Agriculture-Finance67 Comments

What does it take to secure agric loans in Nigeria? Agricultural development has been a matter of serious concern to the Nigerian government. The need to augment the country’s domestic products through agriculture thus cannot be overemphasized. Many countries in the world have developed their economy to enviable degrees by cultivating lands and monetizing the products. Which puts a challenge to Nigeria year after year to move a little concentration from crude oil to agriculture.

The agricultural sector is noted as the highest employer of labor in West Africa. Yet, it is not much more than peasant farming which could barely satisfy the needs of families. These reasons and more have propelled the Federal Government of Nigeria to start agricultural grants and credit initiatives. Through the Bank of Agriculture and some other commercial Banks, the Central Bank of Nigeria (CBN) has mapped out N200 billion for agricultural interest.

These grants are suppose to cover many of these areas of farming

1. Types of Farming That Gets Agric Loans in Nigeria

Poultry: One of the most lucrative farming businesses anyone can think of getting agric loans in Nigeria for is poultry farming. This type of livestock business does not come easy. The process involves huge capital which is the reason why it is in the list of farming that can be considered for grants.

Pig farming: On the other side of meats is pork emanating from pigs. Described as the better option, but the opportunity to setup a pig farm does not come cheap. So, it stands to be considered for agric loans in Nigeria.

Cassava: Serving as one of the most versatile farm products, cassava has been in the hem of agricultural products to be developed for extensive use in Nigeria. Biscuits, Bread, etc. These are among the big products that the Federal Governments is urging investors to develop from cassava. That means, your cassava farm proposal will be considered for loan.

Rice: Undoubtedly the most imported and one of the consumed food in Nigeria that leaves the question: When will Nigeria cultivate enough to stop depending on other countries for rice sustenance? The need to develop Nigeria’s rice farm culture is obvious and welcomed. Rice farming is among the farming business that is legible for loan.

Palm tree: Before 1934, Nigeria was the highest exporter of palm nuts, a product of palm tree. Today, Nigeria is making about 18% of palm products exportation. The chance to get back to where she used to be depends on the cultivating efforts of palm tree farmers. Nigerian government has been promising loans to anyone who has interest in developing a palm tree farm.

There are so many other farm opportunities to be reckoned with. Whichever one you choose, follow the steps below to get the fund you need to cultivate it.

2. Bank Of Agriculture

The Bank of Agriculture (BOA) was established to help farmers develop their fields to any extent possible by giving low interest loans to qualified applicants.

The process of borrowing from BOA is not rigid. BOA operates at a level of direct lending, on lending, collaboration, and credit monitoring.

Requirements For Loans

Loan Rate: Microcredit Agric and collaboration- 12%.

Loan condition: Lien deposits- 20%.

Customer account relationship- 6 months.

Deposit Rate: Interest Rate 2%.

A lot of other things are negotiable, but remember; your loan credibility depends much on the evidence that you have what it takes to execute your agricultural proposal. You can reach BOA on 07042262222, 07040202222.

Agric loan is not exclusive to BOA, other commercial Banks have been partnering with the FG to assist Farmers. For instance-

3. Union Bank

This Bank offers Agricultural financing to Agribusinesses, from small  to big. But the starting point is: Evidence of ownership or right to use whatever portion of land you plan to use. Then you can choose from their Loan facilities what you really want-

Short Term Loan: Which covers a short period of time, say- 1 or 2 years.

Medium Term Loan: This type of Loan exceeds the period of 1 to 2 years. Sometimes, it lasts up to 4 years due to the technicalities involved in the business it is being funded with.

Long Term Loan: This type of loan is for Agric products that take longer time to mature.

Fixed Capital: Farmers get this type of Loan to enable them establish fixed assets on their farms.

Working capital Facility: This Loan is given to enable Farmers shoulder their day to responsibility in the farm.

Whatever your objective is, these facilities will enable you to achieve it, so far you meet up with these requirements-

    • Open an account with Union Bank
    • Submit a Loan application to the branch’s Business Development Manager
    • Pay 10% of the total fund you applied for
    • State the purpose of the Loan
    • Method of your farm production
    • Yields as expected
    • Your repayment plan

This setting is exclusive to individuals only. For Limited Liability companies and corporate organizations, there are only 2 steps-

Submit a loan application written with the company’s letter head to the Branch. It must be duly signed by the company’s representatives.

