Arakanese farmers struggle to sell paddy amid market collapse

Farmers in Arakan State say they are facing heavy losses during the paddy harvest season as buyers have disappeared from the market and prices have slumped.

By Admin 21 Nov 2025

Arakanese farmers struggle to sell paddy amid market collapse

DMG Newsroom

21 November 2025, Mrauk-U

Farmers in Arakan State say they are facing heavy losses during the paddy harvest season as buyers have disappeared from the market and prices have slumped.

Last year, 100 baskets of Kaukyin paddy fetched over K500,000, while 100 baskets of Kaukkyi sold for nearly K1 million. This year, the same volume of Kaukyin has dropped to K400,000, and Kaukkyi to K800,000, according to local farmers.

Growers also say they are struggling to harvest their fields as labour and harvesting costs have surged to around K150,000 per acre.

"My husband, who works abroad, can only send money for harvesting. He has not transferred money for more than a year because he is struggling overseas. I had to mortgage my gold jewelry to rent a machine to harvest paddy," said Daw Mya Than Nwe, a farmer from Phayargyi Village, Mrauk-U Township.

With no market for newly harvested grain, many farmers are selling last year's leftover paddy at low prices to cover this season's harvesting costs. The problem has worsened amid the junta's road blockade on Arakan State since renewed fighting began, which has cut off trade with mainland Myanmar and severely disrupted the agricultural sector.

Farmers say they are losing money as they earn only around K3 million from selling paddy after spending more than K4 million on inputs - including ploughing, soil preparation, harvesting and transport - to cultivate five acres of land.

"I spent about K1.2 million on ploughing and K700,000 on planting for five acres. I spent more than K700,000 on soil, over K1 million on harvesting, and more than K1 million on transportation, but I don't earn that much when I sell the paddy," said U Aung Zan Mya of Kyaukkyat Village, Mrauk-U Township.

Arakan State has had no functioning paddy market for two consecutive growing seasons, and farmers say they are incurring repeated losses despite significant investment.

Many growers say the Arakan Army's Chamber of Commerce should reopen a paddy purchasing centre to stabilise prices.

"We need a paddy buying centre. Last year, we had one, but it did not operate until the end of the season. This year, I think the Chamber of Commerce should open a buying centre now," said U Maung Tin Aye, a farmer from Nyaungchaung Village, Kyauktaw Township.

Economists warn that food security may become a challenge in the coming years as many Arakanese farmers continue to reduce their cultivated acreage.

Farmer observers estimate that Arakan State has more than 1.2 million acres of farmland, but only about 800,000 acres were cultivated this year.