Cash crop

tree (Theobroma cacao) in Cameroon. Originally native to South America, cacao has become an important cash crop in West Africa, which grows around 70% of the world's supply of cocoa beans. Issues involving subsidies and trade barriers on such crops have become controversial in discussions of globalization. Many developing countries take the position that the current international trade system is unfair because it has caused tariffs to be lowered in industrial goods while allowing for low tariffs and agricultural subsidies for agricultural goods. This makes it difficult for a developing nation to export its goods overseas, and forces developing nations to compete with imported goods which are exported from developed nations at artificially low prices. The practice of exporting at artificially low prices is known as dumping, and is illegal in most nations. Controversy over this issue led to the collapse of the Cancún trade talks in 2003, when the Group of 22 refused to consider agenda items proposed by the European Union unless the issue of agricultural subsidies was addressed. ==Per climate zones==

Arctic The Arctic climate is generally not conducive for the cultivation of cash crops. However, one potential cash crop for the Arctic is Rhodiola rosea, a hardy plant used as a medicinal herb that grows in the Arctic. There is currently consumer demand for the plant, but the available supply is less than the demand (as of 2011). cocoa, sugar cane, bananas, ==By continent and country==

Africa '' is a cash crop used to produce biofuel. Around 60 percent of African workers are employed in the agricultural sector, with about three-fifths of African farmers being subsistence farmers. For example, in Burkina Faso 85% of its residents (over two million people) are reliant upon cotton production for income, and over half of the country's population lives in poverty. tea, Japan and the European Union. These countries protect their own agricultural sectors, through high import tariffs and offer subsidies to their farmers, Jatropha curcas is a cash crop grown for biofuel production in Africa. Some have criticized the practice of raising non-food plants for export while Africa has problems with hunger and food shortages, and some studies have correlated the proliferation of land acquisitions, often for use to grow non-food cash crops with increasing hunger rates in Africa. Australia Australia produces significant amounts of lentils. It was estimated in 2010 that Australia would produce approximately 143,000 tons of lentils. Cash crop farmers have utilized precision agricultural technologies combined with time-tested practices to produce affordable food. Based upon United States Department of Agriculture (USDA) statistics for 2010, states with the highest fruit production quantities are California, Florida and Washington. Vietnam Coconut is a cash crop of Vietnam. ==Global cash crops==

Coconut palms are cultivated in more than 80 countries of the world, with a total production of 61 million tonnes per year. The oil and milk derived from it are commonly used in cooking and frying; coconut oil is also widely used in soaps and cosmetics. ==Sustainability of cash crops==

Approximately 70% of the world's food is produced by 500 million smallholder farmers. For their livelihood they depend on the production of cash crops, basic commodities that are hard to differentiate in the market. The great majority (80%) of the world's farms measure 2 hectares or less. These smallholder farmers are mainly found in developing countries and are often unorganized, illiterate or have only basic education. Smallholder farmers have little bargaining power and incomes are low, leading to a situation in which they cannot invest much in upscaling their businesses. In general, farmers lack access to agricultural inputs and finance, and do not have enough knowledge on good agricultural and business practices. These high level problems are in many cases threatening the future of agricultural sectors and theories start evolving on how to secure a sustainable future for agriculture. Sustainable market transformations are initiated in which industry leaders work together in a pre-competitive environment to change market conditions. Sustainable intensification focuses on facilitating entrepreneurial farmers. To stimulate farm investment, projects on access to finance for agriculture are also popping up. One example is the SCOPE methodology, an assessment tool that measures the management maturity and professionalism of producer organizations as to give financing organizations better insights in the risks involved in financing. Currently, agricultural finance is always considered risky and avoided by financial institutions. ==Black market cash crops==

has been termed as a cash crop. In 2006, it was reported in a study by Jon Gettman, a marijuana policy researcher, that in contrast to government figures for legal crops such as corn and wheat and using the study's projections for U.S. cannabis production at that time, cannabis was cited as "the top cash crop in 12 states and among the top three cash crops in 30". The study also estimated cannabis production at the time (in 2006) to be valued at US$35.8 billion, which exceeded the combined value of corn at $23.3 billion and wheat at $7.5 billion. ==See also==