Nigeria targets 10,000 farmers with $33m greenhouse investment – Businessday NG

Nigeria is targeting the deployment of 10,000 greenhouse units nationwide under a $33 million public-private partnership aimed at improving agricultural productivity, reducing climate risks and strengthening food security.

The initiative will begin with a $3 million pilot involving 1,000 greenhouse units in Kano State before expanding to other parts of the country.

The agreement was signed on the sidelines of the COP31 climate conference in Antalya, Turkey, by the Special Agro-Industrial Processing Zones (SAPZ) programme, the Bank of Agriculture (BoA) and Direkçi Group, a Turkish agricultural technology and investment company.

The signing ceremony was witnessed by Abubakar Kyari, Minister of Agriculture and Food Security; Ibrahim Yumaklı, Turkey’s minister of agriculture and forestry; and Mehdi Eker, former Turkish minister of agriculture and rural affairs.

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Under the pilot arrangement, Direkçi Group will provide $1.5 million in foreign direct investment, matched by a $1.5 million credit facility from the Bank of Agriculture for participating farmers.

The financing arrangement is intended to help farmers adopt greenhouse farming without bearing the full cost of establishing the facilities upfront.

Each greenhouse in the Kano pilot will cover approximately 240 square metres. Direkçi Group will manufacture and install the facilities, provide technical training and help farmers secure buyers for their produce.

The Bank of Agriculture will administer loans under a 36-month repayment arrangement, with an initial four-month moratorium to allow farmers establish their crops and begin earning before repayments start.

SAPZ will provide land, basic infrastructure, seeds and seedlings, mobilise farmers and coordinate the nationwide expansion.

Women and smallholder farmers are among the programme’s priority beneficiaries.

The investment comes as Nigerian farmers face climate-related disruptions, including flooding, drought, extreme temperatures and unpredictable rainfall, which affect planting seasons, damage crops and reduce farm incomes.

Greenhouse farming allows farmers to control growing conditions, including temperature and water supply, reducing their exposure to some weather-related risks. The initiative will initially focus on tomato and pepper production.

The partnership will also introduce climate-control technology, precision irrigation and modern crop management practices to improve production.

Beyond farming, the agreement includes an off-take arrangement to connect participating farmers with tomato processing factories and other industrial buyers.

Under the arrangement, buyers will purchase produce based on agreed quality, pricing and delivery conditions. This is expected to provide farmers with more predictable markets while giving processors a reliable supply of agricultural raw materials.

The partners also expect the project to create jobs in greenhouse construction, farming, transportation, processing and marketing.

Following the Kano pilot, SAPZ plans to expand the programme to 10,000 farmers nationwide, with the total investment estimated at $33 million.

Under the arrangement, government institutions will provide land, infrastructure and coordination, while private-sector partners will contribute investment, technology, financing and market access.

The success of the programme will depend on farmers’ access to financing, their ability to maintain the facilities and repay loans, as well as the availability of buyers willing to purchase their produce at commercially viable prices.

The initiative is expected to connect smallholder farmers to agricultural processing companies while supporting efforts to improve domestic food production and reduce the impact of climate change on farming.

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Businessday NG