Submit detailed report on feasibility studies

There are other banks that offer credit facilities for farming in Nigeria, UBA, First Bank, Stanbic IBTC etc. Feel free to walk into any of the Banks and inquire of their procedure

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67 Comments

  • onuche November 12, 2014

    Wats d limit of loan dat can be secured? Wats d chance dat wen one applies for loan for poultry one wld get?
    Tnx plus I love ur article

    Reply

  • samuel peter January 30, 2016

    that means is the banks given the loan,and bank loan na wahala.

    Reply

    • daibo February 21, 2016

      @ peter why not take a bold step to the bank first and see if you meet the requirement. i got mine recently after reading this post and i out out well for me. one other thing is i transfer my salary account to the bank and create a relationship

      Reply

  • Samuel Adekola March 2, 2016

    I am practicing community pharmacist and a long standing farmer, I currently have about 500 old layers birds to sell in Akure Ondo state , could be of any assistance for bulk sales of the birds. I have plans to restock fresh 1000 birds , can I get loan assistance.

    Reply

    • Lasisi Isiaka March 26, 2018

      is there any opportunity for retired civil servant to secure agricultural loan to practice farming.

      Reply

  • Blessed Sunny Nwanegbo April 17, 2016

    I live in lusada ogun state, have interest in poutry business, i have a land of 120/90. Pls advice me on how to start and what it will take

    Reply

    • DAIBO April 24, 2016

      @BLESS CLOSE TO U AT LUSADA U HV GOOD OPPORTUNITY BUT U DONT GO OUT. SM COMPANY WILL GIVE U D BIRDS AND FEEDS ND WHEN ITS 2KG THEY WILL CM AND PACK IT. AT #50/BIRDS BUT U WILL HV TO BUILD UR PEN URSELF AND HV A BOILHOLE .

      Reply

      • samuel June 30, 2016

        Dear Daibo,

        I am a poultry farmer in owode Ado/Odo road. I will be interested to meet this company. can you give me their contact info through my mail address.

        is this price negotiable?
        regards.

        Reply

        • Ojay July 26, 2016

          Hi Daibo,
          Could you please mention some of the companies so that interested people can take advantage of it.
          Thanks

          Reply

      • Gbenga August 24, 2018

        @ Daibo, please I ned the name and the address or contact of this company that will give me day old chicks and collect later .
        Please, Please and please I need the contact badly.

        Reply

  • Musa Y Chiroma May 15, 2016

    Iam a civil servant displaced by BHT from Monguno to Maiduguri now.
    Which bank will i go to access loan? because i plan to farm at my home town Chibok this year.

    Reply

    • ANNOUNCEMENT TO THE FEDERAL REPUBLIC OF NIGERIA
      THEFEDERAL GOVERNMENT IS GIVING OUT AGRIC LOAN TO FULLTIME FARMERS AND BUSINESS MEN WITH A LITTLE PERCENTAGE AND INTEREST IF YOU ARE INTRESTED CONTACT MR. FEMI CBN FINNACE COOPRATIVE OFFICER. GOD BLESS NIGERIA.

      Reply

      • samuel June 30, 2016

        good day,
        How do we contact mr. Femi in CBN Finance Cooperative Officer? How do we authenticate this information?
        regards.

        Reply

      • adeola March 21, 2019

        Am interestest pls sent me mr femi contract

        Reply

  • prince adejuyigbe May 22, 2016

    I have 185 acre of land I want to start farming on it ,how can I get a loan to start?

    Reply

    • olaitan May 22, 2016

      I so much love poultry farming but I don’t have a land and the finance to start up. Can the bank help with starting me up?

      Reply

    • Aniekan July 11, 2016

      Hello Prince Adejuyigbe, where is ur land located and can You sell out some acres?

      Reply

  • Richards May 27, 2016

    is Diamond Bank PLC one of the representing banks?

    Reply

  • adeoye June 17, 2016

    @Daibo.. Please, can you give one example of the company, and their location that sells DOC and feeds and get back to buy the chicks when they attain 2kg? Thanks.

