The Federal Government has announced decisive steps to address the role of middlemen in driving price distortions and artificial scarcity within Nigeria’s livestock sector, as part of broader reforms to improve food affordability and strengthen value chain efficiency.

The Minister of Livestock Development, Idi Mukhtar Maiha, made the announcement at the maiden edition of the Minister–Livestock Farmers’ Connect held on Tuesday, 24th March 2026.

Maiha identified the dominance of middlemen in the livestock value chain as a major challenge, noting that producers earn less while intermediaries capture disproportionate margins before products reach processors and consumers.

“In many cases, the producer does the hard work, but earns the least, while the middleman takes the highest margin. This ultimately drives up prices and creates artificial scarcity in the market,” the minister said.

To address this imbalance, he said that the Ministry of Livestock Development is encouraging a shift towards end-to-end business models, where producers establish direct relationships with processors, abattoirs, and large-scale buyers.

This approach, Maiha explained, will not only improve farmer incomes but also stabilise prices and enhance overall market transparency.

As part of ongoing reforms, the ministry also revealed plans to introduce a live-weight pricing system for livestock, in line with global best practices.

The system, Maiha said, will ensure that animals are sold based on measurable weight, eliminating guesswork and reducing opportunities for exploitation within the market chain.

Beyond market reforms, the minister used the platform to highlight vast untapped investment opportunities across the livestock sector.

He pointed to critical gaps in pasture seed production, fodder supply, dairy aggregation, leather processing, and livestock by-products, noting that these areas present viable entry points for entrepreneurs, particularly the youth population.

Maiha also reaffirmed the Federal Government’s commitment to transition from open grazing to more organised livestock production systems, explaining that the move is aimed at reducing transhumance, improving productivity, mitigating farmer-herder conflicts, and strengthening animal health management.

“While humans can move, animals perform better when they are properly managed in structured environments. This improves productivity, reduces disease spread, and enhances overall sector efficiency,” he said.

Maiha further disclosed that Nigeria’s fodder market is rapidly expanding, with increasing domestic trade and strong export potential to Gulf countries, where demand remains high.

Similarly, he noted that the leather industry alone has the capacity to generate up to 700,000 jobs, reinforcing the sector’s role in economic empowerment and industrial development.

Addressing access to finance, the minister outlined multiple funding channels available to investors, including the recapitalised Bank of Agriculture, the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL)-supported facilities, the Development Bank of Nigeria, and intervention funds under World Bank-backed programmes.

He, however, stressed the importance of structured business planning, particularly the need for clearly defined off-take arrangements to reduce investment risk.

On the issue of security, Maiha acknowledged the challenges posed by cattle rustling and rural insecurity, announcing plans to deploy digital livestock tagging and traceability systems. The initiative will enable proof of ownership, real-time tracking, and recovery of stolen animals, with pilot implementation expected to commence in select states within six months.

In a major push towards digital transformation, the minister also announced that the Livestock Public Digital Infrastructure will be launched soon as a central platform for stakeholder engagement, data access, and investment facilitation.