Agriculture in Mongolia constitutes 20% of Mongolia's annual gross domestic product and employs 42% of the labor force. Only one per cent of the arable land in Mongolia is cultivated with crops. The agriculture sector therefore remains heavily focused on nomadic animal husbandrywith 75% of the land allocated to pasture, and cropping only employing 3% of the population. Crops produced in Mongolia include corn,wheat, barely, and potatoes.
Animals raised commercially in Mongoliainclude sheep, goats, cattle, horses, camels, and pigs. They are raised primarily fot meat, although goats are valued for their hairs which can be used to produce cashmere.
In 1985 agriculture accounted for only 18.3 % of national income and 33.8 % of the labor force. But agricultural product in mongolia is important because much of mongolia's induustry depends on it.in 1930s Govt began to develop state farms.
In 1950s modern techniques and Soviet assistance improved a lot in agriculture.
In 1950s, according to Mongolian Govt statcstics , state farms and other state organizations owned approximately 0.9 % of livestock and 37.8 % of sown areas; negdels had about 0.5 % of livestock and no swon lands; and private owners held 98.3% of livestock and 62.2 % of sown areas.In 1960 state farms and other state organizations owned 2.7 % of livestock, negdels , 73.8% , and individual negdel members ,23.5 %. the sector owned 77.5 % of sown areas, and the cooperative sector the remainder.
the mongolian agriculture sector has four discrete subsectors.