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On food price crash, farmers fault FG’s order as agro-imports hit N2.2tn

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Nigeria’s agricultural import bill soared to N2.22tn in the first half of 2025, drawing strong criticism from farmers, rice millers, and stakeholders who argue that the Federal Government’s policies are undermining local production and worsening food insecurity.

The stakeholders also criticised the recent order by President Bola Tinubu to reduce food prices. On September 11, 2025, it was reported that Tinubu ordered a Federal Executive Council committee to further crash the prices of food items across the country.

The Minister of State for Agriculture and Food Security, Sabi Abdullahi, stated this in Abuja, while presenting a paper at a one-day capacity-building workshop for journalists covering the Senate. He said the President’s order would be enforced to further crash prices of food items by ensuring the safe passage of products through various routes across the country.

“I can say it on good authority to you that the President has given a matching order to a Federal Executive Council committee already handling it. On how we are going to promote the safe passage of agricultural foods and commodities across our various routes in the country.

“We are aware, and I’m sure, as media, you are also aware, there are routes through which commodities are taken before they are delivered. If you know the amount of money that is being spent, you can now understand why those commodities have to be expensive at the point of delivery. So, we are working very hard, and we are doing quite a lot. But I’ve just given you a snippet because I’m here, and I felt we should look at that,” Abdullahi had stated.

But this Presidential directive has sparked criticism from farmers and rice millers, who argue that mere pronouncements cannot override market forces or compensate for poor planning.

“The cost of food will go down if transport costs go down, but that alone is not enough,” the National President of the All Farmers Association of Nigeria, Kabir Ibrahim, explained. “Our farmers are complaining that the prices are so low that they cannot buy fertiliser. The importation has dealt with our farmers.”

Rice millers push back

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Chairman of the Competitive African Rice Forum, Peter Dama, faulted the government’s approach, saying it risks alienating private operators and discouraging investment. “The President is dealing with private organisations and companies. You don’t just come out and give an order to crash prices. It doesn’t work that way”.

“At best, the government should have called stakeholders in the transport and agric sectors, discussed with them, and provided subsidies.

Pronouncements without engagement will not work.”

Dama warned that persistent importation and lack of subsidies were forcing many farmers to abandon agriculture. “If you don’t provide inputs and only make pronouncements, farmers will quit. We are not in an autocratic government. Stakeholders must be carried along.”

Tractors still undistributed

Beyond importation and price directives, stakeholders also pointed to delays in mechanisation efforts. In July 2024, the government launched 2,000 tractors to support farmers, but more than a year later, none have been distributed.

Ibrahim said farmers were growing impatient. “The tractors have not been distributed yet. They were launched in July, but up to now, no modalities have been given. We need them to support human labour with machine power.”

An official in the Ministry of Agriculture, who asked not to be named due to the lack of authorisation to speak on the matter, confirmed that modalities for distribution were awaiting presidential approval.

“We are waiting for the presidency. The minister has submitted a distribution list for approval. We expect to flag it off soon. But people must understand that such directives take time because they involve trade, finance, customs, and investment ministries. A technical committee will be set up to address stakeholders’ concerns.”

Purchasing power concern

While the government insists that food price crashes will take time, stakeholders maintain that weak purchasing power remains the biggest obstacle.

Ibrahim stressed, “What we are telling the government is that it is the purchasing power of the Naira that is causing problems. Even if food prices fall, people don’t have the money to buy. That’s why you are not seeing any impact.”

His view was echoed by other stakeholders, who warned that without urgent subsidies for inputs and stronger consumer purchasing power, Nigeria risks deepening its food insecurity.

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N2.22tn agric imports

Data from the National Bureau of Statistics revealed that agricultural imports stood at N1.04tn in the first quarter of 2025, before climbing to N1.18tn in the second quarter. The second quarter figure represented a 32.6 per cent year-on-year increase from N893.25bn recorded in Q2 2024, and a 14.35 per cent rise from Q1 2025.

Comparatively, the value of agricultural imports in the first half of 2024 was N1.81tn, indicating a 22.65 per cent rise within one year. Despite this surge, food prices remain high, and farmers say government interventions have created distortions that leave both producers and consumers worse off.

The sharp rise in imports followed the Federal Government’s introduction of a 180-day duty-free window in July 2024, which allowed licensed millers and firms with backward integration programmes to import staple foods such as maize, husked brown rice, wheat, beans, and millet without paying duties, tariffs, or related taxes.

The policy, designed by President Bola Tinubu’s administration as a stopgap measure against worsening food inflation, ended in December 2024. While the government said it aimed to crash food prices, stakeholders insist the initiative failed to deliver relief.

AFAN president, Ibrahim, argued that the waiver policy only triggered massive importation without addressing Nigerians’ weakened purchasing power. “There must be a rise in imports because there was a 180-day duty-free window. People rushed to import food, but Nigerians have no money to buy it. Even though prices are going down, purchasing power is low, and that is the reality,” Ibrahim said.

According to him, the unsold food glut now affects both government silos and private warehouses. “Government itself is left with food in silos. They bought rice and paddies, but are they selling? Unless we fix systemic issues in customs, transport, and governance, we cannot get results.”

