Agriculture

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Program Description

Overview

An estimated 80% of Afghans are dependent on agriculture for their livelihoods. While poppy production and the opium trade have a significant share of Afghanistan’s agricultural economy, there are excellent opportunities for licit alternatives to be provided for the rural populace. Commercial agriculture is beginning to play a significant role in increasing the wealth of rural populations as international donors and Afghans themselves recognize that the opium trade is destabilizing as it contributes to insecurity and undermines the rule of law.

The Program

The purpose of USAID’s Alternative Development and Agriculture program is to create licit alternatives to poppy production by promoting and accelerating rural economic development. The goal is to increase commercial agriculture opportunities, improve agricultural productivity, promote sustainable natural resource management, create rural employment and improve family incomes and well being.  Improved job opportunities and incomes also reduce pressures on the poor to grow opium poppy.  Agriculture programs are active throughout Afghanistan’s 34 provinces.

• COMPREHENSIVE DEVELOPMENT:  To accelerate sustainable economic development in regions prone to poppy production, USAID provides the materials, technology, and expertise necessary to produce and market high-value licit crops such as fruits, vegetables, and tree crops. The program also dedicates significant resources to providing sources of credit, developing new markets, improving infrastructure, and removing administrative constraints that hinder business growth. 
       With an increased water supply to more than 494,000 hectares of land, representing 15% of irrigated land, throughout the country and the introduction of better seed varieties, farmers can harvest the wheat, grapes, and pomegranates that were once legendary in this country. USAID trained over one million farmers, across 34 provinces, on how to improve crop yields, and provided refrigeration to enable farmers to keep their produce fresh until they sell it at local markets or through export.  Activities have been undertaken to establish dried fruit and nut processing plants and provide marketing advice to expand trade opportunities.
       Since many rural Afghans raise livestock as well as crops, USAID offers animal health training to boost the poultry and livestock populations. USAID provides training for para-veterinarians who establish self-sustaining veterinary field units.  There are now over 600 veterinary field units covering most of the country that have provided over 31 million vaccinations and treatments to livestock and poultry.
• EXTENDING FINANCIAL SERVICES AND CREDIT:  Afghan farmers need financing to buy seeds, fertilizer, and equipment so they can participate in the agricultural industry.  USAID helped restore basic banking and credit services with rural lenders now administering loans in over one-third of the country’s districts.  As of June 30, 2008, more than 28,000 loans, ranging in size from approximately $100-$1,000, had gone to small businesses with a repayment rate of 98%. The program’s success encouraged commercial banks to extend revolving loans for agri-businesses. Seed money has been provided for commercial leases and investment funds to promote agri-processing and crop exports.  
• SUPPORTING COMMUNITY INITIATIVES:  USAID contributes to the United Nations Development Program’s Good Performers’ Initiative, the objective of which is to support progress towards poppy elimination and maintenance of poppy-free provinces through the provision of financial support for priority development projects. USAID supports economic development initiatives in provinces where there is commitment by local leaders and communities to forgo poppy production and maintain a poppy-free province. In these provinces, USAID funds public works projects such as district roads and irrigation projects. 
• BOOSTING INCOME FOR WOMEN:  Women are among the poorest and most vulnerable populations in Afghanistan, particularly in the rural areas. In order to improve the economic status of women throughout the country, USAID provides skills training and raw materials for jobs that women can perform at home. In Nangarhar province, 10% of program participants are women employed in farming and textile making. More than 500 widows have been trained and provided with support to establish home-based businesses.
• PRESERVING THE ENVIRONMENT:  USAID helps communities better utilize their resources since environmental degradation is a core reason for declining agricultural productivity in parts of Afghanistan.  Another key element of the agricultural strategy – agro-forestry and land conservation – supports programs that promote tree planting to reduce soil erosion and habitat conservation so sheep, goats, and wild animals can continue utilizing grazing lands.   
• INSTITUTIONAL DEVELOPMENT:  USAID helps Afghans become more self-sufficient while increasing agricultural productivity.  Links between Kabul University’s agriculture and veterinary schools and U.S. land grant universities allow technical specialists to share their expertise. By partnering with the U.S. Department of Agriculture, technical advisors are providing training and advice about livestock health, sanitation, rangeland management, forestry, and biodiversity conservation. USAID also provides technical assistance to build capacity at the Ministry of Agriculture to make it more responsive to farmers’ needs. The Ministry is promoting the formation of farmer associations, micro-credit, and trade organizations that help farmers sell their produce at local markets and export abroad for better prices.