Hand-In-Hand Initiative: Enhance Impact of Strategic Policy Frameworks for a Favourable Private Sector Environment to Transform Agriculture Sector - TCP/MOZ/3805
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In 2020, Mozambique had an estimated population of around 29.5 million, with two-thirds living in rural areas. The agricultural sector employed 75 percent of the population, highlighting the heavy reliance of Mozambicans on natural resource-based activities such as rainfed agriculture for their livelihoods. Fragmented, inefficient, and fragile food systems in Mozambique, compounded by susceptibility to various shocks and stressors like weather events, pandemics, and conflict, have led to an inability to adequately address the food and nutritional requirements of the expanding population, thereby negatively affecting food security, nutrition, and the overall economy. This challenge is exacerbated by the limited coping mechanisms and resilience capacity of affected communities, alongside pre-existing social and economic inequalities. The agribusiness sector's competitiveness is weakened by underlying factors, resulting in its potential being largely untapped and hindered by disorganized, informal, and inefficient value chains, inadequate farm investment, low production and productivity, and minimal value addition, necessitating support for the development of an inclusive and robust agribusiness sector.