Farmers in Bangladesh. Credit: Heifer International
 
As conflict in the Middle East disrupts critical fuel and fertilizer supply routes, smallholder farmers across Asia are once again caught in the crossfire of global shocks. This piece argues that repeated crises are exposing a deeper structural flaw in agri-food systems—Overdependence on External Inputs. It presents a compelling case for regenerative agriculture as a pathway to resilient food systems in Asia.

By Neena Joshi
UTTAR PRADESH, India, May 15 2026 (IPS)

The latest shock to global food systems, triggered by conflict in the Middle East and disruptions around the Strait of Hormuz, has once again exposed a fragile truth: the world’s food systems remain highly vulnerable to external shocks.

For Asia, especially South Asia, where agriculture underpins millions of livelihoods, the consequences are immediate and severe. Rising fuel prices, supply chain disruptions, and limited access to fertilizers are pushing already fragile systems to the brink.

The Strait of Hormuz is not just a geopolitical chokepoint; it is a lifeline for fuel and agricultural inputs across Asia. A significant share of fertilizers and their raw materials, including natural gas, transit through or originate from this route.

For countries such as India, Bangladesh, and Nepal, where agriculture employs between 38 and over 60 percent of the workforce, this dependency creates systemic risk. When supply chains falter, the effects cascade quickly: input costs rise, planting cycles are disrupted, and farmer incomes shrink.

Solar panels installed in a farm in Bangladesh. Credit: Heifer International

Even if shipping routes reopen, recovery will be slow

Damage to energy infrastructure and continued geopolitical uncertainty mean price volatility and supply constraints can persist for months. For smallholder farmers, this creates a dual crisis. Exporting produce becomes difficult due to logistical bottlenecks, while fuel shortages hamper domestic distribution. At the same time, the next cropping cycle looms, with essential fertilizers either unavailable or unaffordable.

This is not an isolated disruption. From the COVID-19 pandemic to the war in Ukraine, global shocks are becoming more frequent and interconnected. Each crisis compounds the last, pushing smallholder farmers, the backbone of global food production, into deeper uncertainty. The question is no longer whether disruptions will occur, but how prepared our systems are to withstand them.

At the heart of the problem is overdependence on external, input-intensive systems, chemical fertilizers, fossil fuels, and long, fragile supply chains. Reducing this dependence is central to building resilience.

Regenerative Agriculture and Renewable Energy Offer a Compelling Pathway Forward.

At its core, regenerative agriculture restores soil health, enhances biodiversity, improves water retention, and reduces reliance on synthetic inputs. Practices such as crop diversification, organic soil enrichment, reduced tillage, and integrated pest management shift farming from an extractive to a restorative model.

By rebuilding natural soil fertility, these approaches reduce dependence on external inputs. Instead of relying heavily on urea in rice cultivation, regenerative systems promote nutrient cycling and biological nitrogen fixation through legumes, alongside the use of compost and manure to strengthen soil organic matter and ensure a steady, natural nutrient supply.

Integrating renewable energy further strengthens resilience. Solar-powered irrigation replaces fuel-based inputs with clean, reliable energy, lowering operational costs and improving water-use efficiency—especially critical during periods of disruption.

The evidence base for these approaches is both growing and compelling. In Bangladesh, multiple studies show that solar irrigation consistently outperforms diesel systems, delivering higher returns, improving food security, and reducing irrigation costs by 20–50 percent, while significantly boosting profitability (Rana, 2021; Buisson, 2024; Sunny, 2023; Sarker, 2025).

Research also shows that bio-based inputs like compost, biochar, and green manure can partially replace synthetic fertilizers, often without yield loss, while improving soil health (Naher, 2021; Ferdous, 2023; Behera, 2025).

Regenerative Agriculture is Not Just an Environmental Solution—It is an Economic One

By reducing dependence on volatile external inputs such as chemical fertilizers and fossil fuels, regenerative agriculture shields farmers from global price shocks while improving long-term productivity and profits.

Emerging evidence from Nepal and India reinforces this trend: while yields generally remain stable, reduced input costs significantly increase farm profitability (Magar, 2022; Dhakal, 2022; Berger, 2025).

A broader analysis by the Observer Research Foundation (2025) finds that although yields may dip slightly during transition, most cases report higher yields over time, alongside improved income stability driven by lower input dependence.

