A growing food crisis has plunged 31 Nigerian states into distress, with the North East emerging as the epicenter of the challenge. The crisis, linked to soaring production costs and rising food prices, poses significant threats to national food security despite slight improvements in agricultural output and mechanization efforts.
The alarming state of affairs was highlighted during an Economic Management Team (EMT) meeting in Abuja, where top government officials, including the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, convened to address pressing economic issues.
Rising Costs and Escalating Prices
The cost of maize production, a critical staple, has surged by a staggering 69.7%, exacerbating the economic burden on Nigerians. Prices of essential foodstuffs, including cowpeas, have skyrocketed, with a 300% increase reported over the past year. These surges have left many households struggling to afford basic meals, especially in already vulnerable regions.
A slight reprieve came in the form of increased agricultural mechanization and farmland expansion. Tractor use grew by 2%, while cultivated farmland increased by 2.3%. However, these advancements pale in comparison to the challenges posed by production costs and insufficient infrastructure, particularly in rural communities.
Crop Production: Mixed Outcomes
The 2024 wet season brought a modest 4.5% increase in overall crop production, signaling a glimmer of hope amid the crisis. Yet, not all crops benefited from this growth. Millet, a staple in many Nigerian diets, recorded a decline of 0.2%, reflecting disparities in agricultural performance across the board.
Efforts to stabilize crop yields have been hindered by climate change impacts, outdated farming techniques, and limited access to quality seeds. In response, the government is rolling out plans to promote hybrid seeds, climate-smart practices, and technology adoption for the upcoming 2025 planting season.
A Bleak Reality for the North East
The North East remains the worst-hit region, battling the dual challenges of insurgency and food insecurity. Decades of conflict have decimated agricultural activity, leaving communities heavily reliant on external aid. Rising prices have only compounded these struggles, further marginalizing already impoverished populations.
Experts warn that without targeted interventions, the situation could spiral into a full-blown humanitarian crisis. “The North East is facing a perfect storm of challenges. Addressing food insecurity here requires more than policy changes; it demands coordinated relief efforts and long-term agricultural support,” said an economist who spoke on condition of anonymity.
Government Strategies and Promises
In a statement issued by Mohammed Manga, Director of Information and Public Relations at the Ministry of Finance, the EMT detailed a series of measures aimed at addressing the crisis. The strategies include:
- Boosting food security through hybrid seed production and modern farming technologies.
- Promoting export-oriented crops like cocoa, sesame, and ginger to diversify agricultural revenues.
- Investing in rural infrastructure, including feeder roads, cold storage facilities, and electrification, to enhance supply chains.
Wale Edun underscored the need for a united front to tackle these challenges, aligning government efforts with President Bola Ahmed Tinubu’s Renewed Hope Agenda. “Coordinated implementation of these policies is crucial to ensuring affordable food and improved living standards for Nigerians,” he said.
Central Bank’s Role in Economic Stability
The Central Bank of Nigeria (CBN) also played a pivotal role in the EMT’s deliberations, focusing on stabilizing the foreign exchange (FX) market. Key highlights of the CBN’s strategy include:
- Launching the Electronic Foreign Exchange Matching System (EFEMS) to enhance market transparency.
- Settling 80% of outstanding FX forward obligations to boost liquidity and investor confidence.
- Maintaining robust external reserves to support exchange rate appreciation.
These measures aim to restore financial stability and create an environment conducive to economic recovery. The CBN’s efforts are critical, as a stable FX market underpins affordable food imports and agricultural investments.
