FG, States, World Bank Agree to $700m Support to Boost Rural Agriculture, Access Roads, Others

The Federal Government of Nigeria, in collaboration with the World Bank, has secured a $700 million funding package to scale up the Rural Access and Agricultural Marketing Project (RAAMP). This initiative, designed to strengthen rural infrastructure and agricultural marketing systems, aims to tackle critical challenges that hinder rural agricultural development and food security in Nigeria.

The funding comprises $500 million from the World Bank and $200 million in counterpart funds from both the federal and state governments. The scaled-up RAAMP will address rural road development and enhance institutional capacity to ensure sustainable maintenance and improved market access for agricultural produce.

Minister of State for Agriculture and Food Security, Senator Sabi Abdullahi, emphasized that the federal component of RAAMP will bridge gaps in areas that states may not prioritize, thereby enabling the evacuation of food from production clusters and bolstering marketing efforts. The program will be implemented in 19 states, with a focus on creating agricultural clusters, establishing rural access road authorities, and instituting state road funds for maintenance.

According to Abdullahi, 16 of the 19 participating states have already enacted laws to establish rural access road authorities and state road funds, reflecting strong collaboration among federal, state, and international stakeholders. The initiative aligns with President Bola Tinubu’s vision for food security, recognizing rural infrastructure as a key enabler of agricultural productivity and economic diversification.

The National Coordinator of RAAMP, Dr. Aminu Bodinga, reiterated the project’s commitment to improving rural connectivity and supporting agricultural marketing, with rural roads playing a pivotal role in ensuring the movement of food and raw materials from production hubs to markets and consumption zones.

Source- This DayLive

Expert Review for Agri-Food Stakeholders:

The RAAMP scale-up represents a significant investment in Nigeria’s agricultural and rural infrastructure. By addressing the challenges of rural accessibility and market linkages, this initiative aims to unlock the full potential of the agricultural sector, which remains a cornerstone of Nigeria’s economy. The inclusion of a federal component ensures critical interventions in areas that states may overlook, further bolstering the nation’s food security strategy and economic diversification efforts.

Opportunities:

1. Enhanced Market Access: The focus on rural road infrastructure will enable smallholder farmers to transport produce efficiently, reducing post-harvest losses and increasing profitability.
2. Cluster-Based Development: Establishing agricultural clusters can boost value chain integration, create new economic corridors, and attract investment into rural economies.
3. Food Security and Economic Diversification: Improved logistics and marketing channels support Nigeria’s broader goal of achieving food security and reducing reliance on food imports.
4. Sustainability Measures: Institutionalizing road maintenance through rural access authorities and state road funds ensures the longevity of infrastructure investments.

Challenges

1. Implementation Hurdles: The success of RAAMP depends on effective coordination among federal, state, and local governments, as well as timely disbursement of funds.
2. Capacity Building: Training and equipping state rural access road authorities to manage infrastructure sustainably will be critical.
3. Equity in Resource Allocation: Ensuring fair distribution of resources across states and agricultural zones will be vital to avoid regional disparities.

Recommendations for StakeholdersFarmers and Agribusinesses:

1. Engage with local authorities to align production activities with newly developed clusters and infrastructure.
2. State Governments: Expedite the establishment of rural road authorities and road funds to access full project benefits.
3. Private Sector: Leverage the improved infrastructure to expand agro-processing facilities and establish new market linkages.
4. Development Partners: Monitor project implementation to ensure transparency and alignment with sustainability goals.

   RAAMP’s scale-up is a promising step toward addressing Nigeria’s rural agricultural challenges, but success hinges on coordinated efforts to translate these investments into tangible benefits for farmers and agri-food stakeholders.