The Federal Government has secured Nigeria’s fertiliser supply for the 2026 wet season and saved an estimated ₦61.58 billion through early procurement of key raw materials, according to officials overseeing the Presidential Fertiliser Initiative (PFI).
The development comes as several countries face fertiliser shortages and rising agricultural input costs caused by disruptions in global shipping routes and increasing prices of essential fertiliser components.
PFI NPK Limited, the implementation vehicle of the Presidential Fertiliser Initiative and a wholly owned entity of the Ministry of Finance Incorporated (MOFI), disclosed that the government moved months ahead of emerging market pressures by locking in supplies and prices before global costs surged.
According to procurement and shipment records for the first quarter of 2026, the government secured nine vessels carrying a combined 407,304 metric tonnes of fertiliser raw materials. Together with existing inventory, total available raw materials reached 534,219 metric tonnes for local NPK fertiliser production.
The records indicate that all required Letters of Credit were either fully established or settled, ensuring uninterrupted supply for blending plants across the country.
As of mid-April, more than 323,109 metric tonnes of raw materials, equivalent to about 6.5 million bags of fertiliser, had been distributed to registered blending plants nationwide. Of that quantity, approximately 198,264 metric tonnes, or about four million bags, had already been taken up for production and distribution.
Director of PFI NPK Limited, Dr. Armstrong Ume Takang, said the government’s decision to procure supplies early protected Nigeria from the impact of growing volatility in international fertiliser markets.
According to him, securing supplies and locking in prices ahead of market disruptions enabled Nigeria to avoid the challenges currently affecting several countries dependent on imported fertiliser inputs.
Financial records reviewed by the company show that the procurement strategy generated savings of nearly $44 million compared with prevailing international market prices.
The figures reveal that Granular Ammonium Sulphate (GAS) was purchased at $228 per metric tonne, compared with a current market rate of $343. Diammonium Phosphate (DAP) was secured at $775 per tonne against a market price of $950, while Muriate of Potash (MOP) was purchased at $400 per tonne compared to $430 in the spot market.
Officials said the savings are expected to help maintain fertiliser availability and support price stability for farmers during the planting season.
PFI NPK operates a centralised procurement system through which fertiliser raw materials are imported and distributed to 94 registered blending plants under the Fertiliser Producers and Suppliers Association of Nigeria (FEPSAN). The arrangement focuses on local blending rather than importing finished fertiliser products, a model aimed at supporting domestic manufacturing and job creation.
The company reported that 648,000 metric tonnes of raw materials were supplied in 2025. For 2026, it plans to scale operations significantly, targeting 1.52 million metric tonnes.
To ensure transparency and accountability, the supply chain is monitored through collateral management systems, while regulatory oversight is provided by the National Agency for Food and Drug Administration and Control (NAFDAC) and the Standards Organisation of Nigeria (SON). The Office of the National Security Adviser also plays a role in supporting operations and distribution.
Industry observers note that fertiliser availability remains critical to agricultural productivity and food security, especially as global supply chains continue to face uncertainty.
Looking ahead, the Federal Government is exploring government-to-government partnerships with international suppliers and developing a digital enterprise platform designed to improve visibility across procurement, inventory management and distribution.
Officials say the measures are intended to strengthen long-term supply security and ensure farmers can access fertiliser when needed without being exposed to sudden international price shocks.
