In the heart of the Global South, where smallholder agriculture is the lifeblood of rural economies, a quiet revolution is brewing. Far from the bustling cities and industrial hubs, farmers are embracing circular economy (CE) practices that promise to transform their livelihoods and the environment. A comprehensive review published in *Environmental Challenges* (translated from Afrikaans as “Environmental Challenges”) sheds light on how these practices can offer sustainable solutions to long-standing challenges in smallholder agriculture.
Noluthando Noxolo Aruwajoye, a researcher at the School of Industrial Engineering at North-West University in South Africa, led the study that synthesizes insights from over 150 studies published between 2005 and 2025. The review highlights how circular practices such as composting, vermicomposting, biochar application, and Black Soldier Fly (BSF) bioconversion are already emerging in smallholder contexts. These practices not only reduce waste but also close nutrient loops, improve soil health, and enhance input efficiency.
“Circular economy interventions in smallholder agriculture are not optional but essential,” Aruwajoye emphasizes. “They offer a pathway to greater resource efficiency, resilience, and economic viability than conventional linear systems.”
The review identifies a previously overlooked interdisciplinary connection between regenerative practices and digital agriculture tools such as IoT sensors and precision input systems. Used together, these approaches help smallholders reduce waste, close nutrient loops, and improve input efficiency and soil health. Emerging business opportunities include localized composting and BSF enterprises, biochar supply services, and farmer-led cooperatives that offer climate-smart products.
However, the transition to circular systems is not without its challenges. High-potential options such as hydroponics and aquaponics remain constrained by infrastructure and energy demands and require localized adaptation. The literature suggests that investors can play a catalytic role when risk-adjusted returns are clear. CE interventions must therefore deliver environmental impact and financial viability to engage farmers and attract capital.
To accelerate adoption, future research and policy should address financing barriers, capacity gaps, and policy misalignment through microcredit schemes, peer-led demonstration farms, and co-developed policy roadmaps.
This research has significant implications for the energy sector, particularly in the context of sustainable agriculture. As smallholder farmers adopt circular practices, the demand for energy-efficient technologies and renewable energy sources is likely to increase. This presents a unique opportunity for the energy sector to innovate and develop solutions that support the transition to circular agriculture.
The urgency lies in the accelerating threats of resource depletion, environmental degradation, and climate change, which, if unaddressed, will undermine smallholder livelihoods and jeopardize regional food security. The review calls for a concerted effort from researchers, policymakers, and investors to support the adoption of circular economy practices in smallholder agriculture.
As the world grapples with the challenges of climate change and resource scarcity, the insights from this review offer a beacon of hope. By embracing circular economy practices, smallholder farmers in the Global South can not only secure their livelihoods but also contribute to a more sustainable and resilient future. The energy sector has a crucial role to play in this transition, and the time to act is now.