The New Ireland Provincial Government has committed K1 million to a new partnership with the Fresh Produce Development Authority (FPDA), aiming to transform agriculture into a stronger economic driver while improving food security and increasing household incomes across the province.
The investment is part of a three-year Memorandum of Understanding (MoU) signed by New Ireland Governor Byron Chan and FPDA Chief Executive Officer Mark Worinu in Port Moresby on July 15.
Under the agreement, the provincial government will contribute K1 million in the first year, followed by K500,000 annually over the next two years, subject to project requirements. In addition to funding, it will provide land, project personnel and other resources to support implementation.
The partnership is expected to strengthen New Ireland's agricultural value chain by expanding commercial horticulture, improving market access and investing in infrastructure to reduce post-harvest losses.
Governor Chan said agriculture has the potential to become a key pillar of the province's economic diversification strategy, creating sustainable income opportunities for rural communities while reducing reliance on traditional industries.
"Agriculture remains the backbone of many of our communities. This partnership is about giving our farmers the support they need to move beyond subsistence farming and become successful commercial producers," he said.
To support that goal, the program will provide agricultural extension services, farmer training and technical assistance while establishing cool storage facilities in Kavieng and Namatanai to improve the quality of fresh produce reaching local and national markets.
The provincial government will also identify State land for the establishment of a certified English potato seed farm, together with a horticultural nursery and germplasm collection facility to ensure a reliable supply of high-quality planting materials.
Governor Chan said these investments would help build a productive and commercially competitive agricultural sector capable of supporting long-term economic growth.
"We are investing in infrastructure that will continue serving our farmers well into the future. Cold storage, quality seed production and modern farming techniques will improve productivity and give farmers greater confidence to expand their operations," he said.
He said New Ireland's favourable climate, fertile soils and growing domestic demand for fresh produce position the province to become a major contributor to Papua New Guinea's horticulture industry.
"Our vision is not simply to produce more food. We want to create an agricultural economy where farmers are earning sustainable incomes, supplying quality produce to markets and creating employment opportunities within their own communities," he said.
FPDA Chief Executive Officer Mark Worinu said the partnership would focus on developing modern production systems and strengthening agricultural supply chains, particularly for English potatoes.
"New Ireland has tremendous potential, particularly in English potato production. Through this partnership, we will establish a complete production, distribution and marketing system while developing a certified potato seed centre at Lelet to supply clean planting material for local farmers," Mr Worinu said.
He added that FPDA would also support the production and marketing of bulb onions and other priority horticultural crops to improve household incomes and strengthen food security.
Beyond increasing agricultural output, the initiative is expected to deliver wider economic benefits through higher rural incomes, improved productivity and stronger participation by local farmers in formal markets.
Governor Chan said the agreement aligns with the Chan-Kolivos Government's broader development agenda of creating sustainable economic opportunities beyond the province's mining and fisheries sectors.
He said strengthening agriculture would stimulate local businesses, create jobs and support inclusive economic growth.
"Economic development begins in our villages. When farmers have the skills, infrastructure and market opportunities to succeed, entire communities benefit. This partnership is an investment in our people, our land and our future," he said.
The project will be jointly administered by the Fresh Produce Development Authority and the New Ireland Provincial Government, with implementation expected to begin immediately.
