The federal government has secured Nigeria’s fertiliser supply for the 2026 wet season and shielded Nigerian farmers from a global crisis.
Dr Armstrong Takang, the Director of PFI NPK Limited, said this in an interview with journalists on Saturday in Abuja.
PFI NPK Limited is a wholly owned entity of the Ministry of Finance Incorporated (MOFI) and the designated implementation vehicle for the FG’s Presidential Fertiliser Initiative.
The company operates a centralised bulk procurement and distribution system for fertiliser raw materials, ensuring domestic blending and nationwide supply stability.
Mr Takang said that early procurement decisions made by the FG have also saved the country over 42 million dollars ahead of peak planting.
“Several countries across Africa grapple with fertiliser shortages and rising input costs triggered by fresh global disruptions. The FG has secured Nigeria’s fertiliser supply for the 2026 wet season.
“The latest disruptions, linked to escalating tensions affecting critical global shipping routes, have pushed up freight costs and driven increases in prices of key fertiliser inputs.
“These include Granular Ammonium Sulphate (GAS), Diammonium Phosphate (DAP), and Muriate of Potash (MOP). Across multiple markets, supply gaps are emerging, leaving farmers uncertain about availability and pricing ahead of the planting season,” he said.
He expressed satisfaction that Nigeria, however, has moved ahead of the curve through deliberate FG action.
“According to official Q1 2026 procurement and shipment records made available, the FG, through PFI NPK Limited, locked in nine vessels carrying a combined 407,304.00 metric tonnes.
“This brings total raw materials to 534,219 MT, including the opening balance at the beginning of the 2026 cycle, available for NPK fertiliser production. All associated letters of credit have been fully established or settled, ensuring supply continuity.
“Records further showed that, as of mid-April 2026, over 323,109.24 metric tonnes, approximately 6.5 million 50kg bags, had been released to registered blending plants nationwide.
“More than 198,264.41 metric tonnes, approximately 4 million 50kg bags, had already been off-taken. This indicates active distribution across the country ahead of peak planting,” Mr Takang said.
He said that FG’s early procurement strategy was designed to shield Nigeria from external shocks.
“We took a deliberate decision to move early, well ahead of market pressures, by securing supply, locking in pricing, and putting the necessary financial instruments in place.
“Foresight by the federal government has ensured that Nigeria is not exposed to the disruptions currently affecting global fertiliser markets,” he said.
Mr Takang further stated that the financial data reviewed alongside the procurement records indicate that the FG’s early purchasing strategy generated total savings of 43.99 million dollars, equivalent to approximately ₦61.58 billion, when compared with prevailing spot market prices.
“A breakdown of the figures shows that GAS was secured at 228 dollars per metric tonne against a current market price of 343 dollars. DAP was locked in at 775 dollars per tonne compared to 950 dollars, and MOP at 400 dollars per tonne against 430 dollars.
“These price differentials reflect the impact of the FG securing supply ahead of global price escalations.”
He emphasised that fertiliser availability and pricing remain central to Nigeria’s agricultural productivity and overall food supply.
“With global market conditions placing increasing pressure on input costs, the Federal Government’s intervention ensures consistent supply and price stability to support production outcomes across the agricultural sector.
“PFI NPK operates a centralised bulk procurement and distribution model on behalf of the FG. It imports raw materials and supplies them to 94 Fertiliser Producers and Suppliers Association of Nigeria (FEPSAN) registered blending plants across Nigeria.
“The company does not import finished fertiliser, ensuring that all NPK production is carried out domestically, supporting local industry and value addition.
“In 2025, the Federal Government through PFI NPK delivered 648,000 metric tonnes of raw materials. For 2026, operations are being scaled significantly, with a target of 1.52 million metric tonnes,” he said.
According to him, the supply chain operates under strict federal government governance protocols. Collateral Management Agents provide independent oversight at warehouses, while raw materials remain under PFI NPK control until confirmed sales and repayment are executed.
“Regulatory compliance is ensured through NAFDAC and Standards Organisation of Nigeria (SON) requirements. Operations are further supported by the Office of the National Security Adviser (ONSA), whose approval remains central to PFI NPK’s ability to operate and scale distribution nationwide.
“Raw materials are either already in-country or in transit, blending plants are receiving inputs, and the risk of sudden price shocks linked to global disruptions has been significantly reduced,” he said.
Mr Takang emphasised that the FG’s intervention ultimately rests at the farm level. What matters is that farmers can access fertiliser when needed and at a price that does not undermine production.
“By stabilising supply and managing cost exposure at the procurement stage, the FG is supporting that outcome at scale, strengthening long-term supply security through government-to-government partnerships with international suppliers.
“Plans are also advancing for a digital enterprise system to provide real-time visibility across procurement, inventory, and distribution,” he stated.
(NAN)
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