IFPRI – Papua New Guinea February 2025 Newsletter

Agrifood System in Papua New Guinea (PNG) – Structure and Drivers of Transformation: While PNG’s GDP is heavily influenced by oil and natural gas sectors, much of the population continues to rely on agriculture for their livelihoods. The Agrifood System (AFS), comprising primary agriculture and off farm components, contributed 26% to PNG’s national GDP and generated more than half of total employment in 2019. The off-farm components accounted for almost half of AFS growth in 2019, up from 43.8 percent in 2009. This study describes the current and changing structure of PNG’s AFS and evaluates the potential contribution of different value chains to accelerate agricultural transformation and inclusiveness. Simulation results suggest that value chains like vegetables, fruits, and poultry were successful in achieving development goals, including poverty reduction, economic growth, and dietary improvement. Promoting diverse value chains is key to transformative, inclusive growth in PNG

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