The document was signed between Glauco Glazuola, head of the European Commission, and Mozambican deputy Foreign Minister Henrique Banze.
In the terms of the memorandum, donors are pledging 15 million Euros (about 19.8 million US dollars) a year for the period 2007/09 earmarked to continue the actions of the first phase of the programme, and to contribute to the implementation of the second phase of the Absolute Poverty Reduction Action Plan (PARPA II).
The idea is to support the small farmers in their activities and in the conservation of the natural resources, and to develop agro-industries to serve both domestic consumption and for export.
Another objective is to guarantee a sustainable management of the natural resources while ensuring the interests of the communities and of the public and the private sectors.
On the occasion, Agriculture Minister Tomas Mandlate said that the document that has just been signed establishes the principles and the terms of cooperation between the government and its partners who contribute to the implementation of the programme through their support to the sector's budget.
'During the second phase of PROAGRI we intend to have most of the resources channeled to those actions in the field that yield the desired impact both on the producer and in the production', said Mandlate, adding that the capacity and the basis for that effect were created in the first phase of the programme, that ended in 2005.
He stressed, however, that for a good success of this programme, his ministry has been working hand in hand with the Planning and Development Ministry to define and diversify crop production, and in the drafting of a new agricultural policy and the respective implementation strategies, along other measures.
The first disbursement of the pledged funds, worth 30 million Euros, is to take place before the end of this year.
The government is thus to benefit of a set of funds aimed at responding to the Agriculture Ministry's strategic programme as part of a scenario of medium term expenses to be used as a support in the drafting of the state budget for 2008.
SOURCE: AIM
