FG rolls out guaranteed prices for two million farmers

By Abubakar Yunusa

The Federal Government has launched a Guaranteed Price Model for two million smallholder farmers and commenced the distribution of over 10 million bags of fertiliser as part of efforts to tackle food insecurity and boost agricultural production across the country.
The Minister of Agriculture and Food Security, Senator Abubakar Kyari, unveiled the initiative over the weekend during the flag-off of input distribution under the Renewed Hope Smallholder Support and Value Chain Fund in Zaria, Kaduna State.
Kyari said the new model would shield farmers from exploitation by linking them to Farmer Aggregation Companies, which would provide certified seeds, fertiliser, extension services and guaranteed access to markets.
He explained that the aggregators would remain with farmers throughout the production cycle, from land preparation to harvest, before purchasing their produce at a government-approved Guaranteed Minimum Price.
According to the minister, the arrangement is designed to ensure farmers recover the cost of production and earn fair returns on their labour.
He disclosed that one-third of the beneficiaries of the agricultural inputs distributed under the programme are women.
Kyari described the initiative as a major departure from previous interventions, saying the focus was no longer just on distributing farm inputs but on creating a complete support system for farmers.
“For generations, farmers carried every risk alone. They borrowed to plant. They prayed for rain. And at harvest, they met buyers who knew they were desperate. What changes today?” he said.
Addressing the farmers, the minister added, “From now on, there is an institution beside you when you plant, and an institution beside you when you sell.”
He said the timing of the distribution was deliberate, noting that the inputs were being delivered in July to coincide with the rainy season and prevent late planting.
Explaining why Zaria was chosen for the launch, Kyari said the city remains one of Nigeria’s major farming hubs and hosts leading agricultural research institutes.
“Today’s flag-off is important because research meets the farmer, inputs meet the rains, and the harvest meets a market,” he stated.
The minister also commended the Managing Director of the Bank of Agriculture, Mr Ayo Sotinrin, for ensuring the timely delivery of the farm inputs.
He revealed that participating aggregation companies had expanded their farmer base from about 3,000 to over 400,000, with a target of reaching one million farmers by 2030.
Reaffirming the government’s commitment, Kyari assured farmers that they would not be abandoned after planting.
“A nation that cannot feed itself holds its independence on loan. Putting the farmer first is not sentiment; it is strategy,” he said, urging farmers to maximise the opportunity and hold the government accountable at harvest.
Speaking at the event, the Group Managing Director of Arzikin Noma Africa, High Chief Adeoluwa Michael Adeshola, said the programme aims to reach two million smallholder farmers nationwide while deploying over 10 million bags of fertiliser.
He added that the initiative would ensure farmers receive quality agricultural inputs at the right time and in the right quantities to improve productivity.
Also speaking, the Managing Director and Chief Executive Officer of the Bank of Agriculture, Mr Ayodeji Oludare Sotinrin, said the bank was building an integrated agricultural ecosystem that provides quality inputs, affordable financing, mechanisation, aggregation systems, structured markets and value chain partnerships.
He noted that agricultural transformation could only succeed when every segment of the value chain works together to improve productivity and farmers’ incomes.
Sotinrin disclosed that nearly 300,000 farmers had already been enrolled in the programme, while more than 1.1 million bags of fertiliser and over 16,470 metric tonnes of improved seeds were being distributed through 20 Farmer Aggregation Companies operating across 20 states.
He added that 15 accredited input suppliers had been mobilised, creating jobs, strengthening local businesses and stimulating economic activities in rural communities.