Orchestra 
DIGITAL WORLD
BRICS+ Media Centre 
MODERN RUSSIAN 
Government plans legal reforms to transform large-scale farming clusters into professionally managed farmer-owned enterprises, boosting commercial agriculture and rural incomes
-
![]()
fotoember / iStock [Photo source]
Ethiopia has launched a major agricultural reform programme aimed at converting farmer production clusters into legally recognised, farmer-owned agribusiness companies as part of efforts to modernise the rural economy and strengthen food security, as reported by Ethiopian Broadcasting Corporation, a TV BRICS partner.
The initiative will introduce new legal and management frameworks designed to help smallholder farmers move from informal collective production systems into structured agricultural enterprises while preserving individual land ownership rights.
Agriculture authorities said the transformation will focus on improving corporate governance, expanding access to finance, strengthening market connections and enabling farmers to operate as organised business entities capable of competing in larger agricultural markets.
The reform builds on Ethiopia’s cluster farming model, known locally as Kuta Getem, which allows farmers with neighbouring plots to voluntarily coordinate cultivation activities while maintaining ownership of their individual land. The approach has enabled rural producers to share access to agricultural technologies, improved seeds, fertilisers, mechanisation and modern farming practices.
The cluster farming system has expanded significantly over the past decade. The cultivated area under the model increased from around 600,000 hectares in 2011 to approximately 13 million hectares, involving more than 9.5 million smallholder farmers across the country.
Officials said the expansion of organised farming has contributed to a 29 per cent increase in overall crop productivity, demonstrating the potential of coordinated agricultural production to improve yields and strengthen rural livelihoods.
The next phase of the programme will focus on developing legal regulations, management training and financial skills programmes to help farmer-led enterprises operate effectively. Agricultural support institutions will also assist producers in building administrative capacity and adopting professional business practices.
Authorities believe that transforming farm clusters into farmer-owned agribusiness companies will create stronger links between producers and markets, improve household incomes and support Ethiopia’s long-term agricultural independence.
-
![]()
Economy05.08.26China-Africa trade hits record high as zero-tariff policy boosts African exports -
![]()
Economy05.08.26China sees rapid rise in technology tourism as innovation becomes new driver of inbound travel -
![]()
Economy05.08.26Russia’s agricultural exports to Africa rise by 35% in value in first half of 2026 -
![]()
Economy04.08.26Fertilisers and agrochemicals: supply chains and trade within BRICS -
![]()
Economy04.08.26Number of foreign sole proprietors in Brazil surpasses record 106,000 -
![]()
Economy04.08.26China completes first high-speed railway tunnel beneath Yangtze River
-
![Sergey Lavrov]()
Sergey LavrovRussian Foreign Minister"A Joint Statement of the Foreign Ministers has been adopted. It provides a clear and principled assessment of the situation on the international stage and outlines the tasks that will be addressed in accordance with previous decisions by heads of state and governments. No one doubts that additional documents on sectoral areas of cooperation will be developed ahead of the SCO summit in Bishkek. Energy, artificial intelligence, healthcare and a number of other areas were also mentioned" -
![Nitin Gadkari]()
Nitin GadkariIndia's Union Minister for Road Transport and Highways"Our resolution has just been passed. It is very important as far as the BRICS countries are concerned, which cover 40 per cent of the world's population. We are committed to the futuristic development of the transport sector, to create cooperation, coordination and communication between the stakeholders. This resolution indicates a lot of new technology and innovation in the transport sector. It covers the road sector, railways, aviation and water transport" -
![Anutin Charnvirakul]()
Anutin CharnvirakulPrime Minister of Thailand"Russia has been a trusted friend of Thailand for over a century. […] Next year, we will mark the 130th anniversary of the establishment of diplomatic relations between our countries. We will commemorate this important milestone with high-level exchanges, thereby reaffirming our shared commitment to an even stronger partnership for the benefit of our peoples"
