Farmers to benefit from sh60b grant

Oct 19, 2014

UGANDAN farmers are set to benefit from a low-interest agricultural loan facilitated by a $24.7m (sh60b) grant from the International Fund for Agricultural Development

By Patrick Jaramogi

 

UGANDAN farmers are set to benefit from a low-interest agricultural loan facilitated by a $24.7m (sh60b) grant from the International Fund for Agricultural Development (IFAD).

 

Bunyole West MP Jacob Wangolo, disclosed this at the opening of a three-day National Food Sovereignty symposium in Kampala.

 

The symposium, organised by the Eastern and Southern Africa Small Scale Farmers Forum (ESAFF), attracted over 80 Ugandan participants from 29 districts and the Democratic Republic of Congo, Tanzania, Zimbabwe and Spain. 

 

The theme of the forum was: Sharing national and regional experiences in family farming and food sovereignty.

 

Wangolo, a member of the parliamentary forum on food security, called for vigilance in improving agricultural productivity and value addition.

 

He said funding to agriculture in Uganda, the biggest employer, was low compared to other African countries.

 

“Agriculture is ranked sixth in terms of budgetary allocation in Uganda yet without agriculture, we cannot put food on the table,” he said.

 

Wangolo, also a member of the committee on national economy said interaction between farmers and the banks is low.

 

“Farmers need banks to boost production. We cannot talk of increasing food production if farmers cannot get credit from banks,” he said.

 

“The interest rate of 20-18% charged by most commercial banks is still high, that is why we are urging farmers to utilise government initiatives of mobilising yourselves in SACCOS in order to get cheaper credit,” he said.

 

IFAD has approved about $300m dollars in loans and grants to support rural projects in 16 countries across Africa, Asia, the Middle East and Latin America.

 

Wangolo said the money will give farmers in 13 selected districts an opportunity to improve farming.

 

“The money will be given to the farmers organised in groups,” said.

 

Andrew Adem, the ESAFF programme officer, said they had, through such farmers’ fora, engaged Parliament and the Government to waive the taxes on agricultural inputs that was imposed in the 2014-2015 budgets.

“We are impressed that the farmers’ plea regarding taxes on agricultural inputs was heard and reverted to taxes on mobile money, kerosene and sugar,” said Adem.

 

Sagar Male, the co-ordinator of Veterinary Doctors Without Borders, said strengthening the peasant fora is the best way to help in increasing food production and addressing food insecurity.

 

“We hope that the experience that you are going to share with your partners will not end at this hotel but help you collaborate more with farmers,” he said.

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