CAF and the Government of Colombia sign agreements for USD 99.9 million to strengthen Colombian agriculture against the impacts of climate change

With the purpose of reducing the effects of climate change in the agricultural sector, improving its competitiveness and contributing to the reduction of greenhouse gas emissions, CAF - development bank of Latin America and the Caribbean - and the National Government coordinate the start of the Project “Climately Smart Initiatives for Adaptation to Climate Change and Sustainability in Agricultural Productive Systems – CSICAP”.  

The project will have resources of USD 99.9 million, which mobilizes important resources that include a donation from the GCF for USD 48.3 million; 16.3 million contributions from the unions; and credits for USD 25 million from the GCF and USD 10.3 million from CAF. This initiative will be executed by the Ministry of Agriculture and Rural Development (MADS), and has the support of the Ministry of Finance and Public Credit (MHCP) and the National Planning Department (DNP) both in its role as Designated National Authority before the FVC as the technical area of ​​the agricultural sector. 

The Project has three components that are developed in seven axes of work included in digital agriculture and agroclimatic forecasting; genetic improvement; technical assistance in crop management and knowledge management and agricultural innovation; all of this within the framework of shared work and in close coordination with the productive unions of the crops previously mentioned. To address these challenges, the project establishes three purposes:

• Implement digital agriculture and agroclimatic forecasting systems, modernizing agricultural extension services to provide adaptation and mitigation recommendations that support the reduction of agroclimatic risks and crop losses. 

• Develop, validate and scale up technologies (genetic improvement, crop management and other technologies) to increase resilience and low-carbon agricultural development. 

• Strengthen the capacities of producers, technicians and institutions for the adoption and implementation of technologies, in addition to proposing new business models based on the mass adoption of technologies under environmental, social and gender considerations. 

"With this project we reaffirm our commitment to Colombia and advance towards our vision of becoming the green bank of Latin America and the Caribbean. At CAF, with allies such as the GCF – Green Climate Fund, we support initiatives that address the effects of change climate and promote resilience and low-carbon local development. We are sure that, together with the government of Colombia, we will improve the lives of producers, increasing the adaptive capacity of the agricultural sector in relevant national production chains," said Rodrigo Peñailillo, CAF Representative in Colombia.

For her part, the Minister of Agriculture and Rural Development, Martha Carvajalino, highlighted that: “this is one of the projects that will work with the Colombian peasantry, within the framework of agrarian reform and that contributes to the country's commitment to face change. climate in the agricultural sector. Likewise, it will allow the incorporation of family and community peasant economies, who are the most vulnerable to this climate phenomenon, through the exchange of knowledge, innovation and transfer of technologies so that their activities are profitable and sustainable.”  

This initiative will be executed for five years, starting activities in 2025. It is estimated to directly benefit 195,000 producers, including professionals from the union and other entities in the agricultural sector. The area linked to the direct beneficiaries covers approximately 970,000 hectares, distributed in 22 of the country's 32 departments and 219 municipalities. 

Indirect beneficiaries are estimated at 104,000 producers and more than 500,000 during the useful life of the technologies. It is also estimated that a total of 10,000 households will benefit from an increase in food security.  

Regarding the mitigation of greenhouse gas emissions -GHG- the project, in its long-term technological projection (25 years), aims to reduce just over 9.2 million tons of CO2 equivalent during implementation and Most of it would correspond to livestock (48%), panela sugarcane (18%) and bananas (12%).