Bio Bhutan
                                                                                                (last updated November 2006)

Phase I:          January 2005-December 2011
Loan:              CHF 171,818
Partner:          Bio Bhutan
Contact:          Karma Yangzom: karma1@druknet.bt or visit for more information:
                       http://www.helvetas.org

Background/Introduction
Achievements
On-going activities
Future Outlook
Key Project Documents                    

Background/Introduction:

Bio Bhutan is “a pioneer enterprise that produces and markets natural and organic certified products from Bhutan for Bhutanese and international markets”. Based on a feasibility study conducted in 2003 on introducing an organic label in Bhutan, it was decided that the previously planned “Bio Label Bhutan” should function as a private enterprise.  Therefore, the Bio Bhutan private enterprise was initiated with a soft loan from Helvetas/SDC. The enterprise is run by a team of private individuals and guided by an advisory board that includes representatives from Helvetas/SDC, Society Switzerland Bhutan, the Swiss Bhutan Friendship Association in Bhutan, the private sector, and NGOs of Bhutan.

Bio Bhutan pursues the following major goals:

• Contribute to the sustainable use of natural resources of Bhutan;

• Improve income and employment opportunities of rural communities and private entrepreneurs;

• Create surplus value for final consumers through healthy and tasteful natural and organic produces from Bhutan; and

• Promote the image of Bhutan as a source of pure, natural and organic products.

To achieve these goals, Bio Bhutan concentrates on the following main group of activities:

• Identification of suitable raw materials and supervision of the production processes by farmer groups;
• Further product development and packaging of products and selling at appropriate local, regional and international markets;
• Certification through established links with recognized certification agencies; and
• Establishing marketing links with companies in Europe, the United States, Singapore and within the South East Asian region.

Major Achievements:

• Bio Bhutan registered as a private enterprise with the Regional Trade and Industry Office in Thimphu in June 2005;
• Bio Bhutan Advisory Board formed, and the first board meeting held in February, 2006;
• Partnerships formed with three farmer groups and various government agencies;
• Links established with recognized certification agencies in Switzerland (Bio Inspecta) and its partner organization (INDOCERT), and collaboration with Vossen & Co., a Belgian essential oils company, initiated;
• Lemon grass oil and pipla certified organic in accordance with European Union standards by INDOCERT;
• Trial marketing of dried yak meat carried out over November 2004 – February 2005;
• Marketing activities for Sha Gogona cheese handed over to Bio Bhutan by the Department of Livestock, Ministry of Agriculture;
• First batch of cordyceps exported to the United States, first batch of lemon grass oil exported to Europe, and Sha Gogona cheese and Lemon grass air spray launched in the Expatriate and High end markets in Delhi, India;
• Four Bio Bhutan products available for sale locally by February 2006; and
• Bio Bhutan awarded prize for best enterprise, best products and best outlet in the Annual Trade Fair held at Thimphu in May 2006.

On-going activities:

• Sale of Gogona cheese, lemon grass oil and lemon grass air spray in Bhutan;
• Export of Gogona cheese and Lemon grass air spray to Delhi and Switzerland;
• Dialogue and negotiations on establishing business relationships with companies in Europe, the US and Singapore;
• Continual of organic certification of lemon grass oil and Gogona cheese;
• Product development of pipla – honey drops;
• Exploration of opportunities for applying for grants;
• Copyrighting of the Bio Bhutan logo; and
• Exploration of ways to join the Fair Trade Organization.

Future Outlook:

• Diversification of products: Bio Bhutan is exploring the possibilities of product development and marketing of ginger tea, red rice and buckwheat.
• Intellectual Property Rights: Patenting of the Bio Bhutan Lemon Grass Air Spray.
• Exploration of Foreign Direct Investment collaborations.

Key Project Documents:

• Project Document
• Project Agreement