Addressing the event, Vukovar County Prefect Bozo Galic said that the 61.5 km canal would connect the Danube and the Sava from Vukovar to Samac.
The construction of the canal is estimated at 4.5 billion kuna.
Currently, construction plans and building licences are being prepared for this project.
The canal will help in the irrigation of about 35,000 hectares of arable land in Vukovar County.