AfDB Approves $22.8M Grant to Boost Rice Production, Climate Resilience in Mozambique

The African Development Bank Group (AfDB) has approved a $22.8 million grant under its concessional African Development Fund (ADF) to strengthen Mozambique’s rice value chain and build climate resilience. The financing will support the Rice Value Chain and Climate Resilience Project (RIVACREP), a transformative initiative expected to benefit 30,000 smallholder farmers across four provinces, with a strong focus on women and youth empowerment.

Addressing Mozambique’s Food Security Challenge

Rice is a staple food in Mozambique, yet the country produces only 300,000 tons annually—just half of its 600,000-ton demand. To bridge the deficit, Mozambique spends heavily on rice imports, draining foreign reserves while perpetuating rural poverty and food insecurity.

The AfDB-backed project aims to raise rice self-sufficiency from 50% to 75% by 2030, significantly reducing the reliance on imports. By leveraging climate-smart technologies and public-private partnerships, the initiative seeks to transform Mozambique’s rice sector into a sustainable, productive, and resilient value chain.

“This grant targets the most vulnerable populations while focusing on climate-smart innovations. It will deliver lasting impacts on food security, resilience, and livelihoods,” said Macmillan Anyanwu, AfDB’s Country Manager for Mozambique.

Project Objectives and Expected Impact

RIVACREP has been designed to:

• Quadruple rice yields, from 1 ton per hectare to 4 tons per hectare.

• Raise household incomes from $590 to $1,000 annually.

• Generate an additional 6,000 tons of rice annually in the early stages.

• Reduce post-harvest losses from 26% to 12%.

The project specifically prioritises vulnerable groups, with 70% of beneficiaries being women and 30% youth, ensuring inclusivity in agricultural development.

Neeraj Vij, AfDB’s Regional Sector Manager, highlighted that the programme “will reduce import dependency, build domestic value addition, and create a climate-smart rice sector in Mozambique—serving as a model for other commodity value chains.”

Key Interventions

The project’s interventions span the entire value chain, from production to processing and marketing:

1. Irrigation Rehabilitation – 1,000 hectares of irrigation systems will be upgraded, particularly in Gaza province.

2. Post-Harvest Infrastructure – Construction of five milling factories and ten aggregator centres to support value addition and reduce losses.

3. Climate-Resilient Varieties – Introduction of drought- and flood-tolerant rice seeds developed with global research institutions.

4. Storage Facilities – Building modern, climate-resilient warehouses to protect yields from spoilage.

5. Soil and Water Management – Land leveling, drainage improvement, and sustainable water use techniques.

These actions will not only enhance rice production but also strengthen Mozambique’s resilience to climate shocks such as droughts and floods, which frequently disrupt agricultural productivity.

Nutrition and Social Impact

Mozambique suffers from high malnutrition rates, with child stunting as high as 44% in Zambezia province. To address this, RIVACREP incorporates a strong nutrition component, including the promotion of biofortified rice varieties rich in iron and zinc, expected to benefit 6,000 vulnerable households.

Furthermore, the project includes a Contingency Emergency Response mechanism to provide rapid assistance during crises, particularly in conflict-prone northern provinces.

Implementation and Oversight

The project will be led by Mozambique’s Ministry of Agriculture, Environment, and Fisheries, with strong safeguards for environmental and social protection. The design aligns with multiple strategic frameworks, including:

• Mozambique’s National Development Strategy

• African Union’s Agenda 2063

• United Nations Sustainable Development Goals (SDGs)

The project will run from December 2025 to December 2030, with a mid-term review in 2028 to assess progress and recalibrate strategies if necessary.

A Boost for Mozambique and Africa

By creating domestic rice value chains, improving productivity, and enhancing resilience, RIVACREP is expected to transform rural economies in Mozambique. The AfDB envisions the initiative as a scalable model for other African countries striving to reduce food imports, combat malnutrition, and build climate-resilient agricultural systems.

“This project is not just about food security,” said Vij. “It is about economic transformation, rural empowerment, and resilience-building for generations to come.”