Luxembourg, Switzerland and Liechtenstein are continuing their joint SSNUP program, which has already attracted €188 million in private sector investment
Worldwide, 475 million households rely on smallholder agriculture. Supporting these smallholder farmers can not only reduce the causes of poverty, but also strengthen the local economy and help protect the environment. It also strengthens farmers’ resilience to the effects of climate change.
Small farmers usually access markets via farmers’ associations, financial institutions and agricultural companies such as buyers, collectors, processors and exporters. However, there is often a lack of investment in key infrastructure such as irrigation systems, storage facilities and transportation routes. Without these investments, farmers are unable to increase food production and are more vulnerable to climatic and other risks.
Joint commitment of the three countries to support the agricultural sector in developing countries
The development cooperation agencies of Luxembourg, Switzerland and Liechtenstein have joined forces with the Luxembourg non-governmental organization ADA and a group of impact investors to close this significant funding gap as part of the Smallholder SustaiNability Upscaling Programme (SSNUP).
Since 2020, SSNUP has been strengthening the resilience of smallholder farmers in Africa, Latin America and Asia. It combines official development assistance with private investment to improve food security, increase farmers’ incomes and promote local processing of agricultural products. This helps to strengthen the rural economy and promotes broader socio-economic development.
The financial support of the three agencies reduces the risk for private impact funds that invest in agricultural SMEs, cooperatives and financial service providers, thereby providing them with financial, technical and organizational support.
The programme mobilized €188 million in private funding between 2020 and 2025, benefiting around 1 million farmers in 34 countries, mainly in sub-Saharan Africa.
“The SSNUP programme has confirmed Luxembourg’s conviction that sustainable development requires the mobilization of the private sector. By attracting private impact investment, we have helped channel more than 100 million euros of capital into strengthening the resilience and income of smallholder farmers. Encouraged by the initial results, we have committed to a second phase of the program to strengthen and deepen the impact where it is most needed,” said Xavier Bettel, Minister for Development Cooperation and Humanitarian Affairs
Program enters second implementation phase
SSNUP is currently entering the next phase, which will focus on the following topics until 2029:
- Promoting sustainable agriculture through agroecological practices such as crop diversification and the use of local seeds.improving the nutrition and overall food security of smallholder farmers
- Elimination of gender-specific inequalities
- Development of fair agricultural and food systems.
“By focusing on these key issues, we hope to promote the transition to agroecological production systems on a larger scale, driven and supported by the private sector with appropriate investment. This focus will ensure the greatest possible impact in terms of food security and nutrition and contribute to achieving the United Nations Sustainable Development Goal of ending hunger by 2030.” Andreas Sicks, LED Managing Director, is convinced.
