There are not much farmable land on the island. The island is surrounded by the sea and it is located in the junction of black tide branch of the ocean tide of northern equator, where is it rich in all kinds of fish. As the island has an advantage for fishing and the quality of the soil is not good for farming, residents of the island have been relying on fishing for their living since ancient times.
As the economy in the country is prosperous, there are less and less people who would like to enter into a career of fishing. Fishing is short of manpower and more and more people are hiring foreign sailors. In the early days, the main economic activities were coconut planting and fishing. After WWII, stone, lime, fishing, sweet potato-planting and peanut-planting became dominant. In recent years, the major activities are fishing, mango-planting, net cave and tourism.
Liuqiu island is 6.8 km2; apart from the residential land, most of the landis forest of various kinds of trees, agricultural land, grassland and beaches. The agricultural land area consists of 140 ha., which has already turned into dry land. As the landscape of the island varies and the soil is red soil from weathered coral reef and limestone, added with the lack of rivers and watering facilities, the land is difficult to develop for farming. It is only suitable for dryness-tolerant supplementary grains such as dry paddies, sweet potatoes and peanuts, and some kinds of fruit, such as papaya, mango, guava and rose apples. There are different kinds of trees on the island, including White Popinac, Acacia、Lintou (wild pineapple) and bamboo. The forest covers most of the island together with natural grassland and discarded agricultural land here and there.
There were still some dry paddy fields on the island before 1980 but they have been eliminated by the dry weather. Farmers were not willing to put in their effort because there was high risk and most of the fields have been given up and there is even more and more wasteland in recent years. The major agricultural product in Liuqiu is the sweet potato, followed by peanuts and fruit. In recent years, sweet potatoes and peanuts are not doing well and their planting areas are being cut substantially. In recent years, the agricultural association is actively promoting fruit gardening with the mango as the major product. As mangos are sweet and the turnover time is fast, these have become the major agricultural product of the island. There is no farmland producing economic crops but there is an agricultural association of considerable size.