The Agricultural Roots of Industrialization in Rural Taiwan, 1950-1960

Emily Hill, Queens University

Unplanned and even accidental at first, Taiwan’s rapid industrialization after 1960 was propelled by the remarkable intensification of chemical inputs that expanded the carbon rootprint of riziculture during the 1950s. Recurring shortages of rice in Taipei and other cities imposed severe hardships during the Korean War years. For the Guomindang government’s American partners in economic development, the grain supply problem was an unexpected headache. For years, American planners had facilitated flows of chemical fertilizers to Taiwan’s farmers, with the result that Taiwan was on an established trajectory of expanding rice production above population growth. Their goal was that the Republic of China’s financial dependence on the United States would be reduced through foreign exchange earnings on rice exports, mainly to Japan. The problem of rice shortages in Taiwan reflected a political struggle. In a case of friction in the American-Chinese partnership during the 1950s, the partners disagreed over how to deploy Taiwan’s substantial surplus of staple grain. Preparing for a final confrontation with Chinese Communist forces following the possible loss of American protection, Chiang Kai-shek viewed staple grain as a vital resource in defense of his island retreat. His integration of rice reserves into a defensive strategy led to unintended and lasting consequences. In addition to creating an island-wide food crisis, the diversion of grain grown with the help of economic aid from the United States derailed the patron’s plan to create a regional grain-basket. Instead of reverting to its prewar role supplying surplus rice to Japan, Taiwan’s economic development and exports pivoted from a focus on grain production to light industry. Agricultural commodities led the way in this shift. By the late 1950s, a category of exports containing tea and tinned pineapple was from three to ten times more significant in value than rice.

No extended abstract or paper available

 Presented in Session 169. Rethinking the Developmental State 2: Taiwan Agriculture