The straw mushroom model: a circular economy solution

Did you know that you can grow mushrooms from rice straw?

At Tan Binh Cooperative in Thanh Binh District, Dong Thap Province, farmers have developed an innovative solution to transform leftover rice straw into a valuable resource. Through a straw mushroom farming model, agricultural by-products from sustainable rice harvesting are collected, processed, and reused in a virtuous cycle.

This initiative is part of Rikolto's "Developing a Sustainable Rice Value Chain for Smallholder Farmers in Dong Thap Province" programme, implemented in partnership with the Dong Thap Provincial Sub-Department of Rural Development and funded by the Belgian Development Cooperation Agency (DGD). It shows how sustainable innovation creates economic opportunities for smallholder farmers while promoting environmentally friendly agriculture.

This initiative is part of Rikolto's "Developing a Sustainable Rice Value Chain for Smallholder Farmers in Dong Thap Province" programme, implemented in partnership with the Dong Thap Provincial Sub-Department of Rural Development and funded by the Belgian Development Cooperation Agency (DGD). It demonstrates how sustainable innovation can create economic opportunities for smallholder farmers while promoting environmentally friendly agriculture.

Harvesting more than rice: unlockingvalue from every straw    

Straw management remains a significant challenge in rice production, particularly under the Sustainable Rice Platform (SRP) standard, which promotes the reduction of greenhouse gas emissions. If left on the fields, rice straw is often burned, releasing significant amounts of carbon dioxide (CO₂) and methane (CH₄) - potent greenhouse gases that contribute to climate change.

At Tan Binh Cooperative, the straw mushroom farming model addresses this production and environmental challenge by turning waste into an economic opportunity. Rice straw is collected, bundled and reused as a substrate to grow high-quality mushrooms. After the mushrooms are harvested, the remaining straw residue is turned into organic fertiliser, adding natural nutrients to local farms.

This circular economy practice not only provides an efficient solution for straw management, but also generates economic value from agricultural waste. Over a 45-day cycle, the model demonstrated its effectiveness by converting 500 bales (approximately 10 tonnes) of rice straw into 700 kilograms of mushrooms, generating a profit of VND7.4 million (€284). In addition, recycling the remaining straw into organic fertiliser generated an additional VND4 million (€154), further increasing the model's profitability.

Overcoming challenges with sustainable and resilient inputs

In addition to its financial success, the model also demonstrated resilience in the face of challenging weather conditions. Heavy rain and low temperatures in the outdoor growing areas initially hampered the growth of the baby mushrooms. However, the use of SRP straw, sourced from sustainable rice cultivation with minimal chemical inputs. Thanks to the clean and high quality input, the mushroom growth rate remained stable despite the adverse conditions. Cooperative members improved their monitoring techniques and added protective layers of straw to shield the mushrooms.

The success of the model has inspired wider adoption among Tan Binh Cooperative members. Currently, 5-7 households are growing straw mushrooms at home, integrating this activity with fruit gardens to diversify their income streams. Tan Binh Cooperative supports these efforts by providing technical training and market access, ensuring that sustainable straw management benefits both the environment and local livelihoods.