BANGLADESH – Empowering aromatic rice farmers in Dinajpur through cooperation

Dinajpur, Bangladesh – In the northern district of Dinajpur, Bangladesh, farming is more than a livelihood — it is a way of life. But for many smallholder farmers, the journey from planting to harvest has long been a struggle marked by financial hardship.

Most farmers are forced to take high-interest loans from moneylenders just to begin cultivation. With limited access to affordable credit, many fall into debt, while the rising cost of seeds, fertilizers, and pesticides cuts further into their income. Access to government loans is difficult due to complex paperwork and documentation requirements that most small farmers cannot meet.

Even after harvest, challenges continue. Farmers must bear transport costs and taxes, only to face buyers who bargain down prices, leaving them with little profit for their months of hard work.

To address these issues, the Dighon CIG Cooperative in Dinajpur, with support from the COAST Foundation, developed a business plan that aims to maximize the benefits for farmers through the commercialization of agricultural goods. In 2021, the cooperative secured around USD 29,000 in project funding from the APFP-FO4A program. With this support, the cooperative launched a pilot project on aromatic rice production, a high-value crop in the region. In 2022, Dighon CIG distributed interest-free loans to 150 farmer members, including women farmers who often face barriers in accessing financial support due to societal norms.

Beyond financial aid, the cooperative and COAST Foundation, the national implementing agency of APFP-FO4A in Bangladesh, the also provided technical guidance and logistical support during cultivation. Government representatives also helped oversee the project’s management.

After harvest, the cooperative collects members’ rice directly, helping them save on labor and transport costs while ensuring they receive fair prices.

Taking the next step toward sustainability, Dighon CIG launched its own brand of aromatic rice and opened a retail outlet, where their products are now sold alongside other marketplaces.

The APFP-FO4A program is implemented by the Asian Farmers’ Association for Sustainable Rural Development (AFA) and La Via Campesina (LVC), with funding support from the European Union (EU) and the International Fund for Agricultural Development (IFAD). The program aims to strengthen the capacities of farmers’ organizations to provide economic services, advocate for enabling policies, and promote sustainable livelihoods for small-scale family farmers across Asia.