The European Union (EU) in collaboration with the Danish International Development Agency (DANIDA) has invested Shs66.8b ($17.7 million) in two environment-focused programs under the Agricultural Business Initiative to combat the effects of climate change. The two initiatives, known as the Green Agri-Food System Program (GRASP) and the Accelerating Adoption of Inclusive Green Finance (AAGIF) will span five years.
The GRASP initiative aims to enhance agricultural productivity using climate-smart techniques, while the AAGIF program seeks to promote the adoption of inclusive green finance solutions. Their goal is to promote inclusive economic transformation and address climate change resulting from human activities that deviate from sustainable practices.
Jan Sadek, the European Union (EU) ambassador to Uganda, stated that the investment is a response to disruptions in food and logistics value chains caused by Russia’s conflict in Ukraine. He highlighted that these programs will support increased agricultural production worldwide and encourage the use of climate-smart practices to boost productivity.
“This is our approach in Uganda,” Sadek stated at the launch of the programs. “By incorporating climate-smart practices, we not only enhance agricultural productivity but also do so in an environmentally sustainable manner.” “The investment will enable farmers to comply with this directive while maintaining coffee exports to the European Union,” he added.
According to Signe Winding Alberjerg, the Danish ambassador to Uganda, the investment also seeks to help Ugandan farmers adjust to climate change. “This investment will promote the green transformation of the agricultural sector and offer support for adapting to the ongoing effects of climate change,” she said.
The two projects will support more than 200,000 farmers to increase their yields and adapt to climate change. The projects will introduce innovations such as drought-resistant seeds, enhanced irrigation systems, and improved post-harvest processes. The initiatives will facilitate access to grants and loans for agricultural actors across the country. The ambition is to mobilize funding and catalyze private sector participation through market systems development and linkages
Henry Opolot, the commissioner for the agricultural extension skills management system at the Ministry of Agriculture, commended the EU & DANIDA for the gesture ascertaining that the initiatives align with Uganda’s strategic objectives outlined in Vision 2040 and the National Development Plan III.
He underscored the importance of investing in climate resilience and adaptation strategies for both small and large-scale farmers as key to the agricultural sector’s success and the country’s transformation.
The launch also marked the closeout of the Uganda Programme for Sustainable and Inclusive Development of the Economy (UPSIDE) program, which started in 2019 and supported over 200,000 farmers, 50% of whom are women, to achieve resilience to climate change through expanded and inclusive green agri-food systems.