Laos

Laos

Laos

Background

Geographic Profile

Demographic Profile

Economic Profile

Trade Profile

Quick Facts

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sq. m

Sqm land area (2022)

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Contribution of agriculture

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% of labor force in agriculture

Background

Language
  • Chinese-Tibetan: 2.94%
  • Hmong-Mien: 9.83%
  • Mon-Khmer: 24.01%
  • Lao-Tai: 63.22%

Geographic Profile

Area (2022)
  • Land Area – 22,618.40 sq. km
  • Forest Area – 165,252.80 sq. km
TEMPERATURE AND CLIMATE

Laos has a tropical climate characterized by a seasonal monsoon, resulting in hot and humid conditions, especially from May to October. Average temperatures are around 29 degrees Celsius but can drop to 15-20 degrees Celsius during cooler months. The year is divided into two main seasons: the rainy season, with intermittent downpours, and the dry season, from November to early May. The dry season has a cool phase from November to February and transitions to a hot phase in March and April. We plan our visits during the dry season for optimal weather and minimal rainfall.

AGRICULTURAL LAND AREA

Laos has approximately 24 million hectares of land, of which 5 million are designated as agricultural land. Agriculture is crucial to the economy, employing around three-quarters of the population. The primary crop in the country is rice, while the main exports consist of industrial crops and plants, such as rubber trees, eucalyptus, and various fruits.

As of November 2023, there are 105 investment deals covering over 2,004,076 hectares of land. In terms of land allocation, 31% of the investment is directed towards agriculture (with rubber trees being the predominant crop), 2% towards renewable energy (specifically hydro dams), and 28% towards mining. Livestock accounts for a smaller portion, at 9%.

Although the number of deals in renewable energy and mining is relatively low, these sectors play significant roles in extracting natural resources and managing extensive areas of land and forestry.

Demographic Profile

Race and Ethnicity
  • Lao: 50%
  • Khmou: 11%
  • Hmong: 9%
  • Phoutnay: 3%
  • Tai: 3%
  • Makong: 2%
  • Katong: 2%
  • Akha: 2%
  • Lue: 2%
  • Other: 12%
Religion
  • Buddhism: 75.56%
  • No Religion: 15.30%
  • Catholic: 4.68%
  • Not Stated: 2.23%
  • Nature Religions: 2.23%
Population

7,769,819 (2024) with an annual population growth 1.37%

Economic Profile

Gross Domestic Product (GDP) (2023)

US$ 15.84 Billion with an annual GDP with a growth of 3.75% GDP annual growth; GDP per capita US$ 2,649 with a growth of 2.3% GDP per capita

Sector Contributions to GDP (2023)
  • Service: 40%
  • Industrial: 36%
  • Agricultural: 24%
Employment
  • Agriculture, Livestock, and Fisheries: 69.64%
  • Services: 23.03%
  • Industry: 7.33%
Agricultural Workforce

In Laos, agriculture plays a crucial role in the economy and workforce. As of 2023, 69.64% of the employed population is involved in various agricultural activities, including farming, hunting, forestry, and fishing. This impressive statistic underscores the vital contributions that agriculture makes to both the Lao economy and labor market, highlighting its potential for growth and development in the country.

Inflation (2024)
  • 23.1%
KEY ECONOMIC SECTORS

Agricultural Products

Laos boasts a diverse array of agricultural products, with rice leading the way as the cornerstone of the industry, representing approximately 50% of agricultural output. In addition to rice, the country is known for its high-quality coffee, particularly from the renowned Bolaven Plateau, which serves as an important export. Other vital contributors to the economy include maize, a variety of vegetables, and livestock such as cattle, all of which enhance the agricultural landscape and support trade.

Natural Resources

Laos is rich in natural resources, offering a diverse array of opportunities for sustainable development. The country has substantial hydropower potential, particularly harnessed from the Mekong River, which can significantly contribute to energy production. In the mining sector, Laos is focusing on valuable commodities such as gold, copper, tin, and coal, providing essential resources for economic growth. Agriculture plays a crucial role as well, with rice as the principal crop, complemented by livestock, fishing, and forest resources, all contributing to the livelihoods and food security of the population.

Trade Profile

Imports

  • US$ 8.06 Billion product imports
  • US$ 105,000 imports per capita

Top Imported Products

  1. Refined petroleum (US$ 1.24 Billion)
  2. Cars (US$ 247 Million)
  3. Raw Sugar (US$ 244 Million)

Top Import Partners

  1. China (US$ 1.27 Billion)
  2. Thailand (US$ 265 Million)
  3. Brazil (US$ 22.1 Million)

Agricultural Imports

  1. Raw Sugar (US$ 244 Million)
  2. Fuel Wood (US$ 89.1 Million)
  3. Rice (US$ 33.3 Million)

Exports

  • US$ 8.7 Billion product exports
  • US$ 105,000 exports per capita

Top Exported Products

  1. Electricity  (US$ 2.15 Billion)
  2. Potassic Fertilizers  (US$ 840 Million)
  3. Gold (US$ 653 Million)

Top Export Partners

  1. China (US$ 1.67 Billion)
  2. Australia (US$ 349 Million)
  3. Thailand (US$ 241 Million)

Agricultural Exports

  1. Cassava (US$ 337 Million)
  2. Rubber (US$ 247 Million)
  3. Starches (US$ 103 Million)

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