The Federal Government on Wednesday signed a $158.15 million financing agreement for the Value Chain Programme in Northern Nigeria (VCN) as part of efforts to revolutionalize the nation’s agriculture sector.

With the signing of the agreement, the implementation of the VCN project begins immediately to support agriculture development and value addition for farmers in nine states of the northern part of the country.

The initiative is co-funded by the International Fund for Agricultural Development (IFAD), the French Development Agency (AFD), and the Government of Nigeria.

The eight-year initiative, validated on March 21, 2024, was conceived following Vice President Kashim Shettima’s request during UNFSS stocktaking in Rome on July 24, 2023, that IFAD should scale-up its portfolio in Nigeria and mobilise additional partners and donors to support the agri-food transformation and food security of the Renewed Hope Agenda.

It is expected to sustainably reduce poverty, enhance nutrition and better resilience of rural and most vulnerable populations in the nine northern states including Borno, Bauchi, Kano, Katsina, Kebbi, Jigawa, Sokoko, Yobe and Zamfara.

Speaking during the signing ceremony of the financing agreement for the VCN project at the Presidential Villa, Abuja, Vice President Shettima described the initiative as a product of critical thinking about the economic reality of the northern region.

According to him, it is a fulfilment of the promise made by the administration of President Bola Ahmed Tinubu to reduce poverty in Nigeria, restore dignity to the nation’s farmers, and ensure food security.

“It is a declaration of faith in the North—not as a region of deficits, but as a place of abundance. It also invites us to play our part in fulfilling the promise to reduce poverty, nourish our people, and restore dignity to farming families across Bauchi, Borno, Jigawa, Katsina, Kebbi, Sokoto, Kano, Yobe, and Zamfara.

“What has brought us together today is an investment of $158.15 million, co-financed by the International Fund for Agricultural Development (IFAD), the Agence Française de Développement (AFD), the Federal Government of Nigeria, and other stakeholders. This reflects President Bola Ahmed Tinubu’s commitment to prioritising what matters most—people, productivity, and prosperity,” Shettima said.

Recalling that the administration recently commenced foundation laying for the construction of Special Agro-Industrial Processing Zones (SAPZs) across Nigeria, Shettima said said the VCN programme will feed into the SAPZs, serving as “a steady pipeline of raw materials and ensuring our processors no longer grope for quality inputs.

“This synergy will shift us from exporting raw produce to exporting value-added goods—creating jobs, wealth, and industrial stability,” he added.

Senator Shettima observed that “the recent global trade disruptions and the resurgence of protectionism are loud warnings” to Nigeria to begin to grow what its people eat and produce what they trade.

“The agricultural tariffs and retaliatory postures of global powers like the U.S. and China have rattled commodity chains. For a nation that has long relied on food imports, the message is clear: we must grow what we eat and produce what we trade.”