Introduction In the face of intensifying climate challenges, a cornerstone of the Lao People’s Democratic Republic economy faces critical hurdles to sustainable development. With approximately 70% of the population engaged in agriculture, the country grapples with major issues—ranging from disease risk, market accessibility, post-harvest losses to significant vulnerability to climate change. Furthermore, limited access to modern techniques and knowledge transfer can hinder the sector’s potential to drive inclusive growth and enhance food security. Against this backdrop, there is a crucial need for innovative solutions that can bolster climate resilience, improve food security, and ensure equitable and inclusive growth of smallholder farmers, while aligning to the Lao PDR’s National Green Growth Strategy and the 10th National Socio-Economic Development Plan, both of which prioritize sustainable, inclusive, and climate-resilient agricultural development. Supported by the Asian Development Bank’s Frontier Seed Facility (ADB Frontier), portfolio company Green Goods Co., Ltd, stands as a pioneering social enterprise at the intersection of climate-smart agriculture, community empowerment, and inclusive rural development in the Lao PDR. Since 2019, it has advanced an integrated poultry value chain model that empowers small-scale farmers, while enhancing food security, gender inclusion, and climate resilience. Integrated Poultry Value Chain The Lao PDR’s livestock subsector contributed only 2.2% to the gross domestic product but it posted an annual growth of 8.8% in 2011–2020 and is the second-largest agricultural activity. Given its high growth potential, livestock offers many opportunities for smallholders, including women, and small and medium-sized agribusinesses.[1] However, the livestock subsector remains underdeveloped, with smallholder farmers . Challenges include (i) weak capacities and facilities for disease monitoring; (ii) lack of livestock breeding centers, feedlots, and certified facilities; (iii) lack of access to value chain services and high-value markets for smallholder farmers, especially women; and (iv) limited capacity of farmers and other stakeholders along the value chain to monitor, prepare for, and control livestock diseases, and to tackle food safety concerns.[2] Green Goods employs sustainable farming practices benefiting farmer communities and increasing their market access. It works closely with local farmers to raise native free-range chicken and eggs.[3] The poultry farm’s core innovation lies in its integrated poultry value chain, which incorporates the following: AI-powered disease management: Rapid detection and management of poultry diseases have reduced mortality rates from 47% to just 0.6%. Feed optimization: Locally sourced, nutrient-efficient organic feed reduces reliance on imports and supports local agriculture. Cooperative support: Formation and capacity building of farmer cooperatives, with a strong emphasis on women’s empowerment. Resilient cold chain distribution: Connecting rural producers to premium and urban markets ensure high-quality products reach a broader consumer base. ADB Frontier’s capital supported Green Goods to gain and implement Hazard Analysis and Critical Control Points certification to improve food and safety operations. Economic and Social Impact Sustainable poultry farming practices have improved income, food security, and gender inclusion, especially in rural parts of the Lao PDR. Income generation and rural livelihoods. Green Goods directly benefits over 350 small-scale farming households across rural Lao PDR. By providing access to improved breeds, technical training, and reliable markets, the company has enabled some farmers to increase revenues by up to 200% per production cycle. Local supply chains now support over 300 community members, including a 23-member Women’s Poultry Cooperative in Vientiane. Food security and nutrition. Eggs and poultry are vital sources of protein in Laotian diets. Green Goods’ model increases the availability and affordability of high-quality poultry products, contributing to improved nutrition and food security, particularly in rural and peri-urban areas. Gender and social inclusion. Women are empowered through leadership roles, targeted technical training, and cooperative membership, enhancing their agency and income-earning potential. In addition, the company has sponsored four Laotian employees to study abroad, further strengthening local expertise and fostering knowledge transfer. This aligns with national strategies for rural development and poverty reduction. Environmental Sustainability By introducing eco-friendly feed alternatives, employing innovative waste recycling methods, implementing climate-smart practices, and building climate resilience, Green Goods has made significant strides in reducing the environmental footprint of poultry farming in the Lao PDR. Eco-friendly feed alternatives. Locally produced organic feed supports local agriculture and reduces dependence on resource-intensive imports. This approach lessens environmental costs associated with long-distance transportation and the production of conventional feed. Innovative waste recycling methods. Biochar technology converts poultry waste into high-quality soil enhancers. This process supports circular farming practices, ensuring that waste is reintegrated into the agricultural cycle to improve soil health and productivity. Climate-smart practices. Practices to lower greenhouse gas emissions and promote greater resource efficiency have set a new standard for sustainable poultry farming in the region. Climate resilience. By diversifying rural incomes and promoting adaptive farming practices, Green Goods reduces the vulnerability of smallholder farmers to climate shocks and economic instability. Investments in local capacity for risk management and innovation ensure that communities are equipped to respond to future challenges and support knowledge transfer across regions. Opportunities for the Future Businesses provide a road map on how private enterprises can drive green growth by integrating into their business models the objectives of the Lao PDR’s National Green Growth Strategy and 10th National Socio-Economic Development Plan, including efficient resource use, environmental protection, climate resilience, and gender equality. Scaling and deepening the impact across other enterprises and the agricultural sector requires a multi-pronged strategy with the following priorities: Unlocking green finance and investment. By expanding access to climate and green finance, agricultural businesses can leverage emerging green bond markets and climate finance mechanisms to attract the capital needed for scaling sustainable poultry and broader agri-food value chains. Additionally, developing innovative financing models—such as blended finance and results-based financing—will help de-risk private investment in