The United States Agency for International Development (USAID) announced a grant worth nearly MNT 7 billion ($2 million) to the United Nations Food and Agriculture Organization (UNFAO). USAID funds will support UNFAO to increase and improve Mongolia’s domestic greenhouses and related industries – including food storage and distribution – so that Mongolia can become more self-sufficient in vegetable production.
Mongolia currently consumes primarily imported vegetables. Recent international events have highlighted the vulnerability that this reliance on imports creates: Russia’s war in Ukraine significantly impacted food prices and availability, and closures of the border with the People’s Republic of China led to widespread shortages of food products during the COVID-19 pandemic. UNFAO reports that although Mongolia’s greenhouse development has increased in recent years, domestic production remains inadequate to meet demand for fresh, healthy produce and most Mongolian greenhouses are not capable of operating year-round.
This MNT 7 billion ($2 million) USAID grant will identify policy changes for local and national governments to create an enabling environment for private sector investment in the greenhouse sector. The grant will also provide training on developing and managing greenhouses using modern techniques and business practices.
“With the right practices and technologies, coupled with policies to encourage more investment in the sector, year-round production and distribution can become more of a reality,” said U.S. Ambassador to Mongolia Richard Buangan. “This support from USAID will bring more locally grown produce into Mongolian homes, regardless of harsh winters or supply chain disruptions caused by neighboring countries.”
“USAID is very pleased to award this grant to UNFAO and to work with them to improve Mongolia’s food security,” said USAID Mongolia Senior Development Advisor Tom Crehan. “As a proud Third Neighbor of Mongolia, we are glad to partner with the government and other stakeholders to meet the Mongolian people’s demand for a sustainable supply of nutritious produce.”
For more than 30 years, USAID has worked with Mongolia to advance democracy, strengthen community resilience against natural disasters, and increase sustainable, inclusive economic growth. To date, the U.S. government, through USAID, has invested more than $130 million (MNT 400 billion) to help Mongolia achieve its development goals.
