Volkswagen Group Africa opens new facility in Rwanda to drive e-tractor farming solutions in rural Africa

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Volkswagen Group Africa has unveiled its first multifunctional facility in Rwanda, marking the launch of a pilot project aimed at introducing modern farming practices using e-tractors.

Situated in Gashora, approximately 60 kilometers from Kigali, the GenFarm Project seeks to transform rural farming through e-powered mechanized solutions that are sustainable, reliable, and environmentally friendly.

The GenFarm Project was developed after a Memorandum of Understanding (MoU) was signed with the Rwandan government in June 2023.

Designed as a comprehensive ecosystem, it not only delivers advanced farming services but also provides mobility solutions for transporting goods and people in rural areas.

The initiative aligns with Volkswagen Group’s sustainability goals, aiming to create value for both society and the environment.

Martina Biene, Chairperson and Managing Director of Volkswagen Group Africa, highlighted the importance of the project in expanding the company’s presence in Africa. “We are increasing our footprint in Africa and see Rwanda as a key market for growth. This project showcases our commitment to sustainable practices and our ability to offer mobility solutions to rural communities, in addition to our existing services in urban areas through Volkswagen Mobility Solutions Rwanda,” Biene stated.

Partnership

The GenFarm Project is being executed in partnership with Volkswagen Mobility Solutions Rwanda and the Volkswagen Group Innovation Centre Europe.

A key element of the initiative is the Empowerment Hub (e-Hub), which is currently in a pre-Hub phase, utilizing standard containers. Construction of a permanent e-Hub is in progress, with full operations expected by 2025.

The e-Hub will be equipped with a photovoltaic power system and energy storage capabilities, providing clean energy, storage facilities, and a business platform for local cooperatives. These cooperatives will offer services such as e-tractor and e-scooter rentals.

The project adopts an innovative approach to sustainable energy through its battery swap system. Dr. Nikolai Ardey, Managing Director of Volkswagen Group Innovation, noted that this system integrates batteries into the hub’s energy infrastructure, which not only powers the tractors but also acts as a storage solution.

“We aim to provide a variety of services at the empowerment hubs. Farmers can reserve an e-tractor along with a trained driver to facilitate affordable and sustainable farming,” Ardey explained.

The GenFarm Project is supported by the Rwanda Institute for Conservation Agriculture (RICA) and Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, which provides machinery for the e-tractors and evaluates the essential services needed by local farming communities.

RICA plays a crucial role by integrating research, education, and extension services to train the next generation of Rwandan farmers.

Pilot phase

During the pilot phase, the project will primarily benefit cooperatives in Gashora, located in the Bugesera District, a region recognized for its agricultural activity.

The Rwandan government is eager to promote such initiatives, as agriculture is a fundamental pillar of the country’s economy, contributing 25% to its Gross Domestic Product.

As Volkswagen Group Africa looks to expand following the pilot phase, the GenFarm Project stands as a progressive model of technological innovation and sustainability, highlighting the transformative potential of e-mobility in rural agriculture throughout Africa.

Andile Dlamini, Head of Group Communications for Volkswagen Group Africa, affirmed that the initiative reflects the company’s commitment to enhancing livelihoods and promoting sustainable practices across the continent.