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Federal Government Pushes for Agro-Industrialization to Drive Economic Growth

Published on by Sentinel Digest Editorial

Federal Government Pushes for Agro-Industrialization to Drive Economic Growth
Federal Government Pushes for Agro-Industrialization to Drive Economic Growth

The Federal Government has restated its dedication to converting Nigeria's agricultural sector into an industrialised and wealth-generating economy. This announcement was made during the 48th Regular Meeting of the National Council on Agriculture and Food Security held in Enugu State.

The Federal Government has reiterated its dedication to transforming Nigeria’s agricultural sector into an industrialised and wealth-generating economy capable of driving employment and fostering national economic expansion beyond mere food production.

Dr Marcus Ogunbiyi, the Permanent Secretary of the Federal Ministry of Agriculture and Food Security, made this assertion on Monday during the Technical Session of the 48th Regular Meeting of the National Council on Agriculture and Food Security (NCAFS), hosted at Hotel Presidential in Enugu.

Speaking at the opening ceremony, Ogunbiyi explained that the administration is committed to building robust agricultural value chains that seamlessly link farmers with processors, manufacturers, and broader markets to unlock economic potential nationwide.

What is the purpose of the National Council on Agriculture and Food Security?

The Council serves as the premier policy coordination forum for both federal and state authorities regarding agriculture and food security. It functions as a mechanism for reviewing sector developments, harmonizing policies, and agreeing upon practical remedies to challenges facing the nation's food systems.

According to Ogunbiyi, the theme for this year's gathering, “Enhancing Agricultural Value Chains, Agro-Industrialization, and Market Access for Economic Growth,” is both strategic and well-timed. He noted that the objective extends far beyond increasing food volume, stressing the necessity of establishing an agricultural economy that bolsters industries and aids national development.

Why is raw commodity export a challenge for Nigeria?

The Permanent Secretary expressed concern that a substantial share of Nigerian agricultural produce continues to be sold in raw or minimally processed states. This practice leads to missed opportunities for boosting farmers' incomes, advancing industrialization, and increasing export revenue.

To address this, the government is prioritizing the enhancement of commodity- based value chains and processing facilities for key items, including rice, cassava, maize, sorghum, cocoa, oil palm, sesame, ginger, tomatoes, livestock, and fisheries.

How is market access being expanded?

Ogunbiyi highlighted the necessity of improving agricultural aggregation, refining market information networks, promoting strict product standards, and taking full advantage of the African Continental Free Trade Area (AfCFTA).

While the federal authorities provide regulatory direction, research, and innovation, state administrations remain vital for mobilizing farmers, allocating land and infrastructure, and fostering an enabling environment for agribusiness investments.

He assured stakeholders that the push for agro-industrialization will not compromise nutrition security, farmers' livelihoods, or the inclusion of women and youth. Planned interventions include climate-smart farming, mechanization, irrigation, and expanded access to affordable credit.

State-level agricultural initiatives

Representing the host state, Mrs Ifeoma Onu, Deputy Director of Administration and Supply at the Enugu State Ministry of Agriculture and Agro- Industrialisation, detailed the state’s agricultural agenda under Governor Peter Mbah. She noted that Enugu is actively shifting from subsistence farming to commercial and mechanised agriculture through a 300,000-hectare agricultural land bank, Smart Farm Estates across all 17 local government areas, the 260 Farm Estate Programme, and a newly established tractor assembly plant.

Meanwhile, Idris Mohammed, Senior Strategic Partnerships and Business Development Coordinator for the International Fertilizer Development Center (IFDC), commended the Federal Government's reform efforts. He pointed out the Council's backing of the NIRSAL Credit Risk Guarantee expansion for tomato plastic crates from 30 percent to 50 percent—reaching up to 75 percent for specific beneficiaries—which aims to mitigate financing risks and curb post-harvest losses.

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