Madagascar Signs $90 Million Deal with Israeli Agritech Company to Modernize Agricultural Sector
On May 25, 2025, Madagascar made a significant move towards modernizing its agricultural sector by signing a groundbreaking $90 million agreement with Israeli agritech company LR Group Ltd. The deal, sealed in Tel Aviv by Madagascar’s Secretary of State for the Presidency in charge of food sovereignty, paves the way for the development of a state-of-the-art smart farming hub spanning 10,000 hectares across four key regions: Analamanga, Alaotra-Mangoro, Bongolava, and Vakinankaratra.
The ambitious project aims to focus on cultivating staple crops such as rice, maize, and soybeans, utilizing cutting-edge agricultural technologies to enhance productivity, sustainability, and climate resilience. Innovations like solar-powered irrigation, high-yield hybrid seeds, and artificial intelligence-supported crop monitoring are set to revolutionize farming practices in Madagascar.
With a focus on supporting over 10,000 smallholder farmers through training and technical assistance, the initiative is expected to have a significant impact on the country’s agricultural landscape. The goals of the project include boosting food self-sufficiency, reducing import dependence, and improving climate resilience. Some potential impacts of the project include:
- Crop yields increasing by up to 50%
- Farmer incomes rising by 30%
- Water usage decreasing by 35%
- Reduction of food imports by up to 15% over the next 5 years
The government sees this project as a blueprint for future agricultural development in Madagascar, with plans to replicate the model nationwide. By leveraging advanced technologies and innovative approaches, Madagascar aims to transform its agricultural sector and drive economic growth for the benefit of its citizens.