The fallout from duty-free importation has hit local farmers hard. Ibrahim noted that maize, which once sold for about N60,000 per tonne before the duty-free policy, now goes for about N30,000, leaving farmers unable to recover input costs. “Our farmers are not happy; they are not even back to their farms now because maize prices have collapsed. They cannot buy fertiliser, and the effect is adverse,” he said.

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National Secretary of the Small-Scale Women Farmers Organisation in Nigeria, Chinasa Asonye, highlighted how high input costs and poor-quality subsidised products have crippled production. “Fertilisers and herbicides have become unaffordable. Some of the subsidised inputs distributed were expired and caused more harm than good. Government must subsidise inputs so farmers can produce at a reasonable cost,” Asonye said.

She warned that hoarding by traders and government agencies worsened the food crisis. “Some people stored grains in silos expecting to sell when prices rise, but the reverse happened. Grains bought at N140 per kg now sell for N70, and many are running at a loss. Worse still, some imported rice sold at N48,000 has weevils and is not even edible.”

Way forward

Stakeholders agreed that piecemeal interventions—whether through duty-free waivers, directives to crash food prices, or delayed tractor distribution—cannot sustainably address Nigeria’s food crisis.

Dama cautioned, “Yes, reducing transport costs will bring some relief. But the government must also engage rice millers, farmers, and private investors. Import licences should not replace real investment in local production. If we continue like this, we will never be food-secure.”

Asonye added that small-scale farmers, especially women, face the greatest risks. “If farmers cannot break even, they will abandon production or resort to strike actions. That will deepen the food crisis.”

With agricultural imports climbing to N2.22tn in just six months and local farmers struggling with input costs, storage challenges, and poor purchasing power, the outlook for Nigeria’s food sector remains fragile.

The government maintains that its food price crash directive, mechanisation push, and import substitution efforts will eventually ease the burden on citizens. But for farmers and millers, patience is running thin.

Unless subsidies, infrastructure support, and stakeholder consultations become central to government policy, experts warn that Nigeria’s reliance on imports will continue to rise—at the expense of local production and long-term food security.

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How Moniepoint customers can check eligibility for FG’s ₦50,000 relief support

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Moniepoint Microfinance Bank says eligible customers can now check their status and access the Federal Government’s ₦50,000 emergency relief support through its Unstructured Supplementary Service Data (USSD) channel.

The bank said in a statement issued on Wednesday that “customers could dial *5573*27# from their registered phone numbers and select the option to check their eligibility for the National Emergency Relief and Stabilisation Intervention (NERSI).”

It said customers confirmed as beneficiaries would be guided through the steps to accept the support and receive the funds into their Moniepoint accounts at no additional cost.

The intervention, led by the Federal Ministry of Humanitarian Affairs and Poverty Reduction, is designed to provide direct financial assistance to vulnerable households to help them meet essential needs amid prevailing economic pressures.

On Tuesday, PUNCH Online reported that that FG had begun payment to eligible Nigerians.

Moniepoint said it was “among the payment providers selected by the Federal Government to facilitate the disbursement of the relief funds.”

It explained that beneficiary selection was based on the government’s eligibility criteria and verification processes, which relied on verified national identity records and the National Social Register.

The bank noted that the programme was being implemented in phases across the country, adding that not all customers would qualify or be selected at the same time.

What moniepoint customers should know?

Babatunde Olofin, Managing Director and Chief Executive Officer of Moniepoint Microfinance Bank, said the “bank was pleased to support eligible customers in receiving assistance under the government initiative.”

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Olofin said Moniepoint would deploy its technology and financial infrastructure to make the process accessible, seamless and secure.

He urged “customers to use only the bank’s official USSD channel when checking their eligibility or accessing the funds.”

He added that the process required “no additional payment, documentation or third-party intervention.”

The bank also advised customers with enquiries to contact its customer service team or the NERSI helpdesk.

Moniepoint said its nationwide network of financial services infrastructure, including Point-of-Sale terminals across the country’s 774 local government areas, would support efforts to extend access to the intervention.

Source: punchng.com

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$196m NIN funds unspent, FG seeks extension

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The Federal Government has requested another 12-month extension of Nigeria’s $430 million digital identity project as approximately $196m of its financing remains undisbursed and National Identification Number (NIN) issuance trails the target by 59 million.

This is contained in a World Bank restructuring paper dated 22 October, 2026, obtained by The PUNCH from the bank’s website on Wednesday.

The proposed extension would move the Nigeria Digital Identification for Development Project’s closing date from 31 December, 2026, to 31 December, 2027.

“The proposed Level 2 restructuring seeks to extend the project closing date by 12 months, as requested by the Government on May 8, 2026,” the report stated.

“This would be the third closing date extension under this project since Board Approval in February 2020, for the cumulative period of 42 months (3.5 years).”

The project was originally scheduled to close in June 2024 before receiving a six-month extension and another two-year extension.

An analysis by The PUNCH showed that approximately $196m, representing 45.6 per cent of the financing, remained undisbursed after total disbursements reached about $234m.

