Ghana: African Development Fund Approves $27.9 Million Grant for Savannah Agriculture Value Chain Development Project (SADP) | African Development Bank

The African Development Fund Board of Directors has approved a $27.9 million grant to Ghana for the development of agricultural value chains in the Savannah region. The subsidy increases climate-resilient production of corn, rice and soybeans, supports the poultry value chain and creates employment opportunities for women and youth. It will increase farmers’ incomes and support household nutrition, especially in more vulnerable female-headed households.

This would be achieved by facilitating private sector investment in sustainable value chains related to the commercial production of maize, soybeans and rice, with an integrated poultry value chain, which will primarily involve women and youth. The Savannah Agriculture Value Chain Development Project will be implemented by the Ghanaian Ministry of Food and Agriculture from 2023 to 2027. In total, the project will benefit at least 150,000 people indirectly and 50,000 directly. It will contribute to the production of at least 8,000 hectares of new rice, maize and soybeans, improving feed availability for the poultry industry.

This grant aligns with the Bank’s medium-term development framework for 2022-2025, which aims to create conditions for the private sector to drive growth and create abundant employment, particularly for youth through agriculture and transform the industry. It is also aligned with the Bank’s priority area of ​​developing agroecological zones, particularly the savannah regions of Africa, and creating opportunities for the continent’s youth.

Marie-Laure Akin-Olugbade, acting vice president of the bank’s Regional Development, Integration and Business Delivery Complex, said building local capacity would help reduce imports and help Ghana overcome the negative impact of Russia’s invasion of Ukraine on global food systems. . It would also mitigate the impact of climate change, in line with the Bank’s emergency African food production facility, she noted.

“This builds on Bank’s previous investments in the savannah regions of Ghana, bringing 20,000 hectares of corn and soybeans into production using sustainable farming methods and technologies. This project comes at a time when Ghana is trying to increase domestic production and reduce imports. These are the key objectives of the Bank’s Feed Africa strategy,” said Martin Fregene, the Bank’s Agriculture and Industry Sector Director.

The grant supports farmers with agricultural inputs to produce climate-resilient rice, corn and soy. It will also support certified seed production by commercial farmers and work closely with the Savannah Agriculture Research Institute to support smallholder farmers with equipment to improve crop planting and husbandry. This support includes enforcing Community regulations and promoting the use of hybrid seeds, good agricultural practices and healthy water, climate resilience and adaptation and integrated pest management.

The project will also increase the capacity of micro and small enterprises (SMEs) and offer skills development for young people and women through sustainable entrepreneurship and mentoring programmes, particularly in the poultry value chain.

On the approval of the project, Eyerusalem Fasika, Ghana Country Manager of the African Development Bank said: “The approval of this project is an important addition to the Bank’s active agriculture portfolio in the country with enormous potential to contribute to sustainable food systems. in Ghana. In addition, the approval of the project is an opportune time for the Bank to support the government in its efforts to produce enough commodities to meet food security challenges and support industrialization.”