Nigeria’s Minister of Agriculture and Food Security, Senator Abubakar Kyari, has revealed that the Nigerian Agricultural Insurance Corporation (NAIC) has provided about N700 billion in risk coverage to support 199,275 farmers across the country over the past two years.
According to the minister, the initiative generated N2.43 billion in premium income, while farmers also received N200 million in insurance claims to strengthen their resilience against agricultural risks.
Kyari made this disclosure during the 2026 Ministerial Stakeholders’ Engagement Retreat on Agricultural Transformation held in Abuja over the weekend.
Food Prices Falling Nationwide
The minister also stated that the federal government’s efforts to tackle rising food costs are beginning to show results. He said prices of essential food items have fallen by about 50 percent nationwide, a sharp contrast to previous years when food prices surged beyond the reach of many Nigerians.
Kyari explained that government reforms in the agricultural sector have also attracted millions of dollars in investments, boosting agribusiness activities and stimulating economic growth.
“These investments have improved agricultural productivity, created employment opportunities, increased farmers’ incomes and strengthened the competitiveness of Nigeria’s agribusiness sector,” he said.
He added that the government remains committed to sustaining the downward trend in food prices by addressing challenges such as high production and input costs.
Calls for Increased Agricultural Funding
At the event, stakeholders urged the federal government to increase funding for agriculture, arguing that greater investment in farming would create jobs and help reduce insecurity across the country.
Kyari acknowledged the challenges facing the sector but maintained that prioritising agriculture as a key driver of economic growth is already yielding positive results.
“Achieving sustainable agricultural transformation requires collective effort, strong partnerships and alignment of resources,” he noted.
Focus on Key Agricultural Value Chains
The minister highlighted that the government is strengthening several strategic agricultural value chains to position Nigeria as a major player in the global food market.
These include rice, maize, wheat, millet, sorghum, yam, cocoa, cassava, soybeans, cotton, onion, tomato, oil palm, cowpea and kenaf.
According to him, providing farmers with high-quality seeds, agrochemicals, pest management support and safety kits, alongside capacity-building programmes in 2024 and 2025, has significantly improved productivity and reduced losses.
“These interventions are helping farmers move beyond subsistence farming into profitable agribusiness ventures,” Kyari said.
Major Agricultural Interventions
Over the past two years, the government has implemented several initiatives to strengthen food security, including:
- Distribution of over 1.9 million bags of fertiliser to nearly one million farmers
- Promotion of sustainable soil management using 12,000 litres of organic fertiliser
- Strengthening agricultural regulations to support agribusiness growth
Kyari also highlighted major infrastructure projects designed to support agricultural development. These include:
- Construction of modern markets
- Establishment of 10 large-scale integrated processing plants across the six geopolitical zones
- Development of seven composite flour compact milling factories in different states
Supporting Innovation and Rural Development
The government has also launched agribusiness incubation centres at the Federal University, Lokoja and Michael Okpara University of Agriculture, Umudike, aimed at training entrepreneurs and promoting innovation in the sector.
Additionally, several rural development projects have been implemented between 2024 and 2025, including:
- 170 kilometres of asphalt roads and 57 kilometres of earth roads to improve market access
- 296 solar-powered and motorised boreholes to increase access to clean water
- Installation of 3,596 solar street lights to enhance security
- Construction of 69 rural housing and market facilities
Kyari said these projects are helping improve living standards, reduce poverty and stimulate economic activities in rural communities.
Strengthening Agricultural Institutions
The minister also noted that the government is strengthening key institutions such as:
- Nigerian Agricultural Insurance Corporation (NAIC)
- National Agricultural Quarantine Service (NAQS)
- Bank of Agriculture (BOA)
- National Agricultural Development Fund (NADF)
The NAQS, he added, has improved Nigeria’s agricultural export certification for 30 major agro-commodities, enabling farmers to access international markets and increase export revenues.
N250bn Credit Support for Farmers
To further support farmers, the federal government has approved a N250 billion credit facility for the Bank of Agriculture.
The fund will provide single-digit interest loans to smallholder farmers, helping them acquire modern equipment, improve mechanisation and expand food production.
Kyari explained that the initiative aims to boost productivity, improve livelihoods and strengthen national food security.
