India and IFAD Sign US$45.78M Agreement for Mizoram Farming

49th session of the Governing Council

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Press release | 9 April 2026

India and IFAD sign US$46 million agreement to boost climate-resilient farming in Mizoram

Governments India Asia and the Pacific Market access Rural finance Resilience Climate

Media contact Aneesha Bedi [email protected] New Delhi/Rome, 9 April 2026. The Government of India and the International Fund for Agricultural Development (IFAD) have signed a US$45.78 million financing agreement to strengthen market-led, inclusive and climate-resilient agricultural value chains in Mizoram, northeast India.

The Fostering Climate Resilient Upland Farming Systems in the Northeast (FOCUS 2.0) will be implemented in full alignment with Mizoram’s Bana Kaih policy – an initiative promoting self-reliance and sustainable livelihoods – and India’s national priorities for inclusive and climate-resilient growth.

The project builds on Phase 1 (2018-2024) where participants increased their income by 43 per cent through integrated farming systems combining climate-smart practices, livestock support and improved market access.

FOCUS 2.0 will expand coverage from six to all 11 districts in Mizoram to reach 150,000 people over six years, from 2026 to 2032.

“The programme responds by scaling up the successful models from Phase I and linking them to structured markets such as farmer producer organizations, aggregation, and processing centres, and formal buyer arrangements with agribusinesses,” said Marc de Sousa-Shields, IFAD Country Director and Representative, India.

In rural Mizoram, landholdings are small and fragmented, productivity is low, and communities face extreme weather events. Many households rely on shifting cultivation – a traditional practice where land is farmed temporarily and then left fallow – which under shorter cycles, can reduce yields and limit market participation. Markets also remain underdeveloped.

The programme will support smallholder farmers and rural enterprises to move from subsistence to market-oriented production by improving how crops and livestock products are produced, aggregated, processed and sold—for example, through better storage and collection centres, financial and capacity building support to farmer groups and local businesses, and stronger links to local and regional markets. It will also promote climate-resilient farming practices to enhance productivity while reducing vulnerability to climate risks.

The investment will build market infrastructure that can withstand extreme weather conditions/events, provide support armer producer organizations and self-help groups, and improve financial and digital inclusion. These efforts will enable rural producers to access markets, grow small and medium agribusinesses, and increase incomes.

Over the past 49 years, India and IFAD have together invested in 36 rural development projects with a total value of US$4.60 billion, of which IFAD has contributed US$1.52 billion.  Currently, IFAD and India partner on four ongoing projects, with US$325.6 million invested by IFAD. Read more about our work in India here.

Note to editor:

For a look at the impact of FOCUS Phase I, watch:

How to take a slice of the banana business

Settling in to Farm

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The International Fund for Agricultural Development (IFAD) is the only international financial institution exclusively focused on transforming rural economies. IFAD invests in rural people and their communities, building food security, shared prosperity and stability. Today, IFAD and its partners have nearly US$23 billion invested in ongoing projects that are transforming rural economies.

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