Similar trends are being observed globally, reinforcing that regenerative approaches can deliver both resilience and profitability across diverse farming systems (link).

Importantly, these outcomes are already visible on the ground in South Asia. Through programs led by Heifer International, smallholder farmers are adopting regenerative and climate-smart practices that reduce costs, improve yields, and strengthen resilience.

In Bangladesh’s Jashore district, for instance, women farmers organized into cooperatives have reduced irrigation costs, improved productivity, and strengthened market access through solar irrigation, organic soil management, and collective action.

As one farmer, Shirin Akter, shares: “Adopting climate-smart practices and pooling resources through my cooperative allowed me to grow diverse crops. When drought hit, I still had harvests to sell, and my cooperative helped me recover quickly.”

For farmers like Shirin, these shifts are transformative, turning vulnerability into resilience through diversified systems, lower input dependence, and stronger collective support. Similar models in Nepal show how regenerative, community-based approaches can reduce resource pressure while improving incomes.

Scaling this Transition Requires Action Beyond the Farm

To transition to a resilient and sustainable food system, a multi-stakeholder approach is essential. Policymakers should realign incentives to support sustainable practices and reduce dependence on imported inputs. Financial institutions and insurers should recognize the lower risk profiles of regenerative systems.

Businesses must embed sustainability into core decisions, prioritizing sourcing from farmers adopting regenerative practices and building longer-term, stable supply relationships. At the same time, marketing teams can shape consumer demand by communicating the value of sustainably produced food. Together, these shifts can align supply chains and markets in support of more resilient food systems.

The stakes are high. The World Food Programme warns that roughly 45 million more people could be pushed into hunger if current disruptions persist, adding to the 318 million people already food insecure.

We cannot continue rebuilding fragile food systems after every shock. We must redesign them. Regenerative agriculture offers a pathway to reduce dependence on volatile external inputs, restore ecological balance, and build resilience where it matters most—at the farm level.

To replenish what has been used up is not just an environmental necessity—it is the foundation of more secure, equitable, and resilient food systems across Asia.

Neena Joshi is the Senior Vice President for Asia Programs at Heifer International. With over 20 years of experience, she leads initiatives to build inclusive, sustainable agrifood systems and empower smallholder farmers, especially women and youth, across Asia.

IPS UN Bureau

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Kalpana Rai, Rachana Sanani, Anita Rana -- members of Ruru Multipurpose Cooperative, Nepal. Credit: Heifer International

By Neena Joshi and Balasubramanian Iyer
KATHMANDU, Nepal / NEW DELHI, India, Aug 21 2025 (IPS)

“The future of agriculture lies not in the hands of a few giants, but in the joint hands of many.”

This quote captures the spirit of farmer cooperatives—values-driven, collectively run enterprises rooted in solidarity and self-help. As global food systems grow more fragile and inequitable, cooperatives offer a compelling model: putting people before profits, and communities before corporations, while advancing social equity, economic empowerment, and environmental sustainability.

Globally, more than 1 billion people—about 12% of the world’s population are members of over 3 million cooperatives. The largest 300 cooperatives report an annual turnover exceeding USD 2.4 trillion, nearly 2.3% of global GDP.

These cooperatives provide job opportunities for 280 million people—roughly 10% of the world’s employed population (World Cooperative Monitor, 2023). Notably, 105 of the top 300 cooperatives operate in the agriculture sector, operating across the agricultural value. chains.

By organizing through cooperatives, smallholder farmers amplify their voice and bargaining power. By pooling resources, they build collective capital and reduce dependence on external funding—especially vital in today’s shrinking development-aid landscape. The cooperative model enables farmers to emerge as a thriving, resilient workforce, thereby transforming food systems.

India’s iconic Anand Milk Union Limited (AMUL) illustrates this well. Formed in 1946, AMUL played a central role in India’s White Revolution and is now part of the Gujarat Co-operative Milk Marketing Federation (GCMMF). AMUL ensures 80% of prices paid by consumers go directly to the farmers—empowering over 3.6 million milk producers, many of them women who’ve gained financial independence and acquired leadership roles.

