2025 Agricultural Aggregation Industry Report

Overview of the Report

Nigeria’s Agricultural Aggregation Industry plays a crucial role by connecting the country’s many smallholder farmers with formal markets. It’s through this industry that important commodities like cocoa, ginger, sesame, and cashew move from scattered farms to buyers, supported by services such as quality checks, storage, and market facilitation. Even with Nigeria’s abundant agricultural potential, the sector made up just about 5.7% of the country’s total export earnings in 2024. This gap points to ongoing hurdles but also untapped opportunities if the aggregation system improves.

Going forward, the outlook of the sector will be shaped by a number emerging developments, notably the EU Deforestation Regulation (EUDR), which comes into force in December 2025. The new rules will compel exporters, and by extension aggregators to ensure commodities processed through their value chains are not sourced from unsustainable faming process. The need to ensure traceability, tracking the movement of the agric products from plantations to markets, ensuring they are produced sustainably will provide an advantage for early movers, ensuring they retain access to key European markets beyond December 2025. Additionally, the growth in rise in adoption of technology is changing the sector by ensuring greater transparency in terms of pricing and market access. Additionally, the growth in rise in adoption of technology is changing the sector by ensuring greater transparency in terms of pricing and market access.

Notwithstanding the opportunity presented by these developments, the industry continues to grapple with fundamental problems such as access to financing. According to data from the Central Bank of Nigeria, private sector credit allocation to the Agricultural sector as a whole remains below 10% despite accounting for roughly 24% of the size of the Gross Domestic Product in 2024. Another major bottleneck to the growth of the industry is the issue of poor storage facilities and transportation networks, consistently contributing to post harvest losses in the region of 30% and above.

This report provides current information on the attributes and performance of the Nigerian Agric Aggregation industry (“the industry”). The report includes:

• An overview of the Nigerian Agric Aggregation Industry
• An analysis of key trends in the Agric Aggregation space
• An analysis of key financing needs of major Agric Aggregation players
• An analysis of the Industry’s regulatory and policy environment
• An outlook of the Industry’s performance in the short term