Mozambique - The Pemba-Lichinga Integrated Development Corridor Special Agro-Industrial Processing Zone (SAPZ) Project -Phase I

Project Summary

Approval Date 17 Dec 2021
Signature Date 01 Feb 2022
Planned Completion Date 30 Sep 2027
Last Disbursement Planned Date 30 Sep 2027
Sovereign / Non-Sovereign Sovereign
Sector Agriculture and Rural Development
DAC Sector Code 31110
Environmental Category 2
Commitment U.A 30,000,000
Status Implementation

Project General Description

The Project supports the development of the first phase of the Pemba-Lichinga Integrated Development Corridor Special Agro-Industrial Processing Zone (SAPZ). This intervention is designed in the form of a stand-alone Investment Project with the main aim of improving the enabling business environment for agro industrial development and agricultural productivity with potential impacts for livelihood and structural economic transformation in Mozambique. Activities in the first phase will be focused in the Niassa Province in the North West of the country. The Project consists of 3 components namely: (i) Strengthen Institutional Capacity, Policy, Regulatory, Institutional and Business Environment for Agro Industrial Development, (ii) Support agricultural productivity, skills, and enterprise development to enhance agricultural value chains and (ii) Project Coordination and Management. The Project will be implemented over five years (2022-2026) at a cost of UA 32.79 million (including in kind contribution of UA 2.0 million from the Government of Mozambique and Beneficiaries).

Project Objectives

The project goal is to improve agricultural productivity and agribusiness development in Niassa Province. The key value chains of focus for the project are soybeans, sesame, macadamia, potatoes, wheat, beans, maize, cotton, and poultry. The objectives of phase 1 are to: (i) strengthen institutional capacity and business environment for agro-industrial development and(ii) support agricultural productivity, skills, and entrepreneurship to enhance agricultural value chain development in the Niassa Province of Mozambique. The project will pilot better policy and development coordination between the Niassa province and national departments especially with the Ministry of Agriculture and the Ministry of Industry and Commerce.


The project will benefit, directly, farming households and communities, the youth, women, agribusiness MSMEs and staff of related public institutions. Indirectly the project will benefit rural populations in the coverage areas. By the end of the first phase of the project the expected employment at the farm level will be about 30,000 in direct employment and 60,000 indirect jobs 50% of each going to women. Anticipated additional benefits to farmers will include improved production and productivity, reduction in production costs and waste, supply of improved inputs including improved seeds, credit, agro chemicals and irrigation kits, price stabilisation due to increased value addition, consistent revenue to farmers, improvement in pre-harvest and post harvest management through capacity building and training, which will translate into better standard of living for farmers.

Participating Organization

Transition Support Facility
African Development Fund
Ministry of Agriculture and Fisheries


IATI identifier 46002-P-MZ-AA0-039
Last Update 21 Mar 2023


Contact Details

Name Chukwuma Ikechukwu EZEDINMA

Geographic Location

Country Mozambique
Coordinates Location Name
-13.3128 35.2406 Lichinga
-12.97395 40.51775 Pemba
-13 37 Provincia de Niassa