The Bhutanese Leading the way.
Bhutanese farmers are poised to gain stronger institutional and financial support as the government prioritizes cooperatives under the 13th Five-Year Plan (FYP). The move is expected to not only enhance rural incomes, but also give farmers better tools to manage their groups and access bigger markets.
Across the country, more than 700 Farmer Groups and 120 Cooperatives have been registered, becoming vital players in agricultural commercialization. With many struggling to sustain operations, the government is stepping in with both policy reforms and financial backing.
A total of Nu 910.5 million (mn) has been earmarked for agricultural marketing and cooperative development. This funding will go into training farmers in cooperative management, strengthening business skills, providing equipment, and connecting groups to reliable buyers.
Minister for the Ministry of Agriculture and Livestock (MoAL), Younten Phunstho, said the government’s focus is on empowering farmers to stand independently.
“Cooperatives are not just about pooling resources; they are about building confidence and creating opportunities for our farmers. We want to ensure that every cooperative has the knowledge and support to become self-sustaining,” Lyonpo Younten Phunstho said.
This year alone, at least 10 cooperatives will be supported to grow into commercially viable enterprises. Youth groups are also being mobilized to supply vegetables, fruits, and livestock products to Gyalsung Academies, the Gelephu Mindfulness City, schools, hospitals, and monasteries, ensuring steady markets while reducing imports.
The Bhutan Cooperatives and Farmer Groups Bill 2025, currently under Parliamentary review, will further ease registration and auditing, reduce compliance costs, and introduce regional dispute resolution mechanisms.
For many farmers, these measures bring hope. Better training and reliable buyers mean less uncertainty and more income at the grassroots level. Lyonpo Younten Phunstho emphasized, “If our farmers thrive, our rural economy thrives. Cooperatives are the bridge that connects farmers to markets and opportunities.”
