Nigeria’s agricultural sector reached a massive turnover of N101.46tn in 2025, climbing from N96.46tn the previous year.
This growth, driven by an intensified investment drive, saw the sector’s annual real growth rate jump from 1.69% to 2.92%.
Data from the National Bureau of Statistics (NBS) highlights a 5.18% increase in the sector’s nominal contribution to the GDP. Stakeholders attribute this surge to renewed investor interest and supportive government policies, such as strategic importation waivers that encouraged market activity.
Crop production remained the heavy hitter of the industry, contributing N64.41tn to the total turnover.
Livestock followed with N25.66tn, while the forestry and fishing sub-sectors generated N6.47tn and N4.92tn, respectively, rounding out the sector’s record-breaking performance.
Tunde Banjoko of the Lagos Chamber of Commerce credited the private sector for this momentum. He noted, “We can attribute this growth to the investments in agriculture from the private sector in recent times… going into processing, palm plantation, cocoa plantation, and cocoa processing.”
However, the success has been a double-edged sword for local producers. While importation waivers helped lower food prices for consumers, Banjoko warned that these policies often crashed local market prices, discouraging many farmers from continuing their production.
Dr. Muda Yusuf, Director of the CPPE, echoed these concerns regarding the government’s food security strategy. He observed that while the decline in food inflation is a win for the public, it has led to “heavy losses arising from the collapse in prices of key commodities” for investors.
The influx of imported staples like rice and maize has created a difficult environment for those working the land. Yusuf stressed that Nigeria cannot afford a policy regime that undermines the confidence of its most strategic economic sector by prioritizing short-term affordability over long-term stability.
To sustain this N101tn trajectory, experts are calling for a “Farm Price Stabilisation” framework. They argue that the government must find a balance that keeps food affordable for the masses while guaranteeing that local farmers receive a fair, protected price for their harvests.
Read more on Economic Confidential
