The Minister of State for Agriculture and Food Security, Sen. Dr. Aliyu Sabi Abdullahi, has urged the Federal Government to expand insurance coverage to more smallholder farmers across Nigeria. His call centers on strengthening the (NAIC) so that more local, small-scale farmers can access affordable farm insurance and protect their livelihoods.

Speaking during a courtesy visit to the Minister of State for Finance, Dr. Doris Uzoka-Anite, at the Ministry of Finance in Abuja, the Minister emphasized that expanding insurance coverage is critical to supporting millions of farmers who face constant risks from climate change, flooding, drought, pests, and other agricultural disasters. According to him, when smallholder farmers are protected by insurance, they are better able to recover from losses, remain productive, and continue contributing to national food supply.

He explained that recapitalizing NAIC would strengthen its financial base and enable the agency to reach more farmers, especially those in rural communities who currently lack access to formal insurance products. With stronger funding and institutional capacity, NAIC would be able to design more innovative, technology-driven insurance solutions tailored to the realities of small-scale farmers. This would not only restore public confidence in agricultural insurance but also attract private sector participation into the system.

The Minister further noted that expanding insurance coverage is directly linked to achieving food security and food sovereignty. When farmers are confident that their investments are protected, they are more willing to cultivate larger areas, adopt improved farming methods, and invest in better inputs. This ultimately increases agricultural productivity and strengthens Nigeria’s agrifood systems.

He also stressed the importance of aligning NAIC’s operations with industry standards to ensure timely payment of claims. By doing so, farmers can trust that compensation will be provided when losses occur.

Overall, the Minister’s message is clear: expanding affordable farm insurance through NAIC is essential to protecting smallholder farmers, stabilizing food production, and building a more resilient agricultural sector that supports inclusive economic growth.

Source - https://www.nigeriastartupact.ng