The Nigeria government has disclosed that 199,275 farmers have benefited from agricultural risk protection valued at about N700 billion in the past two years, as part of efforts to strengthen the country’s food production system.
Minister of Agriculture and Food Security, Abubakar Kyari, made the disclosure in Abuja, noting that the risk cover was provided through the Nigerian Agricultural Insurance Corporation (NAIC).
Kyari said the initiative was designed to deepen agricultural financing, reduce risks associated with farming and attract more investment into the sector, as the country intensifies efforts to boost domestic food production and reduce reliance on imports.
According to the minister, the insurance support has strengthened farmers’ capacity to manage production risks caused by climate shocks, pests, diseases and other uncertainties that frequently threaten agricultural investments.
Kyari added that NAIC’s intervention has not only protected farmers but has also stimulated activity within the agricultural insurance industry, generating N2.43 billion in premium income and paying out about N200 million in claims to farmers affected by production risks.
The minister said the development complements other federal government initiatives aimed at increasing agricultural productivity, including the distribution of more than 1.9 million bags of fertiliser to farmers, the introduction of improved crop varieties and the expansion of mechanisation services.
He also noted that investments are being made in agro-processing infrastructure while partnerships with development organisations and foreign governments are being leveraged to enhance fertiliser production, facilitate technology transfer and strengthen regulatory compliance in the sector.
“These measures are expected to strengthen agricultural value chains, attract private-sector investment and position Nigeria as a major player in global agricultural markets,” Kyari said.
He said improved access to finance, insurance coverage and modern farming inputs would enable farmers to scale up operations and transition from subsistence farming to commercially viable agribusinesses.
“The federal government has strengthened agricultural insurance and finance facilities, leveraging institutions like the Nigerian Agricultural Insurance Corporation, the Bank of Agriculture and the National Agricultural Development Fund to support farmers and agribusinesses across the country,” Kyari said.
Eze Chidiebere Paul
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