Rwf14bn to be invested in grain strategic reserve
Tuesday, June 20, 2023
Minister for Finance and Economic Planning, Uzziel Ndagijimana addresses journalists while releasing Gross Domestic Product (GDP) figures for the first quarter of 2023, on Monday, June 19. Courtesy

Minister for Finance and Economic Planning, Uzziel Ndagijimana, has made the case for increasing investment in the National Grain Strategic Reserve.

A strategic grain reserve is a government stockpile of grain for the purpose of meeting future domestic needs.

The reserve was established to enhance food security readiness in case of shortage to curb famine effects.

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He was speaking on June 16, commenting on response to the three per cent decline in the production of food crops due to poor harvest in the Agriculture Season A after releasing Gross Domestic Product (GDP) figures for the first quarter of 2023.

The poor harvest in Season A was attributed to the impact of climate change with delays in rainfall in some areas and early cessation of rainfall in others.

Additionally, flooding in certain regions affected crop yields.

The recent devastating flooding and landslides in May ravaged over 2,000 hectares of crops in Western, Northern, and Southern provinces.

The flooding effects followed at least 78,000 hectares of bean crop farms across the country that were affected by dry spells during agricultural season A, according to Rwanda Agriculture and Animal Resources Development Board (RAB).

The drought effects resulted in decrease of bean production in all districts of Southern Province except the districts of Nyaruguru, and Nyamagabe. Affected districts also include Bugesera and other districts of Eastern Province.

Beans are cultivated widely across Rwanda. They are the main staple food in the country, providing households with 32 per cent of the required calories and 65 per cent of protein.

Ndagijimana said Rwf13.6 billion will be invested in the Grain Strategic Reserve in the 2023/24 fiscal year.

"Reserving part of the harvest means that it can intervene when farming production has decreased in the following season,” he said.

During Covid-19, the government implemented a food relief programme drawing on the National Strategic Grain Reserves throughout the country.