IFAD Impact Assessment - Lesotho Smallholder Agriculture Development Project (SADP)

Athur Mabiso, Md Marup Hossain and Hugues Robinson Toguem

No 413102, IFAD Impact Assessment Series from International Fund for Agricultural Development (IFAD)

Abstract: The Smallholder Agriculture Development Project (SADP), implemented in Lesotho from 2011 to 2020, aimed to increase market-oriented agricultural production by providing matching grants and support services to rural agribusiness SMEs. Funded by IFAD, the World Bank, GEF and the Government of Lesotho, the project reached nearly 80,000 households. An impact assessment found that SADP significantly increased investments, productive assets and employment, with beneficiary enterprises investing about US$12,000 more and hiring one additional employee on average. Horticulture enterprises experienced substantial increases in production and sales, although rising operating costs reduced profitability. Overall impacts on production, sales and profits were mixed across sectors. The findings highlight the importance of complementing financial support with risk management, climate resilience and business development services.

Keywords: Agricultural and Food Policy; Community/Rural/Urban Development (search for similar items in EconPapers)
Pages: 65
Date: 2022-08-31
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Persistent link: https://EconPapers.repec.org/RePEc:ags:unadia:413102

DOI: 10.22004/ag.econ.413102

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