Pakistan-Italy Agreement €20 Million Loan to Support Agricultural Skills Development

Pakistan and Italy sign an agreement to strengthen agricultural training and vocational education.
Pakistan-Italy Agreement moved forward on Monday after both countries signed a concessional loan deal worth €20 million (around Rs6.3 billion) to support agricultural skills development and vocational education in Pakistan.
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The initiative forms part of Pakistan’s Technical and Vocational Education and Training (TVET) National Reform Programme and focuses on professional capacity building and agricultural extension.
Agreement Signed in Islamabad
Secretary of the Ministry of Economic Affairs, Muhammad Humair Karim, and Italian Ambassador Marilina Armellin signed the agreement.
Senior officials from the Italian Agency for Development Cooperation, the Ministry of National Food Security and Research, and provincial departments also attended the ceremony.
Focus on Agricultural Training
The programme aims to strengthen Pakistan’s TVET system with special attention to agriculture.
It will improve professional skills, expand technical certification and encourage innovation across agricultural value chains.
In addition, the initiative will support farmers, trainers and extension workers through modern and market-driven training programmes.
Officials expect these efforts to increase productivity and promote sustainable farming practices.
High-Value Crops and Value Addition
The project will prioritise high-value crops and support stronger agro-food value chains.
Training facilities will help stakeholders improve production, processing and marketing.
The programme will also encourage product diversification and value addition.
Target crops include olives, pistachios, dates, mushrooms, cherries, grapes, peaches and almonds.
The initiative combines Italian agricultural expertise with Pakistan’s farming potential.
Training and Infrastructure Targets
The programme will run for 42 months.
During this period, authorities plan to deliver 720 training courses for around 18,398 participants.
Beneficiaries will include farmers, women, youth and trainers.
The programme will also introduce 11 standardised training curricula.
Infrastructure plans include 12 model orchards and nurseries.
Authorities will also establish eight eco-villages with climate-resilient technologies and five agro-food processing units.
In addition, two National Centres of Excellence will support citrus and date production in Sargodha and Turbat.
Long-Term Economic Goals
Pakistan’s Oilseed Department will implement the project in coordination with provincial agriculture departments.
Officials expect the programme to create rural employment and improve farmer incomes.
They also aim to reduce post-harvest losses and strengthen farmer cooperatives.
The agreement highlights the long-term development partnership between Pakistan and Italy.
Both countries said the initiative reflects their commitment to sustainable agriculture, skills development and inclusive economic growth.
