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Large scale sustainable rice project improves incomes of smallholder farmers and makes positive impact on environment 

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Large scale sustainable rice project improves incomes of smallholder farmers and makes positive impact on environment 

September 21, 2022 by Asia Food Journal

sustainable rice

Courtesy of Olam Agri

  • 10,000 farmers on the Mekong Delta see incomes increase by 17% through a successful public-private partnership between Olam Agri, GIZ, and MARD
  • Farmers in the programme’s trial plots saw a reduction in water usage by up to 40% and N-P-K fertiliser by up to 15%
  • Improved quality of rice meets international standards and opens up new markets in the EU and US 

Vietnam, 21 September 2022 – Ten thousand smallholder farmers have made significant improvements in farming practices, and the quality of rice as part of the Market Oriented Smallholder Value Chain (MSVC) programme.

Established in 2018, MSVC is a multi-stakeholder initiative between Olam Agri, German development cooperation Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, and Vietnam’s Ministry of Agriculture and Rural Development (MARD). 

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Through this programme, up to 150,000 tonnes of paddies that meets international standards are produced, creating new growth opportunities for Vietnam’s rice exports to markets such as the EU and US. Most smallholder farmers in the programme recorded more than 50 percent increase in scores verified by the Sustainable Rice Platform (SRP), the world’s first voluntary sustainability standard for rice production. 

Additionally, some farmers in the programme’s trial plots reduced their water usage up to 40 percent and N-PK fertiliser up to 15 percent as they moved from traditional flood irrigation to more modern alternate wetting and drying (AWD) and drip irrigation techniques. 

“We owe the great success of MSVC to the resilience of the farmers and the strong support we have received from the MARD, Department of Cooperatives and Rural Development, and local government authorities. We are strongly committed to the development of agriculture in Vietnam, and we are pleased that the increase in quality and safety standards of the rice varieties produced has opened the doors to more markets globally, including the EU and US,” said Mohit Agarwal, Country Head of Olam Agri Vietnam. 

“Sustainable rice benefits farmers, communities, and consumers while providing nutrition for 97 million people in Vietnam. In line with our purpose to transform agriculture for a more sustainable future, Olam Agri is working closely with a consortium of partners to advance the quality of rice produced in Vietnam and improve the livelihood of Vietnam’s farmers by strengthening their links to the global value chain where there is strong demand for safe, high quality and responsibly-produced rice,” said Paul Nicholson, Vice President for Rice Research and Sustainability, Olam Agri, one of the world’s largest rice merchants and a founding member of the SRP. 

Olam Agri is one of the world’s largest rice merchants and a strong advocate of sustainable rice cultivation. In the MSVC Vietnam programme, Olam Agri provided farmer incentives and created market linkages between cooperatives and millers to buy paddy directly from the farmers in Mekong Delta. With proven expertise and knowledge in sustainable farming practices, Olam Agri will produce and pack private-labelled rice that carries the SRP-Verified Label from Vietnam‘s SRP-certified farms in the Mekong Delta. 

“We highly appreciate the efforts of the partners in building a comprehensive set of solutions from improving farming techniques to access to markets, including developing the capacity of farmers and farmer organizations in improving the quality and value of rice. The successes and lessons learned from the project will contribute to supporting state management agencies at all levels in the process of directing, formulating, and adjusting policies to promote the development of production and market linkages for agricultural products in the country,“ said Mr Le Duc Thinh, General Director of the Department of Economic Cooperation and Rural Development, MARD. 

As an ongoing effort to continue advancing sustainable farming practices in Vietnam, Olam Agri will continue to work with the Vietnam government to train farmers on techniques to protect soil health and create more support for the inclusion of women in agriculture.

About Olam Agri

Olam Agri is a market-leading, differentiated food, feed and fibre agri-business with a global origination footprint, processing capabilities, and deep understanding of market needs built over 33 years. With a strong presence in high-growth emerging markets and products across grains & oilseeds, animal feed & protein, rice, edible oils, specialty grains & seeds, cotton, wood products, rubber, and commodity financial services, Olam Agri is at the heart of global food and agri-trade flows with more than 40 million MT in volume traded annually. Focused on transforming food, feed and fibre for a more sustainable future, it aims at creating value for customers, enabling farming communities to prosper sustainably, and striving for a food-secure future. Olam Agri is a fully owned subsidiary of Olam Group.

For more information and to subscribe to our news alerts, please visit https://www.olamagri.com/.

Other Topics: agri-food system, agriculture, rice project, sustainability, Vietnam

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