JICA extends ODA loan of INR 914 crores to promote sustainable horticulture in Haryana

New Delhi, February 20, 2024: Japan International Cooperation Agency (JICA) signed a loan agreement with an Official Development Assistance (ODA) loan of JPY 16,215 million (approximately INR 914 crores) for The Project for Promoting Sustainable Horticulture in Haryana (I)

The project is to promote sustainable agriculture and increase the income of the farmers by supporting crop diversification, improvement of facilities for post-harvesting and capacity building for the state government officials and farmers.

The project will be implemented by the Department of Horticulture, Government of Haryana over a period of 108 months. It is expected to directly benefit 156,000 farmers through interventions such as installation of drip/ sprinkler irrigation systems which will contribute to use less water, and capacity building of government extension officers and farmers for crop diversification. The project also supports to establish Pack Houses which will be managed by Producer Groups and realize the value addition through efficient post-harvest management.

The loan agreement for the project was signed between Mr. Vikas Sheel, Additional Secretary, Department of Economic Affairs, Ministry of Finance and Mr. SAITO Mitsunori, Chief Representative, JICA India.

Speaking on this occasion, Mr. SAITO Mitsunori, Chief Representative of JICA India office said, “The project will contribute to improve the farmers’ income by promoting crop diversification and environmentally sustainable agriculture. In the project site, it aims to reduce the water usage to one third (1/3) of the current usage by installing water efficient irrigation systems and promoting crop diversification to horticulture crops. The project also conducts business matching with private companies and has academic linkage with Kochi University (Japan) to achieve high quality, improve supply chain, and promote data-driven agriculture.

Haryana faces multiple environmental issues such as groundwater depletion by excessive water usage for cultivation, air pollution by burning agricultural residues which come from the traditional agriculture. The project will incentivize farmers to shift from water-intensive crops to horticulture, which promises higher returns. The production infrastructure and capacity building efforts are also expected to significantly reduce post-harvest losses and improve price realization.

The figures are calculated with current exchange ratio: INR 1/- = JPY 1.7743700/-

About JICA
Established, by a specific law, as an incorporated administrative, as the sole Japanese governmental agency in charge of ODA implementation. JICA is the world's largest bilateral donor agency. JICA works as a bridge between Japan and emerging countries like India and provides assistance in the form of loans, grants, and technical cooperation so that emerging countries can strengthen their capabilities.

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