The Minister of Agriculture and Food Security, Mohammed Kyari, has called for a rethinking of the financing model for the agric sector to achieve food sovereignty.
Kyari made this call on Tuesday at the 2025 FirstBank Agric and Export Conference, themed ‘The Fundamentals of Building a Non-Oil Export-Driven Economy’, which was held in Lagos.
The FirstBank Agric and Export Conference is one of the lender’s key initiatives to promote collaboration and innovation within the agricultural and non-oil export sectors. By providing a strategic platform for stakeholders, the conference aims to enhance the competitiveness of customers and partners in the global market.
The Minister represented by his Special Adviser (technical), Ibrahim Alkali, delivered the keynote address at the event. He noted that while the country has ambitious goals to shift from oil to value-added agribusiness, traditional credit systems and outdated risk-sharing models are holding the sector back.
“This is not an abstract policy debate; it’s a matter of national survival,” he stated. “Nigeria can’t afford to remain vulnerable to oil price shocks. We need to anchor our future on productivity, innovation, and resilience.
But vision alone won’t get us there. We need robust institutions and smart financial instruments to support agriculture and exports.”
He acknowledged FirstBank’s ongoing commitment to agricultural finance: “With dedicated agricultural finance teams, FirstBank supports the entire value chain, from primary production to processing, storage, and export. FirstBank, your leadership is not only commendable, it aligns with our national vision of opening more markets for agribusiness and driving export promotion.”
He, however, made it clear that the old credit model was no longer effective.
“We need to completely rethink how we finance agriculture. Traditional loans, while well-meaning, don’t reflect the realities of today’s farming and export markets. What Nigeria needs are performance-based mechanisms, risk-adjusted instruments, and stronger links between producers and investors.
“Across the world, innovative financing has transformed agriculture from subsistence to surplus. Nigeria can do the same if we begin to think critically and employ mechanisms such as revenue-sharing finance, agricultural loans with performance triggers, factoring forward contracts, pay-as-you-harvest mechanisms, equity financing models, and the rest. These are not abstract theories. They are working in real economies.”
Kyari added, “By embracing these instruments, we can boost our export capabilities, stabilise the naira, and unlock new opportunities for millions of Nigerians.”
He also stressed the importance of moving up the value chain.
“Raw materials generate income, but processed goods drive industrialisation, create jobs, and earn foreign exchange. For instance, Nigeria earns roughly $700m a year from raw cocoa beans, but that value multiplies up to five times when we process it into finished products. Every step we take towards value addition strengthens our economy at home and enhances our competitiveness abroad.”
Kyari highlighted the need to upgrade logistics, standards, and certification processes.
“It often costs more to transport goods from Kano to Lagos than from Lagos to Europe. Port congestion, inadequate cold-chain infrastructure, and weak compliance with global standards are costing us dearly. We must adopt a zero-reject policy, from the farm to the port, ensuring every export is certified and meets international standards.”
He concluded that non-oil export earnings are vital for macroeconomic stability. “Our currency is only as strong as our export sector. Every export shipment, whether rice, catfish, or cashew, directly supports currency stability, rebuilds reserves, and reduces inflationary pressure. Without robust non-oil exports, macroeconomic stability will remain out of reach.”
On the policy side, the Minister of Industry, Trade, and Investment, Dr Jumoke Oduwole, reiterated the administration’s commitment to accelerating non-oil exports.
Oduwole, who was represented by the Executive Director/CEO of the Nigerian Export Processing Council, Mrs. Nonye Ayeni, said, “If we don’t start transforming our raw agricultural output into globally recognised brands, we’re missing a massive opportunity.”
She emphasised the need for strong connections between farmers, SMEs, and exporters, pushing for a resilient value chain, not just talk.
“Access to affordable credit, proper insurance, and risk-sharing facilities – these are non-negotiable if we want serious investment in agribusiness,” she added.
Oduwole highlighted the National Single Window as a critical step forward.
“It’s a game-changer: it streamlines export processes, ramps up transparency, helps us meet global standards, and slashes the time and cost of doing business,” she said.
“Nigeria must lead Africa in non-oil exports and become a top player worldwide in agro-industrial value-added products. This isn’t just about hitting targets. We’re talking about millions of jobs for young people and women, empowering SMEs and rural areas, and securing reliable foreign exchange to protect us from swings in oil prices,” Oduwole asserted.
Earlier, FirstBank’s Managing Director/Chief Executive Officer, Segun Alebiosu, in his welcome address, positioned the conference as a national platform for driving economic diversification.
“This event has become a cornerstone for advancing Nigeria’s economic priorities, especially in agribusiness. Our portfolio covers the entire value chain, from production to export, and our teams are dedicated to providing tailored financial solutions that help local businesses compete globally.”
Alebiosu added, “Our objective at FirstBank is not only to finance agribusiness but also to foster partnerships that translate into measurable outcomes, more jobs, more foreign exchange earnings, and more resilience for the Nigerian economy. By fostering collaboration, driving innovation, and making strategic investments, we can unlock the full potential of our agricultural value chain and open new pathways to shared prosperity.”
Governor Babajide Sanwo-Olu of Lagos State, in his goodwill message, described the theme of the conference as “spot on”.
With global disruptions and currency volatility, he said bold diversification is essential.
“Lagos is the springboard for Nigeria’s export ambitions; our ports, logistics, and huge market give us a real edge. We’re investing in infrastructure: roads, bridges, port modernisation, and digital platforms. And let’s be clear, export competitiveness depends on access to finance. That’s where players like FirstBank are pivotal.”
He challenged participants to drive real outcomes: “This Expo can’t just be another talk shop. We need actionable strategies and partnerships that get Nigerian products onto global shelves, create jobs, and bring in foreign exchange.”
The Governor of Niger State, Mohammed Bago, at the conference, offered to dedicate and name hectares of land in Niger after Lagos to cater for the consumption demands.
He said, “I am committing 100,000 hectares of Niger State’s land to Lagos. Call it the Lagos Farm. This is not just about hectares on paper; it is about designing production according to comparative advantage. Where our soil and weather are best suited for rice, we will dedicate land specifically for Lagos’ rice needs. Where we have yams, cassava, soya beans, or livestock, we will carve out designated enclaves for each commodity. The idea is simple: instead of Lagos importing food from outside Nigeria, let us create structured, large-scale farms here in Niger that feed directly into Lagos’ food supply chain.
“We must think beyond subsistence. Farming should be a serious, commercial enterprise that guarantees food security, creates jobs, and earns foreign exchange. With this partnership, Lagos will have a reliable source of agricultural produce, while Niger leverages its vast arable land to create prosperity for our farmers and communities. This is how we link urban consumption with rural production in a win-win arrangement.”
Bago, popularly called the “Farmer Governor”, also urged investors to look into livestock farming and beyond beef, saying, “The value chain is big. Forget about the meat alone; what about the tripe, the blood, the hooves, and the skin? With LNG-powered logistics and proper processing, you should be able to walk into a supermarket and pick branded, traceable cuts. Produce and just export, and you remain perpetually broke; add value, and you determine the global price.”
