Nigeria has secured fertiliser supplies for the 2026 wet season, saving an estimated N61.58 billion through early procurement of critical raw materials and shielding farmers from global supply shocks and escalating input costs.
The development comes at a time when several countries are facing fertiliser shortages and escalating prices following fresh disruptions to international shipping routes caused by tensions in the Middle East.
According to records released by PFI NPK Limited, the implementation vehicle of the Presidential Fertiliser Initiative (PFI) under the Ministry of Finance Incorporated (MOFI), the company secured its fertiliser supply months before the current market volatility.
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The records show that nine vessels carrying a combined 407,304 metric tonnes of fertiliser raw materials were procured, bringing total available stock, including opening balances, to 534,219 metric tonnes for nationwide NPK fertiliser production.
Uninterrupted supply
The company disclosed that all Letters of Credit associated with the shipments had been fully established or settled, guaranteeing uninterrupted supply for the planting season.
As of mid-April 2026, more than 323,109 metric tonnes of raw materials, equivalent to about 6.5 million 50kg bags, had been released to registered blending plants across the country.
Of this volume, over 198,264 metric tonnes, representing roughly four million bags, had already been distributed ahead of peak planting activities.
Market shocks
Speaking on the development, Director of PFI NPK Limited, Dr. Armstrong Takang, said the early procurement strategy was deliberately designed to protect Nigeria’s agricultural sector from external market 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. That foresight is what has ensured that Nigeria is not exposed to the disruptions currently affecting global fertiliser markets,” he said.
Financial data accompanying the procurement records indicate that the strategy generated savings of about $43.99 million, equivalent to N61.58 billion, compared with prevailing international market prices.
A breakdown of the figures showed that Granular Ammonium Sulphate (GAS) was secured at $228 per metric tonne against a current market price of $343. Diammonium Phosphate (DAP) was purchased at $775 per tonne compared with the prevailing $950, while Muriate of Potash (MOP) was obtained at $400 per tonne against a market price of $430.
PFI NPK Limited operates a centralised bulk procurement system that supplies raw materials to 94 registered blending plants under the Fertiliser Producers and Suppliers Association of Nigeria (FEPSAN). The company imports only raw materials, ensuring fertiliser blending and value addition take place within Nigeria.
The company delivered 648,000 metric tonnes of raw materials in 2025 and has set a target of 1.52 million metric tonnes for 2026 as part of efforts to strengthen fertiliser availability nationwide.
Officials said the supply chain is governed by strict oversight mechanisms involving Collateral Management Agents, while regulatory compliance is maintained through 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 (ONSA) also provides strategic support for the programme’s nationwide operations.
With more than half a million metric tonnes of raw materials already secured and distribution ongoing, stakeholders say Nigerian farmers can approach the 2026 planting season with greater confidence amid continued uncertainty in global fertiliser markets.
Dr. Takang stressed that the ultimate goal of the intervention is to support farmers and sustain food production.
“What matters is that the farmer 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, we are supporting that outcome at scale,” he said.
PFI NPK Limited said it is also pursuing long-term supply security through government-to-government partnerships with international suppliers while advancing plans for a digital enterprise system that will provide real-time visibility across procurement, inventory and distribution operations.
