURE STRUCTURAL TRANSFORMATION SPATIAL DISPARITY FOOD CONSUMPTION MARKET ACCESS EXPORT COMPETITIVENESS AGRO-PROCESSING AGRIBUSINESS LAGGING REGIONS Home to over 735,000 people, the Kingdom of Bhutan has achieved rapid economic growth and poverty reduction, despite the constraints of being a small, landlocked, and mountainous country. Its neighbors, China to the north and India to the south, are in contrast the two most populous countries in the world. Bhutan’s land area is only 1 percent of India’s and 0.5 percent of China’s. Even surrounded by much larger economies, Bhutan has seen its economy expand rapidly in recent years, largely through hydropower exports to India and construction. The country halved its poverty rate to 12 percent between 2007 and 2012, and by 2017 it had achieved a further reduction, to 8.2 percent (NSB and World Bank 2017). National policy remains centered on diversifying export-led growth beyond hydropower exports to India and on making Bhutan’s economic growth more inclusive of all citizens. The agriculture sector, one of the five jewels in the Bhutanese economy, can play a key role in sustaining growth, reducing poverty, creating jobs, and expanding shared prosperity. Bhutan’s dense and virtually untouched forests, abundant water resources, and diversity of wild species are exceptional natural endowments, and correspondingly, environmental conservation is the cornerstone of Bhutan’s development approach (World Bank 2014). This Policy Note reviews Bhutan’s recent agricultural transformation from a spatial perspective and suggests measures to make further progress. The discussion focuses on crop-level drivers of productivity and spatial patterns of agricultural production in relation to markets, especially in relation to opportunities for expanding market potential to support the national development goals of the Royal Government of Bhutan (RGoB). The government has set targets in a number of policy areas where agriculture plays a critical role. 2019-04-11T19:55:45Z 2019-04-11T19:55:45Z 2019-03-27 Report http://documents.worldbank.org/curated/en/568371553841727531/Bhutan-Policy-Note-Harnessing-Spatial-Opportunities-in-Agriculture-for-Economic-Transformation http://hdl.handle.net/10986/31530 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work :: Policy Notes Economic & Sector Work South Asia Bhutan
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic AGRICULTURE
STRUCTURAL TRANSFORMATION
SPATIAL DISPARITY
FOOD CONSUMPTION
MARKET ACCESS
EXPORT COMPETITIVENESS
AGRO-PROCESSING
AGRIBUSINESS
LAGGING REGIONS
spellingShingle AGRICULTURE
STRUCTURAL TRANSFORMATION
SPATIAL DISPARITY
FOOD CONSUMPTION
MARKET ACCESS
EXPORT COMPETITIVENESS
AGRO-PROCESSING
AGRIBUSINESS
LAGGING REGIONS
Dizon, Felipe
Jackson, Chris
Adubi, Abimbola
Taffesse, Samuel
Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation
geographic_facet South Asia
Bhutan
description Home to over 735,000 people, the Kingdom of Bhutan has achieved rapid economic growth and poverty reduction, despite the constraints of being a small, landlocked, and mountainous country. Its neighbors, China to the north and India to the south, are in contrast the two most populous countries in the world. Bhutan’s land area is only 1 percent of India’s and 0.5 percent of China’s. Even surrounded by much larger economies, Bhutan has seen its economy expand rapidly in recent years, largely through hydropower exports to India and construction. The country halved its poverty rate to 12 percent between 2007 and 2012, and by 2017 it had achieved a further reduction, to 8.2 percent (NSB and World Bank 2017). National policy remains centered on diversifying export-led growth beyond hydropower exports to India and on making Bhutan’s economic growth more inclusive of all citizens. The agriculture sector, one of the five jewels in the Bhutanese economy, can play a key role in sustaining growth, reducing poverty, creating jobs, and expanding shared prosperity. Bhutan’s dense and virtually untouched forests, abundant water resources, and diversity of wild species are exceptional natural endowments, and correspondingly, environmental conservation is the cornerstone of Bhutan’s development approach (World Bank 2014). This Policy Note reviews Bhutan’s recent agricultural transformation from a spatial perspective and suggests measures to make further progress. The discussion focuses on crop-level drivers of productivity and spatial patterns of agricultural production in relation to markets, especially in relation to opportunities for expanding market potential to support the national development goals of the Royal Government of Bhutan (RGoB). The government has set targets in a number of policy areas where agriculture plays a critical role.
format Report
author Dizon, Felipe
Jackson, Chris
Adubi, Abimbola
Taffesse, Samuel
author_facet Dizon, Felipe
Jackson, Chris
Adubi, Abimbola
Taffesse, Samuel
author_sort Dizon, Felipe
title Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation
title_short Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation
title_full Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation
title_fullStr Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation
title_full_unstemmed Bhutan Policy Note : Harnessing Spatial Opportunities in Agriculture for Economic Transformation
title_sort bhutan policy note : harnessing spatial opportunities in agriculture for economic transformation
publisher World Bank, Washington, DC
publishDate 2019
url http://documents.worldbank.org/curated/en/568371553841727531/Bhutan-Policy-Note-Harnessing-Spatial-Opportunities-in-Agriculture-for-Economic-Transformation
http://hdl.handle.net/10986/31530
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