MBABANE - Government has allocated E2.02 billion to the Ministry of Agriculture for the 2026/27 financial year.
This underlines a renewed push to expand irrigation infrastructure, strengthen livestock disease control, enhance smallholder productivity and accelerate climate-smart agriculture initiatives.
The funding envelope, contained in the budget estimates book delivered alongside the National Budget by Minister for Finance Neal Rijkenberg, positions agriculture as a central pillar of Eswatini’s food security strategy, rural economic development and climate resilience agenda.
At the heart of the allocation is a heavy emphasis on water security and irrigation infrastructure, with the bulk of loan funding channelled towards the construction of strategic dams and conveyance systems aimed at unlocking irrigated agriculture in key production zones.
The single largest allocation under the ministry’s development portfolio is E1.43 billion in loan funds earmarked for the construction of Mpakeni Dam and its main conveyance system.
This project is expected to significantly expand irrigated land in the Lowveld, unlocking commercial and smallholder agricultural production, particularly for high-value crops and livestock feed production.
Once completed, the dam and conveyance system will play a critical role in stabilising water supply for downstream irrigation schemes and agro-processing investments.
Complementing this is E177.17 million in local funding for the purchase of private farms, project management, chiefdom development plans, VAT and CIC levy payments under the broader irrigation and land development programme. This funding is designed to facilitate land acquisition for resettlement and agricultural expansion while ensuring that community structures and governance frameworks are aligned with irrigation development.
The budget estimates also reflect government’s focus on safeguarding the livestock sector, particularly in protecting export potential for beef.
Under the Eswatini Livestock Value Chain Development Project (ELVCDP), government has allocated E13.13 million in local funds for the replacement of the cordon fence used in foot-and-mouth disease control.
The fence plays a crucial role in maintaining disease-free zones, which are essential for protecting access to premium beef export markets.
In addition, E44.17 million in donor funds has been earmarked to support sustainable land management, value addition, processing and market linkages for beef enterprises. This component aims to move livestock producers beyond primary production into higher-value segments of the beef value chain, strengthening incomes and improving market access for both commercial and emerging farmers.
The Lower Usuthu Smallholder Irrigation Project Phase II Extension – Downstream Development programme has been allocated E2.99 million in local funds to facilitate project completion and handover.
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A total of E14.76 million in donor funds has been allocated for the establishment of a Smart Agriculture Demonstration Farm.