The loan will help to finance the National Irrigation Water Saving Programme’s priority action of developing high value added modern farming and increasing crop diversity and yields while finding sustainable irrigation solutions.

| Agricultural production increases substantially, but fast yield growth following e.g. seed/root improvement technologies, spot-irrigation, etc.

28. Stresses the need to give small farmers in poor countries, who are mainly women, access to land, financial services and credit, high-yield seeds, irrigation systems and fertilisers; stresses that investment in the agricultural sector needs to focus more on irrigation, rural roads, research and local knowledge, training and exchange of best practice with a view to developing sustainable, efficient crop systems, clean drinking water and education, as well as on enhancing local production and market exchanges; calls on the Commissi ...[+++]on, therefore, to reinforce these areas in its actions and to support producer organisations, microcredit and other financial service programmes and increased investment in agriculture;

Whereas other developing regions of the world enjoyed a surge in crop yields in the 1970-2000 period, stemming from the development of high-yielding plant varieties and an increased use of fertilizers and irrigation, Africa has lagged behind in technological advances in agriculture.

The project will bring benefits in the form of sustained high yield on the current project site of about 400 ha, thanks in particular to improvements in the many existing sprinkler irrigation systems and the introduction of new ones planned in the vicinity of the project, throughout the province and even in other parts of China. It will also be instrumental in establishing a provincial/national irrigation training centre, providing additional technical assistance and local and overseas training, and procuring supplementary irrigation equipment and spares.

The project which the Commission has decided to finance forms part of this policy and comprises the following : - rehabilitation and technical improvement of tanks and their infrastructure (bases, weirs and the irrigation and drainage network); - supply of equipment, adaptation and improvement of agricultural techniques, introduction of high yield varieties and credit for farmers; - strengthening the agricultural education service, setting up model farms, introducting a rotating water supply system and carrying out research towards improving smaller tanks.