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Arakan receives much rain, so rice is the main crop, occupying around 85% of the total agricultural land. Coconut and nipa palm plantations are also important. Fishing is a major industry, with most of the catch used to feed the populace, but some is also exported (mostly to neighboring nations). Small amounts of inferior-grade crude oil are produced from primitive, shallow, hand-dug wells, but there is yet unexplored potential for petroleum and natural gas production. The Arakan government has recently constructed an official oil well after a mineral survey pinpointed a source of higher-grade oil.
The Arakanese support a small militia for the defense of the nation. The main reason for the army's existance was fear of the Myanmar government. The army shrunk drastically after relations with Myanmar improved following the coup in Myanmar that established democratic rule.
The Arakanese have established good relations with Kachinland, the Mon State, the Federated Shan States, and the Federal Republic of Zomi. The have established relations with neighboring Thailand, Laos, Cambodia and Vietnam.