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Assisting the Government of Afghanistan’s Agriculture Sector with Wheat Production

The Afghan Fertilizer Company was created to help supply local wheat farmers access agricultural fertilizer and other inputs to strengthen the agricultural sector.
Chemonics, working under contract with USAID, helped provide assistance in which research, extension services and development services were provided to Afghan farmers to help identify which inputs would help with creating wheat production. The project helped apply research to determine the most adaptable varieties of wheat and the best rates of fertilizer applications, provided information to the Afghan farmer, and identified which inputs such as seed, fertilizer, and machinery to the farmer were essential.
The Ag Bank, subsidized by a $5M loan from the World Bank’s International Bank for Reconstruction and Development, was chosen to become the parent organization of a fertilizer distribution operation throughout Afghanistan. The Afghan Fertilizer Company (AFC) was created to help assist with the Government of Afghanistan’s agricultural demands.
By establishing the AFC, as a majority-owned subsidiary of the Ag Bank with minority shareholders comprised of fertilizer wholesalers, the organization negotiated a loan with USAID to provide for goods and services, including technical assistance and infrastructure support. The AFC was responsible for purchasing all chemical fertilizers produced in Afghanistan, to procure all products not available in the country, and to supply and distribute fertilizer via a wholesaler/retailer network throughout the country while regulating fertilizer storage, packing and sales.
Project Duration: 1973 - 1976.


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