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National Oil Palm Project (NOPP)

In Uganda, agriculture remains the backbone of the economy and contributes more than 20 per cent of the GDP and over 50 per cent of export earnings. Based on the transformative socioeconomic impact achieved under the Vegetable Oil Development Project (VODP) and the VODP Phase 2, the National Oil Palm Project (NOPP) will scale up the approach and be implemented in four hubs in the country: Buvuma, Mayuge, Masaka and the fourth hub is yet to be identified.

NOPP aims to support inclusive rural transformation through oil palm investment. It will sustainably increase rural livelihoods through opportunities generated by establishment of an efficient oil palm industry that complies with modern environmental and social standards. Overall, it is estimated that 30,800 poor and vulnerable rural households will benefit directly from NOPP activities.

In addition, NOPP will build strong linkages between the smallholder oil palm growers and the primary processors, based on the innovative public-private-producer partnership (4P) arrangement developed under VODP. Furthermore, it will reduce the market risks faced by the smallholder oil palm growers and ensure their access to quality inputs, technical know-how and investment credit.

Status: Ongoing

Country

Uganda

Approval Date

16 April 2018

Duration

2018 - 2029

Sector

Rural Development

Total Project Cost

US$ 210.44 million

IFAD Financing

US$ 77.03 million

Co-financiers (International)

Private Sector Foreign US$ 90.62 million

Co-financiers (Domestic)

Beneficiaries US$ 17.21 million

National Government US$ 25.58 million

Financing terms

Highly Concessional

Project ID

2000001484

Project Contact

Lakshmi Moola


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Environmental and social impact assessment

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