The Zambian government has officially signed a $491 million Farm to Market Compact with the United States, aimed at enhancing the country’s agriculture and agro-processing sectors. This marks the second such agreement facilitated through the Millennium Challenge Corporation (MCC).
During the signing ceremony, President Hakainde Hichilema emphasized the government’s commitment to securing this support promptly. He highlighted that the focus now shifts to economic growth, with targeted infrastructure improvements in agriculturally productive areas like Lundazi and Mumbwa designed to lower farmers’ production costs.
President Hichilema also addressed concerns regarding corruption within the Farmer Input Support Programme (FISP), announcing the implementation of an e-voucher system to eliminate ineligible beneficiaries.
Finance and National Planning Minister Situmbeko Musokotwane noted that Zambia’s good governance and prudent resource management were key factors in securing the MCC funding. He explained that the Compact arose from consultations identifying barriers to agricultural growth, with an emphasis on road improvements in high-potential agricultural regions.
Additionally, Dr. Musokotwane called for complementary infrastructure to support water harvesting initiatives stemming from a previous MCC project focused on drainage and water supply, underscoring the need for a dam in Lusaka.
MCC Chief Executive Officer Alice Albright stated that the grant will help unlock Zambia’s agricultural potential and strengthen food security by reducing transportation costs for produce from farms to markets.
