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ADB to support sustainable agriculture in Yellow River Basin, PRC

  • ADB to support sustainable agriculture in Yellow River Basin, PRC

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Asian Development Bank
ADB assists its members, and partners, by providing loans, technical assistance, grants, and equity investments to promote social and economic development.

The Asian Development Bank (ADB) has approved a $157 million loan to improve sustainable agricultural production systems in the Yellow River basin in the People’s Republic of China (PRC).

The Yellow River Basin Green Farmland and High-Quality Agriculture Development Project will support sustainable agriculture development by enabling environmentally sustainable and climate-resilient agricultural production practices that balance food production with environmental protection and rehabilitation.  It will also strengthen agricultural value chains for vital rural agribusiness.

Although it has been a historic cultural and economic hub for the PRC, the Yellow River basin faces increasing challenges to balance the needs of the economy, ecology, and community, while striving to meet its sustainable development potential. ADB initiated the Yellow River Ecological Corridor (YREC) program in 2021 to protect and restore the Yellow River basin’s diverse aquatic and terrestrial ecosystems, promoting poverty reduction, climate resilience, and improved food security.

“An integrated approach is needed to improve ecosystem services and socioeconomic conditions in the Yellow River basin"

“An integrated approach is needed to improve ecosystem services and socioeconomic conditions in the Yellow River basin, including strengthening institutions, enacting policy reforms, and leveraging private sector solutions,” said ADB Senior Natural Resources Economist for East Asia Jan Hinrichs. “The project will also bolster knowledge sharing throughout the region on green farmland construction and institutional reforms in the YREC.”

To build climate-resilient farming processes, the project will invest in developing medium- to high-quality farmland and providing equipment and facilities that support sustainable and modern farming practices. The project will also put in place waste management systems for agriculture plastic film, fertilizer and pesticide packaging, and enhance ecological conservation of farmland, water, and soil resources.

The project will also stabilize and strengthen agricultural value chains by facilitating improved cooperation between farmers and agribusiness, upgrading infrastructure and facilities such as warehouses and cold storage, and improving agricultural systems and processes for increased production efficiency.

The total cost of the project is $355.8 million, with $198.8 million in counterpart financing from the beneficiaries and the government. It is expected to be completed in 2028.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.

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