The Federal Government has called for increased collaboration with the private sector to tackle Nigeria’s agricultural production challenges, citing the sector’s pivotal role in unlocking the nation’s potential.
This appeal was made by the Minister of Agriculture and Food Security, Abubakar Kyari, via a video address at the Food and Energy Security in Africa Conference held in Lagos. The event was organized by White & Case LLP in partnership with the African Development Bank (AfDB) and the Nigerian Sovereign Investment Authority (NSIA).
Driving Agricultural Transformation Through Private Investment
Kyari emphasized that private sector investment in advanced technologies, modern infrastructure, and value-added processing is essential for achieving transformative growth in agriculture. He acknowledged, however, that these investments are often fraught with risks.
“To mitigate these challenges, the Federal Government is introducing policy reforms and de-risking mechanisms, including credit guarantees, insurance schemes, and blended finance solutions, to foster a stable investment climate,” Kyari stated.
He highlighted potential investment opportunities in renewable energy for agriculture, such as solar-powered irrigation systems and cold storage facilities. These innovations address both energy and food security challenges, promising significant returns for private investors.
Collaboration Key to Addressing Food Security
Kyari urged a unified effort involving government entities, private organizations, development partners, and civil society to build a resilient and inclusive agricultural sector.
“No single entity can solve the food security challenge alone. Let us pool our resources and expertise to ensure access to affordable and nutritious food for our citizens,” he said.
Africa’s Agricultural Paradox
During the conference, Deji Adegoke, Partner and Head of Africa Practice at White & Case LLP, presented alarming statistics highlighting the continent’s underutilized potential.
“Africa holds 60% of the world’s arable farmland, yet contributes only 10% to global agricultural output. This is a deeply concerning disparity that requires urgent attention,” Adegoke noted.
He stressed the need for significant investment to bridge the agricultural funding gap, urging international financial institutions like the International Finance Corporation (IFC) to play a more active role across the agricultural value chain, particularly in Nigeria.
Rule of Law as a Catalyst for Economic Growth
Also speaking at the event, the Attorney General and Minister for Justice, Lateef Fagbemi, linked the rule of law to economic development.
“The rule of law provides the foundation for economic activities. Investors need assurance of fairness and legal adherence to commit to long-term investments,” Fagbemi explained.
Nigeria’s Agricultural Future
With 70% of Africa’s population employed in agriculture, the sector holds immense potential to drive economic growth and improve food security. The Federal Government’s efforts to attract private sector participation through policy reforms and de-risking mechanisms underscore its commitment to revitalizing Nigeria’s agricultural sector.
As stakeholders unite to address these challenges, the focus remains on transforming Nigeria into a hub of agricultural innovation and productivity, ensuring a sustainable future for its citizens.
