On August 15, 2025, the Ministry of Agriculture and Animal Resources convened agricultural exporters to align with government institutions and private players, including banks, on how to tackle bottlenecks and accelerate this push.
According to the Ministry of Agriculture and Animal Resources, the drive will be implemented under the Fifth Strategic Plan for Agriculture Transformation (PSTA5), which requires an estimated Frw 144 billion, or 2.3% of its total budget.
Agribusiness hubs lead the way
Minister of Agriculture Dr Cyubahiro Mark Bagabe highlighted the Gabiro Agribusiness Hub, a modern 5,600-hectare irrigation zone drawing water from the Akagera River into a 120,000 m³ reservoir. The government has already invested over $118 million (Frw 170 billion) in the site, where investors lease land at $375 per hectare per year.
Seven investors are currently operational, with pledged investments surpassing Frw 53 billion. The hub's first phase created 6,000 jobs, while the second phase will expand it to 15,600 hectares across Nyagatare and Gatsibo, complete with advanced irrigation and improved road infrastructure.
Scaling smallholder farming
Another key initiative is the Food Basket Sites (FoBaSi) programme, designed to consolidate fragmented small plots into productive zones of about five hectares each. Over 495,000 hectares have already been identified out of a targeted 600,000 hectares.
Farmers in these sites will receive early access to fertilisers, quality seeds, and the support of permanent agronomists. The scheme begins in Season A of 2026 (Septemberâ€"December 2025) and is expected to drive significant yield increases, covering nearly half of Rwanda's cultivated land.
The government projects significant growth in export earnings from high-value crops over the next five years. Chilli exports are expected to increase eightfold, moving from $6 million to $48 million by 2028/29, largely driven by expanding markets in Asia, particularly China and India.
Coffee earnings are forecast to rise from $78.7 million to $115.5 million, an increase of 46.8%, supported by the replacement of ageing trees and expansion of plantations. Tea is also set to record substantial gains, with export revenues projected to grow from $107.7 million to $164.4 million, representing a 52.6% increase.
PSTA5 to transform the sector
PSTA5, a five-year programme, will channel $5.4 billion into modernising agriculture, promoting climate-smart technologies, reducing post-harvest losses, and strengthening value chains. The initiative is expected to create 644,000 jobs, up from 400,000 currently sustained in the sector.
'We are focusing on transforming agriculture into a business rather than subsistence farming,' Dr Bagabe said, noting that farmers' performance will determine whether they retain or lose access to consolidated farming sites.
IGIHE
