Zambia’s Agriculture Sector From Recovery to Resilience

Chabala Sunkutu

2025 has been a remarkable year for Zambia’s economy. After the challenges of recent years, we’ve seen a strong rebound that is restoring confidence across industries. Real GDP grew by 4.5% in Q1 and 5.2% in Q2, and both the IMF and the government project full-year growth between 5.8% and 6.0%, which, if achieved, will be the strongest performance in four years.

Personally, the most inspiring story lies in agriculture.

After a drought-hit 2024, the sector came back to life, expanding by 74.4% in Q1 and 42.9% in Q2. A bumper maize harvest of 3.7 million metric tonnes, timely delivery of inputs, and improvements in the Farmer Input Support Programme (FISP) helped drive this turnaround. This recovery also contributed to easing food inflation, which fell to 14.6% by September, and helped overall inflation settle at 12.3%.

I see this not just as a recovery, but as a signal that agriculture remains central to Zambia’s long-term resilience. It is a reminder that diversification from mining depends on how effectively we manage and modernize the agriculture sector.

The 2026 National Budget continues this momentum with ZMW 15.5 billion allocated to Agriculture, Livestock, and Fisheries. Key reforms include the full migration of FISP to an e-voucher system and increased investment in irrigation, with nine new dams planned. These are critical steps towards a more efficient, climate-smart, and market-oriented agricultural sector.

Looking ahead, the opportunities for investment of the budget allocation are clear:

• Financing For Climate-Resilient Infrastructure: Capital must flow into irrigation systems, dam construction, and water management infrastructure that shield farmers from climate shocks. The Bayer Itaba Seed Plant and the Government’s Sustainable Agriculture Financing Facility are good examples, but scaling such initiatives will require blended financing models involving banks and DFIs. Structured credit facilities, green bonds, and public-private partnerships can help fund irrigation networks and solar-powered water systems that maintain production even during dry spells.

• Expansion In Storage, Logistics And Processing: Post-harvest losses remain a major bottleneck. Each year, farmers lose up to 30% of their output due to limited storage and weak supply chains. There is a clear opportunity for investment in modern grain storage, cold chain logistics, and rural aggregation centers. Expanding grain storage around high-production belts like Central and Eastern Provinces could stabilize prices and support food exports. On the processing front, facilities for soybean crushing, maize milling, and dairy production could add significant value, create rural jobs, and strengthen Zambia’s position as a regional food supplier to markets such as the DRC and Angola.

• Investment In Renewable Energy To Power Agricultural Value Chains: Energy is the silent enabler of agricultural transformation. Solar mini-grids are already helping farmers in off-grid areas process crops and power irrigation pumps. For example, solar-powered milling and cold storage systems in Eastern Province are demonstrating how renewable energy can reduce operating costs and minimize post-harvest spoilage.

The government projects GDP growth of 6.4% in 2026, and with the right capital and partnerships, agriculture can anchor that momentum. The task now is to move from dependence on favourable weather to building true resilience through investment, innovation, and collaboration.

2025 reminded us that Zambia’s fields can recover quickly after the storm. 2026 should be the year we help them withstand it.

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