In Good Times and in Bad, in Sickness and in Health: The Continuous Rise in Adoption of Labour-Saving Agricultural Technologies in Myanmar

Abstract

Agriculture is rapidly transforming in many low- and middle-income countries – most often driven by the adoption of new agricultural technologies – but changes remain poorly understood in fragile and conflict-affected states. We look at the case of Myanmar, a prime example of such a state. After decades of isolationism and economic stagnation, it opened its economy in the beginning of the 2010s, leading to rapid economic growth. But the COVID-19 health crisis and a military coup in the beginning of 2021 – leading to heightened conflicts, forced displacements, and increased migration – dramatically reversed that outlook. Based on large-scale farm surveys, we find that adoption of labour-saving agricultural technologies – measured by the use of mechanization, herbicides, and direct seeding of rice – increased rapidly over the economic growth period and that the increase surprisingly persisted during the crisis years, but at a slower rate. This uptake was lower, however, for households in the most conflict-affected areas, partly due to differential agricultural input availability. Smallholders and more remote farmers also participated less. This finding suggests an increasing labour productivity gap for remote and conflict-affected smallholders, with important implications for their welfare.