Senegal has secured a major investment commitment of €100 million ($114 million) from German investors to strengthen the country’s cold storage infrastructure and improve agricultural value chains. The announcement was made during the German-Senegalese Business Day held alongside President Bassirou Diomaye Faye‘s official visit to Germany in June 2026.
The planned investment aims to address one of Senegal’s most pressing agricultural challenges—high post-harvest losses caused by inadequate storage and preservation facilities. Each year, between 30% and 40% of horticultural production is lost before reaching consumers, particularly for highly perishable crops such as onions, potatoes, tomatoes, carrots, bananas, and other fruits and vegetables. These losses significantly reduce farmers’ incomes, affect food security, and create instability in agricultural markets.
The German-backed initiative is expected to support the expansion of modern cold storage facilities that can preserve agricultural products for longer periods, improve product quality, and reduce waste throughout the supply chain. Although specific project details and implementation timelines have not yet been announced, the investment is viewed as a major step toward modernizing Senegal’s agricultural infrastructure.
The commitment complements ongoing government efforts to strengthen the country’s cold chain network through programs such as Agricool, a large public-private partnership valued at approximately 170 billion CFA francs ($314.8 million). The Agricool initiative includes the construction of modern controlled-atmosphere refrigerated warehouses in key agricultural production regions, including Niayes, Casamance, Matam, and central and eastern Senegal. The project also integrates renewable energy solutions to improve sustainability and operational efficiency.
Demand for improved storage infrastructure has become increasingly urgent as Senegal’s agricultural production continues to expand rapidly. In 2025, the country recorded historic production levels, including nearly 450,000 tons of onions, 245,000 tons of potatoes, and 112,500 tons of bananas. While these production gains demonstrate the growing strength of Senegal’s agricultural sector, they have also placed significant pressure on existing storage and distribution systems.
According to official estimates, inadequate storage facilities result in approximately 50 billion CFA francs ($89.9 million) in annual losses within the horticultural industry. By expanding cold storage capacity, Senegal aims to reduce food waste, improve market stability, increase farmer incomes, and enhance the competitiveness of its agricultural exports.
If fully implemented, the German investment could become a significant catalyst for agricultural modernization in Senegal, supporting food security, rural economic development, job creation, and long-term growth across the country’s horticulture sector.
