The Federal Government has unveiled a financing programme aimed at sharply raising Nigeria's grain output, targeting an increase from about 11 million tonnes a year to 25 million tonnes as part of efforts to strengthen food security and cool food inflation, according to Channels Television.
Credit, Inputs and a Price Floor
The Renewed Hope Smallholder Agricultural Financing Programme, launched in Zaria, Kaduna State, and implemented by the Bank of Agriculture, will provide affordable credit, subsidised fertilisers, certified hybrid seeds and extension support through a revolving credit model, Punch reported. About two million farmers are expected to benefit through registered aggregators, who will also operate a Guaranteed Minimum Price mechanism designed to shield growers from exploitation after harvest, according to The Guardian.
Betting on Production Over Imports
The Minister of Agriculture and Food Security, Abubakar Kyari, reaffirmed that the government intends to tackle food inflation by increasing domestic production rather than relying on imports, noting that although nearly 90 per cent of Nigerian farmers cultivate less than one hectare, they account for about 85 per cent of the country's food, as allAfrica reported. The Bank of Agriculture Managing Director, Ayodeji Oludare-Sotinrin, said the single-digit-interest facility would expand smallholders' access to finance nationwide.
Whether a bigger grain harvest reaches the market depends on execution across a long value chain. FoodPrices Nigeria tracks verified retail prices for grains and staples across Lagos markets, the ground-level test of whether higher output eases the cost of feeding a household.
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