Agropreneurship among Gen Y in Malaysia: The Role of Academic Institutions

Agriculture Sector And Why It Matters?

In many parts of developing world, agriculture production is recognized as a strategy to improve a nation’s standard of living, particularly to increase income, reduce hunger, and contribute to the improvement of other measures of well-being (Owens, Hoddinott, & Kinsey, 2003). Agriculture is also acknowledged to contribute significantly to economic growth in many countries (Bairwa, Lakra, Kushwaha, Meena, & Kumar, 2014; Diao, Hazell, Resnick, & Thurlow, 2007; Razak et al., 2015). Furthermore, agricultural growth is seen as precursor to the industrial revolutions that spread across the temperate world, from England in the mid-18th century to Japan in the late 19th century. Higher agricultural productivity that generates an agricultural surplus open to partial taxation and is used to finance industrial development as well as enabling lower food prices for the masses underpinned the success stories of industrial and structural transformation.

Agriculture also plays a substantial role in providing employment opportunity and poverty reduction. It accounts for 32 percent of total employment globally and 39 percent of employment in developing countries of Asia and the Pacific (International Labour Office, 2014). The sector has been acknowledged to be a major contributor to poverty reduction, as is found in countries such as Brazil, Cameroon, Chile, Costa Rica, Dominican Republic, Egypt, Mali, Mexico, Nicaragua, Panama, Tunisia and, not forgotten, Malaysia (Cervantes-Godoy & Dewbre, 2010) among others in Asia and the Pacific (International Labour Office, 2014; Kuldilok, Dawson, & Lingard, 2013). Similar scenario is also seen in many developed countries such as the United States, the United Kingdom, Japan, and Australia, where agriculture sector does not only play a significant role in contributing the countries’ food supplies but also provides other benefits such as improved physical and mental health, improved aesthetics, community building, employment opportunities, improved local land prices, and etc. (Mok et al., 2014).

On reflection, agriculture today is no longer a sector for poor people only. For instance, Thailand has gained its competitive advantage by dominating world exports of canned tuna with a market share of around 40 percent, which is at least four times higher than any other exporter (Kuldilok et al., 2013). Many other developing countries have benefited from agriculture not only to have sufficient food to maintain normal health for a growing population but also to increase the nation’s economic standing (Bairwa et al., 2014; Diao et al., 2007; Razak et al., 2015). There seems to be no compelling reason to argue for the economically inferior state of agriculture sector in shaping the country’s economic condition. With agribusiness’ increasing technological sophistication, as is found in developed countries, agriculture can appeal to younger generations.