TAIPEI (Taiwan News) — The Ministry of Agriculture said it will continue to support the transformation of the domestic peanut sector to boost its value and maintain a high market share for local produce, CNA reported.
The ministry made the remarks after the Agreement on Reciprocal Trade was signed in February, under which US peanuts can be imported tariff-free at around 40% of the price of Taiwanese peanuts. The deal aims to deepen Taiwan–US economic ties and facilitate trade.
Deputy Agriculture Minister Hu Jong-i (胡忠一) said US peanuts account for less than 1% of total imports and are mainly processed shelled products. He added that domestic peanuts hold a 75% market share, underscoring the competitiveness of Taiwan’s peanut sector.
Taiwan imports about 14,000 tonnes of peanuts annually, with India accounting for the largest share at 42%, followed by Argentina at 22% and Brazil at 10%, according to the ministry.
Hu estimated that tariff-free imports of US peanuts could affect up to 30% of peanut farmers. He said the ministry will roll out measures to mitigate the impact on local farmers, including helping them shift to higher-value crops such as sweet potatoes and edamame.
The ministry has also allocated NT$30 billion (US$930 million) to support the transformation of the domestic agricultural sector, Hu said. It will help the peanut farming sector establish automated drying centers, replacing the current practice of most farmers drying peanuts under the sun.
The ministry also plans to promote a new peanut production model in which farmers focus on cultivation and harvesting, while processing, drying, and cold-chain logistics are handled by companies. It also aims to strengthen marketing efforts to build a Taiwan peanut brand.
Peanuts are an important crop in Taiwan, with about 80% of cultivation concentrated in Yunlin and Changhua. However, due to labor shortages, the planted area has declined while imports have been rising.
