RWANDA PARTNERS WITH AN ISRAELI FIRM TO DEVELOP A COMMERCIAL FARMING PROJECT IN EASTERN PROVINCE

The Government of Rwanda, represented by Rwanda Development Board (RDB), has entered into a joint venture with Netafim, an Israeli irrigation technology firm, for the development of the Gabiro Agribusiness Hub Project (GAHP).
Gabiro Agribusiness Hub Project (GAHP) is a commercial oriented farming project initiated through a joint venture between the Government of Rwanda with 90% shares-Equity, and the global leader of the irrigation sector Netafim Ltd with 10% shares–in kind.

The Gabiro project is expected to provide a new impetus to the green revolution of Rwanda.

The first phase, covering 5,600 ha, will require a total investment of approximately $73.9 million including Netafim contribution.

The GAHP aims to create a holistic and commercial agricultural ecosystem by developing an advanced agricultural eco-system and modern value chain over a total of approximately 15,600 ha of arable land with advanced water infrastructure, cutting-edge irrigation systems, high-value agro-processing operations and other ag-tech activities across the value chain.

Speaking after the signing on March 02, 2019, the RDB Chief Executive Officer, Clare Akamanzi said: “This project will significantly enhance private sector investments in Rwanda’s agricultural sector, mitigate the risks of climate change and food security, contribute to job creation, increase export of value-added products and enhance rural community development and livelihood. Netafim has successfully implemented the various components of the business model of the GAHP in other parts of the world and we are confident its execution in Rwanda will provide a means to small farmers to use innovative and efficient drip irrigation and fertigation technologies in crop production in addition to averting water scarcity, increasing productivity, incomes and household food security.”

The project will support the production of crops for local consumption (staple crops), export crop (high-value crops) and agriculture-generated, value-added products (paste, powder, oil, etc.) intended mostly for international markets. It will also support livestock especially in the community irrigation part of the project.

A total of 1,402 households will benefit from the project by benefiting from lease fees, and allocation of irrigated land.
Business model forecasts a new employment generation of 4,000 jobs which out of them 2,000 jobs will be allocated to local community. Such job creation is expected to generate an additional annual income of >5m USD to local community.

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