Rashida Begum, member of Nawdagram Nari Agrogoti Samity in Bangladesh. Credit: Heifer International

Other powerful examples in Asia include Japan’s National Federation of Agricultural Cooperative Association, known as Zen-Noh, and South Korea’s National Agricultural Cooperative Federation (NACF) or NongHyup. Zen-Noh represents over 1,000 agricultural cooperatives in Japan and plays a central role in procuring inputs, distributing products, and exporting Japanese rice and other produce internationally.

It exemplifies how cooperative federations can integrate vertically and optimize logistics, marketing, and innovation to serve their members.

In South Korea, NongHyup serves around 2.5 million farmer-members across more than 1,100 local cooperatives. As one of the world’s largest multipurpose cooperatives, it combines agricultural marketing, banking, insurance, and technical support.

Through its financial services arm alone, NongHyup supports over 70% of the country’s population, making it a linchpin of rural development and economic security.

Nonprofit organizations also play a critical role in enabling farmer cooperatives to thrive. Heifer International in Asia, active in Nepal, India, Bangladesh, and Cambodia, supports farmer cooperatives through training, market integration, and financial access as the core of its program model. These efforts not only boost productivity but also position farmers as agents of change.

Heifer’s work with apex cooperative bodies like Nepal’s Social Entrepreneurs Women’s Alliance (SEWA) and Cambodia’s Social Entrepreneurs Union of Agricultural Cooperatives (SEUAC) is transforming the agricultural landscape. SEWA represents women-led cooperatives, advancing inclusive policy advocacy, innovation, and market access.

In Cambodia, SEUAC, formed with government support in 2021, unites 22 cooperatives across six provinces, benefiting over 12,000 farmers through improved services, infrastructure, and representation.

Tulsi Thapa, President of Bihani Social Entrepreneurs Women’s Cooperative in Nepal and SEWA’s Central Joint Secretary, is one such changemaker. “I come from a humble farming family and never imagined I’d lead hundreds of women,” she says. A Heifer initiative in 2012 catalysed her journey from subsistence farming to cooperative leadership.

Today, Bihani has over 1,400 members and an annual turnover exceeding USD 540,000. The cooperative has diversified into dairy, goat trading and livestock feed, with access to over USD 198,000 in affordable loans.

Yet challenges remain—from limited access to insurance and fair markets to deep-rooted gender norms. “Progress starts with agriculture,” Tulsi says. “Farmer-friendly cooperatives can spark rural economic revolutions.”

Smallholder farmers do more than feed the world—they help heal it. As climate change continues to destabilize agriculture, cooperatives foster climate-smart, regenerative practices that build community resilience.

Their impact directly advances the United Nations Sustainable Development Goals (SDGs), including SDG 1 (No Poverty), SDG 2 (Zero Hunger), SDG 5 (Gender Equality), SDG 8 (Decent Work), and SDG 13 (Climate Action).

The global community is beginning to recognize the cooperative potential. The United Nations has designated 2025 as the International Year of Cooperatives under the theme “Cooperatives Build a Better World.”

In response, Heifer in Asia, in collaboration with the International Cooperative Alliance Asia and Pacific (ICA-AP), has launched a regional campaign: Seeding Strength: Empowering Farmer Cooperatives.

Spanning Cambodia, Bangladesh, India, and Nepal, the campaign showcases cooperatives as drivers of the three P’s – people, profits and planet, with a clarion call to attract resources in strengthening the cooperative model in Asia.

Nevertheless, cooperatives cannot transform food systems alone—they need an enabling ecosystem. Governments must design supportive policies, while financial institutions create inclusive products tailored to smallholders, especially women.

The private sector can modernize supply chains and introduce sustainable technologies, and NGOs play a vital role in building local capacity and visibility. Media, academia, and engaged citizens also have a role in championing cooperatives—not merely as business units, but as transformative forces for rural upliftment.

As we commemorate the International Year of Cooperatives 2025, now is the time to recognize and resource farmer cooperatives as essential players in building a just, food-secure, and climate-resilient future where no one is left behind.

Neena Joshi is the Senior Vice President – Asia Programs at Heifer International. With over 20 years of experience, she leads initiatives to build inclusive, sustainable agrifood systems and empower smallholder farmers, especially women and youth, across Asia.

Balasubramanian (Balu) Iyer is the Regional Director of the Asia-Pacific office of the International Cooperative Alliance. He has over three decades of experience in international development, with a focus on cooperative development and regional operations across Asia.

IPS UN Bureau

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