In a decisive step to boost food production in Nigeria, the National Agricultural Development Fund (NADF) has launched a N1.5 billion pilot initiative to cultivate 1,500 hectares of farmland, targeting 1,500 smallholder farmers.

The initiative, known as the National Agricultural Development Programme (NADP-1), is being implemented in partnership with Flour Mills of Nigeria (FMN) and NOVA Merchant Bank.

The Executive Secretary of NADF, Mohammed Ibrahim, speaking at a press conference in Abuja, which also marks the maiden disbursements of the on-lending facility to beneficiaries, stated that the scheme aligns with the federal government’s Renewed Hope Food Security and Market Priority Agenda.

Describing the initiative as a model for inclusive agricultural financing, the ES stated that it will strengthen agricultural value chains and enhance farmer productivity.

He said, “This program demonstrates that smallholder farmers can be engaged profitably and sustainably. Through aggregation, value chain partnerships, and strategic financing, we can transform agriculture into a viable engine for national development.”

The representative of the NADF investment division, Olalekan Alabi, revealed that the initiative aims to scale beyond the initial 1,500 farmers to 10,000 before the end of the current wet season.

He said the NADP initiative is targeted at priority crops, including maize, cassava, rice, and soybeans, adding that the project marks the beginning of a long-term drive to improve food security through sustained investment in smallholder farmers.

He stated that the model also includes provisions for mechanisation, input access, and market linkage, positioning it as a comprehensive solution to long-standing barriers in Nigeria’s agricultural sector.

He said the program’s first deployment will begin in Kaduna, with FMN focusing on maize due to its strategic role in animal feed and food milling, adding that the company is also the largest buyer of maize, soybean, sorghum, and wheat as the project is crucial for securing consistent raw material supply and advancing yield transformation.

The Managing Director of FMN Agro, Dr. Sadiq Usman, emphasised the importance of improving yields and building resilient supply chains.

“This facility supports our core mission of transforming farmer profitability. A factory without a farm is scrap metal, and a farm without a factory is just wheat,” Usman said, citing maize cultivation in Kaduna State as the initial focus of the scheme.

“Kaduna produces 20 per cent of Nigeria’s maize and is home to highly productive farmers. It’s a perfect ground for demonstrating how better seeds, nutrition, and agronomy practices can boost yields,” he added.

The Group Head of Corporate Banking at NOVA Bank, Uzoma Ayonmike, expressed optimism about the venture. “Agriculture is a cornerstone of national growth. We are proud to be the first financial institution to disburse under the NADF pilot phase,” he stated.

“This partnership is not just a transaction. It is a step toward food security, economic inclusion, and sustainable national progress,” she added.

The Head of Value Chain Banking at NOVA, Esosa Igbineweka, detailed the bank’s due diligence process in selecting FMN Agro as the program’s implementing partner.

“NADF cannot lend directly to farmers, so we ensure any intermediary meets strict risk and performance criteria. FMN Agro has proven capacity and a strong record in engaging smallholder farmers,” he said.