Abubakar Kyari: FG Has Provided N700bn Risk Cover to Farmers, Generated N2.43bn Premium Income, Paid N200m Claims 

·       Says FG’s policy efforts crashed essential food prices by 50%

·       Stakeholders seek improved spending on agriculture 

James Emejo in Abuja

 Minister of Agriculture and Food Security, Senator Abubakar Kyari, has disclosed that the Nigerian Agricultural Insurance Corporation (NAIC) had provided N700 billion risk cover to support 199,275 farmers, generating N2.43 billion premium income within the last two years.

 The minister also stated that the corporation paid N200 million in claims to boost farmers’ resilience.

He spoke at the 2026 ministerial stakeholders’ engagement retreat on agricultural transformation over the weekend in Abuja.

Kyari further declared that the federal government’s efforts to contain food inflation had started to pay off, adding that prices of essential food commodities had dropped by 50 per cent nationwide.

This, he said, was in contrast to previous years when food prices skyrocketed way beyond what most Nigerians could afford.

He said the government’s efforts had also attracted millions of dollars in investments across various agribusiness ventures, injecting much-needed capital into the sector and stimulating economic growth.

The minister said, “This support has not only boosted agricultural productivity but also created jobs, increased incomes, and enhanced the overall competitiveness of Nigeria’s agribusiness sector, paving the way for a more prosperous and sustainable agricultural future.

“These efforts reflect our commitment to improving food security and the overall well-being of citizens. We are working to sustain this trend by addressing high input costs to ensure food remains accessible and affordable.”

This came as stakeholders urged the federal government to boost current funding to the sector than it spends on security, noting that when jobs are created through agriculture, it will naturally reduce insecurity across the country.

Kyari however, noted that by prioritising agriculture as a key driver of economic growth, the government’s efforts are yielding results.

He stated that while challenges persist, the federal government continued to work tirelessly to overcome them, stressing however, that achieving these goals required a collective effort, sustained energy, partnership, and alignment of our initiatives and resources.

Kyari said, “We will continue to collaborate with stakeholders, leveraging resources and expertise to drive growth and transformation in Nigeria’s agricultural sector. Together, let us build on our achievements and tackle the challenges ahead.

“Our strategic focus on developing key value chains is positioning Nigeria as a major player in the global agricultural market. We have prioritised and developed the rice, maize, wheat, millet, sorghum, yam, cocoa, kenaf, cowpea, cassava, soybeans, cotton, onion, tomato, and oil palm value chains, thereby creating opportunities for millions of smallholder farmers and other stakeholders.”

He pointed out that provision of high-quality seeds, agrochemicals, safety kits, pest and disease management packs, coupled with capacity building initiatives undertaken in years 2024 and 2025 had significantly bolstered the agricultural value chains.

He said, “These interventions have empowered farmers to boost productivity, reduce losses, and improve produce quality, ultimately enhancing their livelihoods and contributing to a more robust agricultural sector.

“By enhancing their productivity, we have helped these farmers to transition from subsistence farming to thriving agribusinesses, contributing to national food security, employment generation, and economic growth.”

The minister further noted that in the last two years, the federal government had boosted agricultural productivity and food security through various initiatives, including the distribution of over 1.9 million bags of fertilisers to nearly one million farmers, promoting sustainable soil management with 12,000 liters of organic fertilizers, and strengthening regulatory frameworks.

Among other things, he said efforts have been made to create a conducive environment for agribusinesses to flourish nationwide, highlighting a two-year notable achievement that included the construction of modern markets, establishment of 10 large-scale integrated processing plants across the six geopolitical zones, and setting up of seven composite flour compact milling factories in various states.

In addition, he said two agribusiness incubation centers had been launched in Federal University, Lokoja and Micheal Okpara University of Agriculture, Umudike, complemented by training and capacity building programmes for stakeholders, empowering them to drive growth and innovation in the sector.

He said, “Our poverty alleviation initiatives are making a tangible impact, targeting vulnerable groups and improving food access. As we move forward, we are intensifying our focus on supporting food and nutrition programmes and enhancing quality control measures.

“We are committed to inclusivity, ensuring that every Nigerian benefits from agricultural growth. As part of efforts to drive rural development, substantial progress has been made in enhancing infrastructure and improving living standards.

“Key achievements from 2024–2025 include constructing approximately 170km of asphalt roads and 57km of earth and surface roads, boosting connectivity and market access.

“Additionally, 296 motorized and solar-powered boreholes have been provided, alongside water treatment plants, to improve access to clean water. The installation of 3,596 solar street lights has enhanced security and mobility, while 69 rural housing and market facilities have been built to support economic activities, reduce poverty, and improve the quality of life for rural communities.”

He said, “Our government has made notable progress in transforming Nigeria’s agricultural landscape. We are strengthening agricultural institutions, repositioning them to drive food security and upscale production.

A key area of focus has been strengthening agricultural insurance and finance facilities, leveraging institutions like NAIC, National Agricultural Quarantine Service (NAQS), Bank of Agriculture (BOA), and National Agricultural Development Fund (NADF).

“The Nigerian Agricultural Quarantine Service has achieved a significant milestone in enhancing Nigeria’s agricultural export certification for 30 key agro-commodities. This success has strengthened the country’s food systems transformation efforts, enabling farmers to access lucrative international markets, boost export revenues, and contribute to the nation’s economic growth.”

He said, “By ensuring compliance with global phytosanitary standards, the quarantine service is paving the way for increased agricultural exports, improved food safety, and enhanced competitiveness of Nigerian agricultural produce worldwide.

“The federal government has granted a N250 billion facility to the Bank of Agriculture (BOA) to support smallholder farmers in Nigeria, providing them with access to credit at a single-digit interest rate.

“The goal is to boost agricultural productivity, enhance food security, and empower farmers with modern equipment and inputs. Specifically, the facility will support food production, enhance mechanization and improve livelihoods.”