The ASEAN Free Trade Area (AFTA): Impacts and Effects on Malaysian Agriculture

This policy monograph reviews the implementation of the AFTA by the Malaysian government and how it has affected the country’s agriculture sector. It also describes the challenges faced by Malaysian agriculture as a result of the AFTA and the adjustments being pursued to prepare the sector for the challenges posed by this trade liberalization initiative.

The first part of this exposition discusses the Malaysian agriculture sector, while the second section touches on the trade regime in agriculture. Policy intervention measures in the protected sub-sectors are highlighted. The third part elaborates on the institutional measures being pursued by the government for structural adjustments in the affected sub-sectors are described. Recommendations are also put forward to intensify collaborative efforts among the ASEAN countries to enhance the economic benefits of AFTA for the region.