A new report has revealed that 60 per cent of smallholder farmers rely on personal savings for funding, while only 12 per cent have access to credit from government.
The report conducted by Veriv Africa also revealed that 84 per cent of surveyed farmers operate on small-land holdings of 1-4 acres.
The Co-founder, Veriv Africa, Basil Abia, said the inaugural food price baseline survey report was based on the nalysis of key agricultural sectors in Nigeria, providing crucial insights into market dynamics and the challenges faced by smallholder farmers.
The report, made available to Journalists on Sunday conducted in February 2025, engaged 543 smallholder farmers across five key states: Ondo, Kano, Niger, Kaduna, and Benue.
Abia said: “This report is a significant step towards providing stakeholders with accurate and timely market intelligence.
“Our goal is to empower policymakers, agribusinesses, and farmers with the data they need to drive sustainable growth.
“84 per cent of surveyed farmers operate on small land holdings of 1–4 acres, with 60 per cent relying on personal savings for funding and only 12 per cent accessing formal credit. Access to finance remains a critical barrier for our farmers
The report identified lack of finance (54 eor cent ), insecurity (21 per cent), and post-harvest losses (12 per cent) as the most pressing challenges.
The report revealed that baseline crop prices such as : Cocoa at ₦110,000 per 50kg bag, Sesame at ₦102,305.19 per 50kg bag, Farm-priced un-milled Rice at ₦43,750 per 50kg bag, Yam at ₦39,423.08 per 50-tuber group, Corn at ₦36,309.52 per 50kg bag, and Tomato at ₦12,500 per 50kg basket.
The report added that while 64 per cent of farmers reported feeling economically better off due to recent high crop prices, 52 per cent expressed pessimism about the sector’s future.
“We are seeing high prices now, but the costs of inputs are also rising,” a farmer from Kano stated. “It’s hard to be optimistic.”
“Despite these concerns, 82.5 per cent intend to continue cultivating their primary crops. However, those considering a switch cited high input costs, pests, diseases, and low yields as their main reasons.
“Farmers’ most urgent requests included access to finance (52 per cent), improved security (22 per cent), and subsidised inputs (19 per cent).”
The report recommended several critical interventions, including addressing farmer-herders conflicts, investing in rural infrastructure, overhauling the agricultural credit system, and reviving initiatives like the Staple Crop Processing Zones (SCPZs).
“We need to see decisive action to address these challenges. Investing in rural infrastructure and improving access to finance are crucial for the sector’s growth,” Abia emphasised.
Additionally, the report advocated for the training and deployment of 50,000 digitised agricultural extension agents by 2026 to bridge knowledge gaps.
“Providing farmers with access to modern agricultural practices is essential,” Abia concluded.
