Nigeria’s agricultural sector faces challenges due to increased production costs

1 Min Read

Nigeria’s agricultural sector, encompassing crop production, livestock, forestry, and fishing, contributes significantly to the nation’s GDP, with a notable share of 23.69% in 2022. However, this contribution witnessed a decline, falling to 19.63% in the first quarter of 2023. This sector, crucial for Nigeria’s economy, faces challenges including increased production costs due to the removal of fuel subsidies, insecurity preventing farmers’ access to their lands, climate change, the Naira redesign, and inadequate storage infrastructure. These issues have escalated food inflation to 35.41% in January 2024.

Addressing these multifaceted challenges requires strategic interventions, with technology and innovation playing a pivotal role. Digital marketplaces emerge as a technological solution, potentially revolutionizing Nigeria’s food system by enhancing the connectivity between farmers and consumers, thus mitigating post-harvest losses and improving profit margins for farmers. These platforms can provide farmers with crucial information on market prices, weather conditions, and best practices, addressing the current inefficiencies in distribution networks and information dissemination.


Share This Article
Leave a comment