The Federal Government, in partnership with stakeholder groups from Nigeria and Estonia, has finalized plans to raise $400 million in capital funding from European investors to strengthen agricultural commodity value chains and establish data hubs in all 774 local government areas of Nigeria. The official signing ceremony is slated for September 24 in Tallinn, Estonia.
Agricultural commodity and rice expert Dr. Kenechukwu Aloefuna, one of the facilitators of the deal, explained that the agreement is being implemented under the “AGRIC Aid Volunteer Scheme and the Integrated Climate Resilient Innovation Project for Empowering Smallholders, Advancing Sustainability, Integrating Food, Energy and Water Security for Resilient Communities.”
On the Nigerian side, the initiative will be driven by Agricultural Commodity Value Chain Expansion Project (ACVEP) Limited, First Values360Ventures Limited, and relevant federal agencies. Their Estonian partners include Values360Ventures OU, Lanmer OU, and Organic New Earth.
The project is designed to tackle some of the most pressing challenges facing Nigeria’s agricultural sector. It will focus on fortifying food systems, promoting climate-smart farming practices, and ensuring that smallholder farmers gain access to reliable data that can guide production, processing, and distribution. By embedding data-driven solutions across every local government, the initiative is expected to provide farmers with vital market information, weather updates, and resource management tools that can significantly increase yields and reduce post-harvest losses.
For smallholder farmers, who make up the bulk of Nigeria’s agricultural workforce, the project promises to bridge long-standing gaps in access to finance, modern farming techniques, and structured markets. By improving value chains, farmers will not only be able to produce more efficiently but also connect directly to processing facilities and end-markets, which can increase profitability and reduce exploitation by middlemen.
The scheme also holds potential benefits for micro, small, and medium enterprises (MSMEs) across the agribusiness landscape. With better value chain linkages, agribusinesses can tap into new opportunities in processing, storage, logistics, and distribution. In addition, the establishment of data hubs nationwide is expected to create digital platforms where entrepreneurs can access agricultural intelligence, build networks, and explore investment opportunities.
The Nigerian government has consistently highlighted agriculture as a priority sector for job creation, poverty reduction, and economic diversification. However, persistent issues such as climate change, inadequate infrastructure, poor access to credit, and unreliable market data have undermined progress. This new partnership is therefore being positioned as a transformative model that combines international capital, local expertise, and technology-driven solutions to build resilience within the sector.
If successfully implemented, the initiative could significantly reduce Nigeria’s dependence on food imports, improve rural livelihoods, and boost national food security. It also aligns with global efforts to strengthen climate resilience and integrate sustainable practices into agriculture, while positioning Nigeria as a leading hub for agritech-driven solutions in Africa.
