Nigeria has launched an ambitious agricultural support programme designed to strengthen food production, improve farmer incomes and reduce market uncertainty by supporting two million smallholder farmers across the country.

The initiative, known as the Renewed Hope Smallholder Support and Value Chain Programme, brings together the Bank of Agriculture (BOA), the Federal Ministry of Agriculture and Food Security, and private sector partner Arzikin Noma Africa. The programme forms part of the government’s broader strategy to enhance food security, increase agricultural productivity and build stronger value chains.

Unlike traditional agricultural financing schemes that focus primarily on credit, the new programme provides farmers with an integrated support package that includes affordable financing, certified seeds, fertilisers, extension services, weather advisory information and access to guaranteed markets.

A key feature of the initiative is the introduction of a Guaranteed Minimum Price (GMP) mechanism, which is designed to protect farmers from volatile market prices after harvest. Under the programme, each participating farmer will be linked to a Farmer Aggregation Company responsible for supplying inputs, providing technical support throughout the growing season and purchasing harvested produce at government-approved minimum prices.

This approach is expected to reduce one of the biggest challenges facing African farmers—price uncertainty—which often discourages investment in production and limits profitability.

According to Nigeria’s Minister of Agriculture and Food Security, Senator Abubakar Kyari, smallholder farmers produce approximately 85% of the country’s food supply, making them central to achieving national food security objectives. Strengthening their access to finance and reliable markets will encourage greater investment in farming while boosting domestic food production.

The Bank of Agriculture says the programme represents a significant shift in agricultural financing by placing farmers at the centre of a comprehensive production support system rather than simply offering loans. The initiative aims to distribute more than 10 million bags of fertiliser and improved seed varieties nationwide.

Implementation is already underway, with nearly 300,000 farmers enrolled during the initial rollout. More than 1.1 million bags of fertiliser and over 16,000 metric tonnes of improved seed are currently being distributed through a network of Farmer Aggregation Companies operating across more than 20 Nigerian states.

The programme also operates a revolving financing model, allowing farmers to repay production loans after harvest. Recovered funds will then be reinvested to support additional farmers during future production seasons, creating a sustainable financing mechanism that expands over time.

Private sector participation is another important component of the initiative. By working alongside government institutions, companies involved in input supply, aggregation and market access help create stronger agricultural value chains capable of supporting long-term sector growth.

Beyond increasing crop production, the programme seeks to reduce Nigeria’s dependence on food imports while improving export competitiveness. Officials believe stronger domestic production will help stabilise food prices, generate employment, increase foreign exchange earnings and strengthen rural economies.

The initiative reflects a growing trend across Africa, where governments are moving beyond input subsidy programmes towards integrated agricultural support models that combine financing, extension services, market access and private sector partnerships. If successfully implemented, Nigeria’s latest programme could become a model for improving smallholder productivity while building more resilient and commercially sustainable agricultural systems across the continent.