sustainable agriculture, making the sector more attractive to both domestic and international investors. Strengthening policy and institutional support. Regulatory frameworks that incentivize sustainable and responsible investments will expand small and medium-sized enterprises and smallholder farmers’ access to finance. Transparent and inclusive governance in the agri-food sector can be fostered to ensure equitable growth. Furthermore, deepening public-private partnerships with government agencies, research institutions, and international organizations will enable co-investment in critical infrastructure, research and development, and market development, thereby accelerating sector-wide transformation. Accelerating knowledge sharing and digital innovation. This will help Green Goods’ impact reach even the most remote communities. Scaling up digital platforms for farmer training, disease surveillance, and market information will empower farmers with timely knowledge and tools to improve productivity and resilience. By positioning itself as a regional knowledge hub for climate-smart poultry innovation, Green Goods can facilitate learning and technology transfer across Southeast Asia, amplifying its influence and fostering regional collaboration. Expanding market access and enhancing value addition. Developing branding and certification for sustainably produced poultry will open doors to premium domestic and international markets, increasing profitability for farmers and the enterprise alike. Investing in value chain integration—including processing, packaging, and logistics—will help capture more value within local communities and reduce post-harvest losses, further strengthening rural economies. Embedding resilience and inclusion. To ensure economic and sector growth that is both sustainable and equitable, climate resilience and inclusive initiatives are crucial. Continued prioritization of women’s leadership and youth engagement in cooperatives and agribusiness will drive social inclusion and innovation. Integrating climate adaptation measures, such as climate risk insurance, diversified livelihoods, and adaptive technologies, will help future-proof rural communities against environmental and economic shocks. Conclusion Social enterprise, technological innovation, and inclusive business models can drive green growth in the Lao PDR’s agricultural sector, as demonstrated by Green Goods. By integrating climate-smart practices, empowering rural communities, and aligning with national development strategies, it is contributing to a more resilient, equitable, and sustainable rural economy. The company’s experience offers valuable lessons for policymakers, investors, and development practitioners seeking to catalyze inclusive green growth in emerging economies. Scaling such models—supported by robust policy, innovative finance, and strong partnerships—can accelerate the Lao PDR’s transition toward a low-carbon, climate-resilient future. Note: ADB Frontier is a seed facility providing catalytic risk capital to early-stage and innovative businesses in Cambodia, the Lao PDR, Fiji, and the Pacific. They finance businesses creating jobs, gender, and climate impact, and test new financial products with the aim of fostering capital market development to unlock growth and help build the industry leaders of tomorrow. [1] Asian Development Bank. 2024. Greater Mekong Subregion Cross-Border Livestock Health and Value Chains Improvement Project. Report and Recommendation of the President. [2] See footnote 1. [3] D. Mellor. 2025. ADB Frontier Seed SME Finance in Lao PDR and Cambodia. Presentation during the webinar Scaling What Works: Private Sector Development as Catalyst for Growth in Southeast Asia. 18 November. Resources Center for International Forestry Research and World Agroforestry. 2024. Towards Green Finance for Land-based Investments in Lao PDR. Briefing Note. Food and Agricultural Organization of the United Nations. Green Goods Integrated Poultry Service: Empowering Small-Scale Farmers through Sustainable Native Poultry Farming in Rural Laos. Government of the Lao People’s Democratic Republic. 2018. National Green Growth Strategy of the Lao PDR till 2030. Vientiane. United Nations Environment Program. Climate Technology Centre and Network: Green Goods. Ask the Experts Dominic Patrick Mellor Principal Investment Specialist, Private Sector Operations Department, Asian Development Bank Established a strong track record of turning ideas into tangible results. Experienced in formulating and executing strategic plans, creating ventures and investment vehicles, raising funds, and building teams. Played a key role in launching several flagship initiatives, including ADB Frontier, ADB Ventures, and the Mekong Business Initiative. Has extensive experience working in emerging and frontier markets across Southeast Asia, the Pacific, the Middle East, and Africa. Holds an MSc in Economics from Oxford University and a BSc in Mathematics from Warwick University. Phalsombo Pen Investment Analyst, ADB Frontier Seed (Mekong), Asian Development Bank Based in Phnom Penh, Phalsombo Pen brings specialized experience in business and economic analysis to the ADB Frontier Seed. He previously applied his expertise at Belt Road Capital Management and Emerging Markets Consulting. He holds a master's in applied econometrics from Monash University in Melbourne. Soulinthone Leuangkhamsing Principal Economics Officer, Lao PDR Resident Mission, Asian Development Bank Soulinthone Leuangkhamsing contributes to the Lao PDR chapter of the Asian Development Outlook and the country partnership strategy. He has supported the processing and implementation of ADB-supported public sector management projects. Before joining ADB in 2008, he served as an economist at the Lao PDR Resident Representative Office of the International Monetary Fund. He holds a master’s degree in business administration from the School of Management at the Asian Institute of Technology in Thailand, and a bachelor’s degree in economics from Flinders University in South Australia. Kavita Iyengar Senior Country Economist, Lao PDR Resident Mission, Asian Development Bank Kavita Iyengar previously worked at the Southeast Asia Department, the Timor-Leste Resident Mission, and as focal for regional cooperation and knowledge management at the India Resident Mission. Her varied work experience includes teaching, environment consulting, and publishing. She has a PhD from Clark University in the United States. Asian Development Bank (ADB) The Asian Development Bank is a leading multilateral development bank supporting sustainable, inclusive, and resilient growth across Asia and the Pacific. Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and safeguard our planet. Founded in 1966, ADB is owned by 69 members—49 from the region. Follow Asian Development Bank (ADB) on Leave your question or comment in the section below: View the discussion thread.