“The overall project disbursement rate inclusive of co-financiers stands at approximately $234m or 54.4 per cent,” the bank stated.

The financing comprises $115m from the World Bank’s International Development Association, $100m equivalent from the French Development Agency and $215m equivalent from the European Investment Bank.

The undisbursed balance therefore covers all three financiers. The report’s financing summary separately puts IDA’s undisbursed balance at $18.83m.

Approved in February 2020 and effective from December 2021, the project seeks to expand access to identification and services through a secure, inclusive national identity system.

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However, about 121 million people had received NINs by September 30, 2026, against the 180 million target, leaving a shortfall of 59 million.

Although this represents an increase of approximately 84 million from the baseline, NIMC must substantially accelerate enrolment to meet the target.

“NIMC reconfirmed the commitment to reach the target of 180 million noting that this would require an increase in monthly enrollment rates from the current average of 1.5 million to 3.9 million,” the report stated.

This implies a 160 per cent increase in monthly enrolment.

The bank also distinguished enrolment records from successfully generated NINs, noting that more than 140 million enrolments had been recorded by September 14, but only 121 million had completed biometric and demographic validation and duplicate checks.

Women and children remained behind their respective targets. As of June, 40.4 million women and girls had NINs against a target of 79 million, while 26.3 million children under 16 had NINs against 60.83 million.

The report identified unpaid enrolment partners as another constraint, stating that the billing system must produce audited payment reports to enable payments to partners “which have not been paid since January 2026.”

Other priorities include deploying 7,000 procured mobile devices by January 2027, training agents, expanding ward-level enrolment nationwide and beginning school enrolment by December 2026.

The ward campaign had generated 10 million NINs since March, according to the report.

A major reason for the extension is the delayed replacement of NIMC’s existing technology with the National Identity Management System 2.0.

The contract was signed on September 15, 2026, following lengthy procurement. Implementation, normally requiring approximately 18 months, was compressed into 15 months, with full deployment and data migration scheduled for December 15, 2027.

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The new platform would replace fragmented proprietary systems with an open-source system designed to improve capacity, interoperability and data protection.

Although NINAuth was launched in May 2025, the project’s digital authentication targets remained unmet pending integration into the new platform.

The bank warned that failure to extend its involvement would also halt implementation by the other financiers.

“If the project is not extended by WBG, all other co-financiers will also close,” it stated.

Source: punchng.com

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Read how FG selects beneficiaries for N50,000 relief

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The Federal Government has explained how it selects beneficiaries for its N50,000 cash relief under the National Emergency Relief and Stabilisation Intervention.

The clarification comes as payments continue and many Nigerians seek to understand how the government identifies recipients and determines their eligibility.

According to information on the Federal Ministry of Humanitarian Affairs and Poverty Reduction’s NERSI website, sighted by PUNCH Online on Wednesday, beneficiaries are selected from verified national identity records and the National Social Register.

“Beneficiaries are selected from verified national identity records and the national social register, then screened to reach poor and vulnerable households,” the website states under its eligibility and selection section.

The National Identification Number (NIN) is issued by the National Identity Management Commission (NIMC) after enrolment.

It is used to verify an individual’s identity and is linked to the mobile wallet through which selected beneficiaries receive the relief.

The National Social Register (NSR), on the other hand, is a database of poor and vulnerable households in Nigeria, coordinated by the National Social Safety-Nets Coordinating Office.

According to NASSCO, the register contains data on more than 70 million individuals.

It said registering vulnerable persons is a multi-process activity that begins with states identifying their poorest local government areas and communities, after which trained teams work with residents and community leaders to identify vulnerable households.

The identified households are then registered digitally and assessed using poverty indicators.

Those ranked within the bottom six deciles may qualify for inclusion in the National Beneficiary Register, which is used for programmes such as cash transfers.

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Enrollment in both NIMC and NSR is a prerequisite for being selected for N50,000 cash relief, according to NERSI.

However, the office does not provide further details on the specific screening criteria used to determine relief recipients.

It stresses that Nigerians cannot apply or pay to be included in the beneficiary list.

“You cannot apply or pay to be added,” the website says. “Not everyone is in the first group. Your data is used only for this programme.”

The Humanitarian Assistance Programme is described as the Federal Government’s shock-responsive cash transfer initiative for poor and vulnerable households. It provides financial support through mobile wallets.

“Under NERSI, selected beneficiaries receive support of ₦50,000 into a mobile wallet,” the website explains. “It is a grant from the Federal Government. You do not pay it back.”

According to the office, selection is based on need and covers all six geopolitical zones, regardless of religion, ethnicity or political affiliation. Payments are made in phases, meaning beneficiaries are not contacted at the same time.

PUNCH Online reported that the Minister of Humanitarian Affairs and Poverty Reduction, Dr Bernard Doro, announced the commencement of disbursement in a statement on October 30.

Nigerians can check if they are selected through the approved providers by dialling their USSD codes: ALAT by Wema (*945*23#), MoMo PSB (*671*0#), NairaGram (*726*00#), OPay (*955*20#) and Moniepoint (*5573*27#).

Source: punchng.com

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