𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐯𝐞 𝐈𝐧𝐢𝐭𝐢𝐚𝐭𝐢𝐯𝐞𝐬 𝐃𝐫𝐢𝐯𝐞 𝐒𝐮𝐬𝐭𝐚𝐢𝐧𝐚𝐛𝐥𝐞 𝐆𝐫𝐨𝐰𝐭𝐡 𝐢𝐧 𝐀𝐠𝐫𝐢𝐜𝐮𝐥𝐭𝐮𝐫𝐞 𝐚𝐧𝐝 𝐋𝐢𝐯𝐞𝐬𝐭𝐨𝐜𝐤 𝐒𝐞𝐜𝐭𝐨𝐫

…𝒉𝒊𝒈𝒉-𝒗𝒂𝒍𝒖𝒆 𝒄𝒓𝒐𝒑𝒔, 𝒄𝒐𝒎𝒎𝒆𝒓𝒄𝒊𝒂𝒍 𝒇𝒂𝒓𝒎𝒔, 𝒊𝒏𝒔𝒖𝒓𝒂𝒏𝒄𝒆 𝒔𝒄𝒉𝒆𝒎𝒆𝒔, 𝒂𝒏𝒅 𝒎𝒂𝒓𝒌𝒆𝒕 𝒍𝒊𝒏𝒌𝒂𝒈𝒆𝒔 𝒃𝒐𝒐𝒔𝒕 𝒑𝒓𝒐𝒅𝒖𝒄𝒕𝒊𝒗𝒊𝒕𝒚 𝒂𝒏𝒅 𝒔𝒆𝒄𝒖𝒓𝒆 𝒔𝒖𝒔𝒕𝒂𝒊𝒏𝒂𝒃𝒍𝒆 𝒅𝒆𝒗𝒆𝒍𝒐𝒑𝒎𝒆𝒏𝒕

By Yeshi Dolma

The nation’s agriculture and livestock sector is showing significant signs of transformation, with innovative initiatives driving productivity, value addition, and resilience, ensuring that the sector continues to make a substantial contribution to the economy. According to the National Statistics Bureau’s December 2025 third-quarter report, the primary sector, which includes crops, livestock, and forestry, expanded by 5.30 percent. This marks an improvement of 2.57 percentage points over the 2.73 percent growth recorded during the same period in 2024. Gross Value Added (GVA) in the sector was estimated at Nu 12.521 billion, accounting for 14.17 percent of the nation’s GDP during the quarter.

Thinley Namgyel, Secretary of the Ministry of Agriculture and Livestock (MoAL), highlighted that this growth reflects not only general improvements in productivity but also the impact of targeted initiatives aimed at enhancing value addition and ensuring inclusivity.

“The increase in the sector’s contribution to GDP is not accidental. Beyond infrastructure, mechanization, and irrigation, a number of focused initiatives are driving sustained growth and providing tangible benefits to farmers across the nation,” he said.

Central to these initiatives is the promotion of high-value agricultural commodities. Crops and products such as asparagus, mushrooms, cardamom, honey, and yak cheese are being prioritized, alongside the ambitious million fruit tree plantation project. According to Thinley Namgyel, “Focusing on high-value products diversifies production, increases profitability for farmers, and positions the sector to tap into domestic and potential international markets. This is essential for long-term sustainability.”

These high-value crops not only improve returns for farmers but also reduce reliance on traditional staple crops, creating opportunities for commercial growth.

The Ministry has also introduced pilot projects for Geographical Indication (GI) products to protect traditional knowledge and generate premium value for local products. Notable examples include Bumthang Yathra textiles, Dhur-Tandigang Gonthok buckwheat flour, Merak-Sakteng Zoetey, and Bumthang honey. Thinley Namgyel explained, “GI products allow farmers to access markets where traditional goods command premium prices, while preserving cultural heritage. This balance between tradition and commercial viability strengthens both economic and social sustainability.”

Large-scale commercial farms complement these initiatives by demonstrating modern farming techniques and integrating smallholder farmers into larger value chains. Farms in Samrang (40 acres) and Pemathang (60 acres) in Samdrup Jongkhar have been developed in partnership with local organizations, while a 270-acre farm at Yarjugang in Wangdue Phodrang is being implemented in collaboration with the Royal Bhutan Police. Thinley Namgyel said, “These commercial farms provide training opportunities, increase production efficiency, and help smallholders link with larger markets.”

Mitigating risks from climate variability, wildlife, and market fluctuations is also a priority. The National Crop and Livestock Insurance Scheme, launched on November 11, 2025, provides protection against losses from extreme weather, wildlife damage, and animal diseases. Thinley Namgyel explained, “Insurance is a critical safety net. Farmers can now invest in higher-value crops and livestock with confidence, knowing that losses from unforeseen events are mitigated.”

This measure encourages innovation and ensures that productivity gains are safeguarded against unpredictable risks.
Market access and assured demand have been strengthened through institutional linkages. Farmers can supply schools, hospitals, and Gyalsung Academies, ensuring stable consumption for their products. Thinley Namgyel noted, “Recent revisions in school stipends are expected to boost demand for locally grown produce, supporting both farmers’ incomes and the nutritional needs of students.”

Additionally, a memorandum of understanding with the Government of India guarantees subsidized fertilizer supply, ensuring farmers have affordable and uninterrupted access to key inputs for enhanced production.

Analysts point to tangible results from these initiatives. The agriculture and livestock sector’s contribution to GDP rose from 9.15 percent to 12.48 percent, despite a shrinking workforce. This reflects productivity gains, increased value addition, and more efficient use of resources. Experts note that by focusing on high-value crops, commercial farming, insurance protection, and market linkages, the sector is demonstrating that sustainable growth is achievable even in the face of labor and climate constraints.

Thinley Namgyel highlighted the integrated approach taken by the Ministry. “Our strategy is threefold: diversify production through high-value commodities, modernize farming through commercial and large-scale projects, and protect farmers through insurance and assured markets. This holistic approach ensures that the sector contributes sustainably to GDP while remaining inclusive and resilient to risks,” he said.

Beyond economic impact, these initiatives align the sector with global efforts to achieve a sustainable and equitable future. By combining technological support, risk management, and value addition, the Ministry is ensuring that agricultural development benefits both producers and consumers, while preserving the nation’s natural and cultural resources.

With high-value crop promotion, GI products, commercial farms, insurance schemes, and strengthened market linkages, the agriculture and livestock sector is not only securing its current contribution to GDP but also laying a solid foundation for continued growth, inclusivity, and resilience. As Thinley Namgyel emphasized, “By investing in innovation, safeguarding farmers, and creating markets, we are ensuring that the sector grows sustainably and continues to support the nation’s development goals.”