TOGO – The West African Development Bank (BOAD) has approved new financing of 30 billion FCFA (US$49M) to support the second phase of the Togo Agri-Food Transformation Project (PTA-Togo).

With its approval signed on June 27, 2024, this initiative aims to boost the country’s agriculture and reduce dependence on food imports.

Particularly, this substantial funding aims to expand on the successes of the first phase of the project, with a particular focus on increasing agricultural production in targeted sectors such as rice, corn, soybeans, sesame, broiler chicken, and cashew nuts.

According to BOAD, this investment is crucial for accelerating Togo’s agricultural transformation and strengthening food security. Notably, BOAD had previously injected at least 10 billion FCFA into the project in 2018.

The PTA-Togo, initially estimated at over 77 billion FCFA (US$125.8M), is designed to promote inclusive agricultural growth, stimulate job creation, and encourage private investment in strategic agro-industrial sectors.

With this new funding, the project plans to significantly improve agricultural infrastructure and strengthen the capacities of local actors, which is essential for supporting smallholder farmers and agribusinesses.

The benefits of the project are projected on a large scale: approximately 800,000 people will benefit directly from this program, with special attention to the inclusion of women, who represent 50% of the beneficiaries.

Additionally, the project aims to improve access to basic services, with 10,000 people gaining new access to a source of drinking water and as many connecting to electricity.

In Togo, this project, which plans to build 10 agricultural processing centers (CTA) – agropoles – with the first being the Kara agropole, benefits from the support of several institutions.

The African Development Bank (AfDB) has injected approximately US$79.5 million into the project, consisting of US$16.5 million in grants and US$41.1 million in loans, intended to improve agricultural infrastructure and strengthen the capacities of local stakeholders.

The Nigeria Trust Fund (NTF), affiliated with the AfDB, has also provided financial support of 4 million units of account (approximately US$5.6 million) to enhance the infrastructure and institutional capacities necessary for agro-industrial development in the Kara region.

Additionally, the Saemaul Globalization Foundation has contributed US$5 million to the financing.

Launched in 2018 and placed under the supervision of the Agency for the Promotion and Development of Agropoles in Togo (APRODAT), the project of the 10 agropoles has encountered some delays, primarily due to the slowness of investments expected largely from private investors.

However, with the new boost in funding from BOAD and the continuous support from other financial institutions, the PTA-Togo is poised to make significant strides in transforming Togo’s agricultural landscape.

For all the latest grains industry news from Africa, the Middle East, and the World, subscribe to our weekly NEWSLETTERS, follow us on LinkedIn, and subscribe to our YouTube channel.