In a significant boost to Nigeria’s agricultural sector, the Federal Government of Nigeria, in collaboration with the Government of Germany and the European Union (EU), has officially launched the €18.3 million EU-VACE TARED Project.
The initiative, aimed at enhancing agricultural value chains and fostering sustainable economic development, was unveiled during a high-profile ceremony in Abuja, showcasing deepening ties between Nigeria and its European partners.
The EU Support for Agricultural Value Chain Development (EU-VACE) project, with its Technical Assistance for Results Enhancement and Development (TARED) component, represents a strategic investment in Nigeria’s agribusiness ecosystem.
Funded primarily by the EU and co-financed by the German government through the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), the project targets key challenges in the agricultural sector, including limited access to finance, poor infrastructure, and low productivity among smallholder farmers and micro, small, and medium-sized enterprises (MSMEs).
Speaking at the launch event, representatives from the EU Delegation to Nigeria and ECOWAS highlighted the project’s alignment with the EU’s Global Gateway Strategy, which emphasizes sustainable investments in Africa.
“This €18.3 million commitment is a testament to our shared vision for a resilient and inclusive agricultural economy in Nigeria,” said a senior EU official.
The funding will support targeted interventions such as improving market linkages, enhancing skills training for farmers, and promoting climate-resilient farming practices across selected value chains, including rice, maize, and cassava.
The partnership builds on the momentum from the 9th Nigeria-EU Business Forum held in July 2024, where the EU-VACE project was first announced and signed.
That event, themed “Fostering Employment and Building a Sustainable Future,” featured panel discussions and project signings, positioning EU-VACE as a flagship initiative under the EU-Nigeria cooperation framework.
Recent activities, including a peer learning workshop on small claims courts for MSMEs organized by GIZ’s Sustainable and Inclusive Economic Development in Nigeria (SEDIN) programme in collaboration with EU-VACE/TARED, demonstrate the project’s early focus on creating an enabling business environment.
Nigeria’s Minister of Agriculture and Rural Development commended the initiative, noting its potential to drive job creation and food security.
“With over 70% of Nigerians relying on agriculture for livelihoods, projects like EU-VACE TARED will empower our farmers, reduce post-harvest losses, and integrate them into global markets,” the minister stated.
The project is expected to benefit thousands of smallholders by providing access to affordable credit, modern technologies, and dispute resolution mechanisms tailored for agribusiness.
This launch comes amid broader EU-Nigeria engagements, including recent €18 million commitments to digital public infrastructure and other Global Gateway projects totaling over €900 million since 2023.
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