Nepal, highly disaster-prone, relies on agriculture for 64 per cent jobs and 21 per cent GDP. Climate-induced 20-30 per cent yield drops by 2050 threaten food security, stunting 25 per cent children; smallholders cling to farming.
By Laxmi Khanal
In the terraced fields of Nepal’s Madhesh Province, Anjali Devi Yadav once scraped by on subsistence farming, burdened by debt after her husband migrated to the UAE for work. Today, she harvests confidence alongside cucumbers and chilies. A grant from the World Bank’s Rural Enterprise and Economic Development (REED) project equipped her with seeds, sprayers, and modern techniques, propelling her seasonal earnings from Rs 120,000 on 4 tons of vegetables to a record Rs 392,000 on 9.8 tons in 2024. “Now, I don’t just grow vegetables. I grow confidence, security, and a future for my children,” Yadav says.
Her story, spotlighted in a World Bank feature earlier this year, exemplifies a broader transformation rippling through Nepal’s rural heartlands. Women, who comprise over half the country’s farmers yet own just 32 per cent of farmland, are leveraging cooperatives, market links, and grants to shift from survival to entrepreneurship. REED has mobilized $12.5 million, created 12,000 jobs, and benefited 8,700 farmers across six provinces, with 48 per cent women among recipients. In Rolpa, buffalo farmers like Anisha Pun now sell milk to dairies, easing household burdens. In Panchthar, indigenous women of the Ngingma group brand “Himalayan Herbal Honey” from modern beehives.
These gains align with Nepal’s Agriculture Development Strategy but face mounting threats from climate change and systemic inequities. A Penn State University study, published August 13, 2025, in Population and Environment, reveals why many farmers cling to agriculture despite risks. Surveying 500 households in Chitwan Valley – where temperatures have risen twice the global average since 1970 – researchers found farmers perceiving greater climate perils in non-farm jobs, like heat stressing day laborers. “Even as crop yields declined, we saw retrenchment in established farming activities,” says lead author Nicolas Choquette-Levy, an assistant professor at Penn State. Low trust in government aid exacerbates this, pushing families deeper into farming amid floods and droughts.
Disasters and Food Insecurity
Nepal ranks among the world’s most disaster-prone nations, with agriculture employing 64 per cent of the workforce and contributing 21 per cent to GDP. Yet, projected 20-30 per cent yield drops by 2050 due to erratic monsoons could worsen food insecurity, already stunting 25 per cent of children’s growth. Smallholders like those in Chitwan double down on rice, maize, and wheat, fearing poverty more than harvest failures.
A Youth-Led Food Revolution
Enter Gen Z, whose 2025 protests – ignited by a social media crackdown but fuelled by corruption and rural exodus – demand a reimagined food system. In an opinion piece in The Himalayan Times, FAO Nepal value chain specialist Kiran Mainali argues for a national Agri-Food Systems Framework emphasizing transparency and youth inclusion. With 20 per cent Gen Z unemployment driving migration, protesters link governance failures to seed and fertilizer mismanagement. “Digital platforms to track subsidies, youth-led audits, and ag-tech incubators could retain talent and build resilience,” Mainali writes.
Women-led successes under REED offer a blueprint. Shanti Khadayat in Sudurpashchim Province introduced high-yield Boer goats via matching grants, boosting meat prices and teaching peers husbandry. Urmila Ghale’s cooperative upgraded buffalo sheds, eyeing Indian markets for milk and compost. Over four years, REED fostered 300 partnerships, 108 women-led, and established 74 Municipal Agricultural Livestock Service Centers for diagnostics and training.
Policy Solutions for a Changing Climate
Experts urge bridging these efforts with climate adaptation. Choquette-Levy advocates subsidized insurance, migration aid, and diversified income to counter retrenchment. “Farmers have no choice but to adapt,” he notes, drawing parallels to Pennsylvania’s family farms. Gen Z envisions agroecological practices, localized supply chains with solar drying, and land reforms to raise women’s ownership to 50 per cent by 2035.
In Rana Samaj, Santoshi and her group doubled investments in commercial vegetables, earning Rs 30,000 per cabbage season. “We’re financially independent… no longer relying on husbands for school supplies,” says member Kalpana. Buyers benefit too: reliable supplies cut costs and losses.
As REED nears its fifth year, Nepal stands at a crossroads. Integrating World Bank market tools, Penn State risk insights, and Gen Z’s call for equitable governance could forge a resilient agri-future. “When you bring the market into it, that brings success,” says REED leader Maha Ahmed. For Yadav, whose husband returned from Dubai to farm profitably, the path is clear – and thriving.

