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In Ethiopia more than 80% of the population resides in rural areas and relies on Agriculture for income.
The sector is dominated by the presence of small scale farmers (around 12 million households, according to recent data from the Ethiopian Ministry of Agriculture). These households rely mainly on a subsistence rain fed farming system, with limited use of equipments, fertilizers, improved seeds and other agricultural inputs.
All these factors, together with the recurrent droughts and the mismanagement of natural resources, contribute to the low agricultural productivity of the Country. As a consequence, farmer households may struggle to find sufficient food to meet their diet requirements along the year. This problem is exacerbated by the high population growth pressure.
Nevertheless food security remains a critical issue for many households, and for the Country as a whole. In particular a very large percentage of the farmer population faces a prolonged hunger season during the pre-harvest period. Moreover the agricultural markets are not yet sufficiently developed, the rural infrastructures not adequate, and farmers have little bargaining power when it comes to selling and marketing their products.
Despite all these limits, Ethiopia has tremendous potential for agricultural development. In the last years the average growth rate of the agricultural GDP has been about 10% per annum. The Government of Ethiopia has shown a strong interest and commitment in the support to the agricultural sector, considering it as a key driver of the economic and human development of the Country. The central role of Agriculture is highlighted also in the recent Five Year Growth and Transformation Plan (GTP) 2010-2015 and Agricultural Sector Policy and Investment Framework (PIF) 2010-2020.
In 2009, Ethiopia endorsed the CAADP - Comprehensive Africa Agriculture Development Programme, developed in the framework of the African Union / New Partnership for Africa’s Development (NEPAD). Under the CAADP, the Ethiopian Government has committed to allocate the 10% of the total budget to agriculture and rural development.
All the projects funded by the Italian Development Cooperation are set within this framework. They all contribute to increase the productivity and the quality of the products, to promote crop diversification, to support access to markets and to strengthen the capacity of local Institutions to deliver agricultural services. The final objective is to develop the agricultural sector and reduce food insecurity and poverty in the Country.
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