Nigeria Tackles Fertilizer Costs to Boost Food Security

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Wednesday, October 8, 2025

Government Initiates High-Level Engagement to Stabilise Fertiliser Prices

In a renewed effort to stabilise fertiliser prices and ensure food security, the Federal Government has initiated high-level engagements with stakeholders in the urea and fertilizer value chain. These discussions aim to address challenges related to gas supply and pricing, which are key drivers of fertilizer production in Nigeria.

Dr. Ekperikpe Ekpo, Minister of State for Petroleum Resources (Gas), revealed this initiative after convening a meeting in Abuja with major industry players. Participants included the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Dangote Fertilizer, Indorama, Notore Chemical Industries, and the Federal Ministry of Agriculture.

According to the Minister, the meeting was held in line with the mandate of the National Economic Council (NEC) to find lasting solutions to fertilizer supply bottlenecks and price volatility affecting Nigeria’s agricultural productivity.

“Our discussions focused on gas supply and pricing, which form the backbone of fertilizer production,” Ekpo said.

“This engagement is vital to ensuring stable and affordable fertilizer for our farmers, sustaining agricultural productivity, and strengthening food security across the nation.”

He explained that aligning Nigeria’s gas sector with its agricultural priorities is a strategic step towards achieving the country’s broader economic goals under President Bola Ahmed Tinubu’s Renewed Hope Agenda.

“Gas is central not only to energy generation but also to agricultural development,” the Minister stated. “By fostering synergy between the gas and fertilizer sectors, we are driving sustainable growth and prosperity for Nigeria.”

Addressing Key Challenges

Ekpo noted that the high cost of fertilizer remains a major concern for both government and farmers, particularly as global disruptions continue to affect input prices and logistics.

He said the meeting provided an opportunity to review the current pricing framework for gas supplied to fertilizer plants and to explore more sustainable mechanisms for local production.

“We are working closely with all stakeholders to address issues of affordability and accessibility,” he said. “The goal is to create a pricing structure that supports fertilizer producers without burdening farmers or compromising food production.”

Representatives of major fertilizer producers, including Dangote Fertilizer, Indorama Eleme Petrochemicals, and Notore Chemical Industries, expressed support for the government’s efforts to create a more predictable operating environment.

Strengthening Collaboration

The Minister assured stakeholders that government agencies, particularly the NMDPRA and the Ministries of Petroleum and Agriculture, will intensify collaboration to ensure seamless gas allocation and efficient distribution of fertilizer ahead of the next planting season.

“We must get it right,” Ekpo stressed. “Fertilizer is the foundation of agricultural productivity, and gas is the foundation of fertilizer. By solving the gas challenge, we are strengthening the entire food production value chain.”

He reaffirmed the government’s determination to sustain dialogue with the private sector and promote policy coherence across the gas, energy, and agriculture sectors.

“This administration remains committed to delivering tangible results that will translate to lower production costs, enhanced food security, and improved livelihoods for Nigerian farmers,” he concluded.

Key Outcomes of the Meeting

• Focus on Gas Supply and Pricing: The primary objective of the meeting was to address the critical issue of gas supply and pricing, which directly impacts fertilizer production.
• Stakeholder Involvement: Major industry players were actively involved, ensuring that diverse perspectives were considered in the discussions.
• Policy Coherence: The government emphasized the need for coordinated policies across the gas, energy, and agriculture sectors to achieve long-term stability.
• Support from Industry Players: Representatives from leading fertilizer companies expressed their support for the government's initiatives, indicating a shared commitment to addressing the challenges.
• Future Planning: The discussions laid the groundwork for future collaborations, aiming to enhance efficiency and reduce costs in the fertilizer sector.

Labels: business, economics, government, infrastructure, politics

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