Ethiopia Launches second phase of ACC – Agricultural Commercialization through Climate-smart and Inclusive Innovations (ACCII) at Africa Climate Summit

Ethiopia today launched the second phase of its flagship Agricultural Commercialization Clusters Pase II (ACC II) Program during a high-level dialogue at the Africa Climate Summit (ACS) 2025, held at the Ethiopian Pavilion, September 10, 2025 in Addis Ababa.  The event, themed “Climate-Smart Agriculture and Value Chain Development for Food System Transformation in Africa,” brought together ministers, development partners, and international organizations to deliberate on sustainable agriculture, inclusive value chains, and climate resilience.

Agriculture remains the backbone of Ethiopia’s economy, contributing 80% of exports and providing 95% of national food needs. However, smallholder farmers, who drive production, continue to face challenges of food insecurity, poverty, low productivity, and limited access to markets. These issues, compounded by dependence on rainfall, low technology adoption, and barriers to private sector participation, have constrained nutrition security and economic transformation.

In response, the ACC Program was launched in 2019/20 to promote market-driven value chain development through cluster-based commercialization of smallholder farming. The first phase reached over 4.4 million farmers, of whom over 2.5 million were organized into Farmer Production Clusters (FPCs). The program delivered remarkable results, with yields in ACC woredas averaging 32% higher than the national average and yields in FPCs exceeding the national average by 44%. Average grain yields increased by 86%, reaching 3.18 tons per hectare compared to the baseline, while horticulture yields grew six-fold, reaching 33.4 tons per hectare. Overall production volume increased by 56%, which led to an increase from 28% in 2019 to 58% in 2024 in grains.

Building on these successes, the Agricultural Commercialization through Climate-smart and Inclusive Innovations (ACCII) has been designed as a bold national response to climate change, food insecurity, and rural poverty. ACCII will operate in nine regions, Amhara, Oromia, Tigray, Sidama, Southwest Ethiopia, South Ethiopia, Central Ethiopia, Benishangul, and Somali.

The program will focus on nine strategic components, including climate-resilient crop and livestock commercialization, climate-smart agriculture and Natural Resource Management, digital agriculture, private sector engagement, gender and youth empowerment, nutrition, policy and advocacy, and Humanitarian–Development–Peace (HDP) nexus, and Program management. It also commits to provide opportunities for 300,000 Internally Displaced Persons (IDPs) and refugees to become self-sufficient

ACCII is expected to elevate Ethiopia’s visibility as a leader in climate-smart agriculture, foster international collaboration, and inspire shared learning across Africa. The program marks a new phase in Ethiopia’s journey toward resilient, inclusive, and sustainable agri-food systems.

Speaking at the launch, Dr. Mandefro Nigussie, Director General of the Ethiopian Agricultural Transformation Institute (ATI), underscored the transformative vision of the initiative:

 “ACCII represents Ethiopia’s strong commitment to scaling up climate-smart, inclusive, and market-oriented agriculture. By engaging millions of smallholder farmers, empowering women and youth, and promoting sustainable value chains, this program will help unlock agriculture’s potential as a driver of food security and economic transformation.”

H.E. Dr Fikru Regassa, State Minister for the Ministry of Agriculture of Ethiopia, highlighted the government’s policy direction on sustainable agriculture and food system transformation:

“The Government of Ethiopia has placed sustainable agricultural transformation at the center of our development agenda. Through policies that prioritize climate-smart farming, technology adoption, and inclusive value chain development, we are committed to ensuring food security for our people and contributing to Africa’s broader agricultural transformation.”

Mr. Ole Thonke, Undersecretary for Development Policy at the Ministry of Foreign Affairs of Denmark, emphasized Denmark’s commitment to partnership and sustainable food systems:

“The Government of Denmark is pleased to announce USD 75 million in support of the Ethiopian agricultural sector. Agriculture is a key driver of Ethiopia’s trade and export growth. It provides livelihoods for the population and supplies important products, like coffee, spices, and pulses. Denmark is proud to be a close partner to Ethiopia in this important sector that is essential for economic growth and job creation. Together with the Ministry of Agriculture and the Agricultural Transformation Institute, Denmark will among other things support stronger climate resilience and better export opportunities for Ethiopian agriculture.’’

High-level representatives from Ethiopia, Rwanda, Somalia, Denmark, France, and other partners joined the launch, reaffirming their shared commitment to climate-resilient agricultural transformation across Africa.