The federal government has unveiled a $3.14 billion agricultural investment portfolio under the Food and Agriculture Organisation (FAO) Hand-in-Hand Initiative.
The initiative targets five high-impact value chains of tomato, cassava, maize, dairy and fisheries.
Minister of Agriculture and Food Security, Senator Abubakar Kyari, made this known Wednesday in Abuja during the National and Sub-Regional Hand-in-Hand Investment Forum to enhance agriculture investment in West Africa and the Sahel.
He said the, “initiative would eradicate poverty, end hunger, and build resilience in rural communities, achieve food sovereignty, align with global frameworks such as the Sustainable Development Goals (SDGs) and the Africa Union’s Comprehensive Africa Agriculture Development Programme (CAADP) Action Plan.”
A statement by the Assistant Chief Information Officer, Department of Information, Obe M. Mabel, further said “the investment pipeline, backed by $1.75 billion in government funding and $1.39 billion in private sector commitments with an average internal rate of return of 14 percent, is designed to lift millions out of poverty, create jobs, and enhance food and nutrition security.”
He added that the portfolio would also deliver climate gains, noting that “Per capita incomes will rise by as much as $657 and we will contribute to global climate goals by sequestering over 1.2 million tonnes of carbon.
“With 70 million hectares of agricultural land, of which only 20 percent is cultivated, and irrigation potential of over three million hectares, Nigeria represents one of the most compelling agricultural investment destinations in Africa.
“We are investing in Special Agro-Industrial Processing Zones, expanding cold chain logistics, recapitalizing the Bank of Agriculture, and promoting local manufacturing of inputs and equipment.”
The minister said that investors would leverage tax incentives, exemptions on agricultural machinery imports, pioneer status tax holidays, and credits for firms sourcing raw materials locally.
In his remarks, FAO Country Representative in Nigeria and ECOWAS, Dr. Hussein Gadain, applauded Nigeria’s commitment to the Hand-in-Hand Initiative, describing it as a vehicle for achieving the SDGs and Africa’s vision as outlined in the Kampala Declaration.
Gadain lauded the Nigerian government’s leadership, particularly the Vice President Kashim Shettima’s role in mobilising investment and innovation, as well as the ministry’s work in developing bankable investment cases across critical value chains.
“We have seen significant strides in matching private sector players, bilateral and multilateral partners with Nigeria’s clear agricultural development priorities. These are not just commitments on paper; they are tangible investments beginning to drive transformative growth,” he said.
He stressed that Nigeria’s involvement in the Hand-in-Hand for the Sahel sub regional initiative on water and irrigation is ‘a game-changer’, unlocking agricultural and fishery potentials while building climate resilience.
The FAO also appreciated the role of Nigeria’s ministries of Water Resources, Budget and Planning, and Livestock Development in advancing the initiative while calling for deeper collaboration with development partners and private investors.
In his goodwill messages, the Head of the European Union Delegation in Nigeria, Mr Gautier Mignot, stated that the Hand-in-Hand Initiative reflected Nigeria’s strong commitment to strengthening food security and deepening investment across the agribusiness value chain.
He pledged that the EU would deepen collaboration with Nigeria to ensure that irrigation becomes a pathway for economic growth and agricultural transformation.