    Reply

  • John Obuwevwierorose July 19, 2016

    Am into plantain farming and l have planted 21 acres with plantains 11,0000 stocks need more money plant buy another acres for maize ,and future poultry farming.how do obtain the loan.Is zenith bank among the banks for the Agric loan.

    Reply

  • iaguene77 August 20, 2016

    Hi. Does BOA or Union Bank give these loan for start up? Really yearning for it.

    Reply

  • AwuaBiemdoo September 3, 2016

    I need loan to setup website IT firm that will create jobs opportunity in Nigeria i have the technical no how and I only need finance Awua Joseph Biemdoo, website developer,Network engineer and programmer

    Reply

  • JEY October 9, 2016

    Hi am JEY, based in Abuja.
    My interest is Tilapia Fish Farming, pls I need details on this venture as to all aspect of feasibility to execution.
    I’d appreciate anyone with hands on experience so I may also visit the farm as the need arises.
    Thanks for your usual cooperation.

    Reply

  • osarolightgis April 29, 2017

    what about plantain plantation farming
    what loan is available for one

    Reply

  • FataiOladotun May 21, 2017

    Pls,where can I get Bell apple seed at Ilorin, tell me can it be planted at Ilorin Kwara state. Thanks

    Reply

  • Sani Ado November 1, 2017

    this is a vary nice program

    Reply

  • Abdullahi Aliyu Amah Funtua November 2, 2017

    What a sweetable information!!!
    Help to share it with others as u feel exitement.

    Reply

  • Ibrahim yahaya safiyanu November 4, 2017

    I have a fish pond that has a capacity to take up to 2000 fishes, well secured, but the greatest challenge I have is how to maintain my fish to table size without any issues of feeds shortages. Now the pond is empty and I’m stranded. Pls how can FG help me to continue with this business .

    Reply

  • isa yakubu yahaya December 6, 2017

    i stared poultry at home and i really like it i want to expand it but i don really have capital to expand it i really like the farming but no capital and i have a very good land where i can build it and go on with business if the capital is available. i really need help. direct me please if possible where the capital with come from.

    Reply

  • Musa A. Basawa December 10, 2017

    what are process for get this loan

    Reply

  • ABDULLAHI NASIRU December 12, 2017

    How can i apply for the loan

    Reply

  • SHAMSU ABDULLAHI December 15, 2017

    How many people neding?

    Reply

  • nafiu yakubu December 15, 2017

    How. Can i apply

    Reply

  • olaniyan December 16, 2017

    I Am Young Teacher Having Interest In Agricultural Bussiness Am Already In Poultry Keeping Before And Now am embark in production of Plantain Now And I Have Three To Five Hectare Of Land,can I Get Loan For These And How To Get Loan,to boost it.

    Reply

  • LAWAN USMAN December 19, 2017

    how can i get loan fg to start fish farming 0

    Reply

  • LAWAN USMAN December 19, 2017

    how can i get loan fg to start fish farming 0

    Reply

  • Madihu Yau garo December 23, 2017

    Continued to help may business in may area

    Reply

  • Segun charles January 31, 2018

    I have 12 acres of land Iam into cassava and palm tree I need a Loan

    Reply

  • adeniji adedapo sunday March 16, 2018

    Am interested in farming, and i have started since last two years and i need fund to improve more in it.

    Reply

  • Thanks you bank of agriculture Nigeria. Really you are helping poor people with your system, we are said God bless you!
    Up up Nigeria.

    Reply

  • adekunle April 7, 2018

    How can I get fund to start fish pound business? I have land in my house

    Reply

  • Chidi April 12, 2018

    Pls is the 10% subjected to refund if the loan application was not granted.

    Reply

  • frank c okoro April 15, 2018

    am in to snail farming plz i need loan to improve.

    Reply

  • Am into livestock farming and vegetables vegetation,l need loan to improve and enlarge my products

    Reply

  • Comrade Enang April 23, 2018

    I need loan to increase my vegetable vegetation business. I lived in Ikorodu, Lagos State. I have about 10 years experience, Guarantor/Collaterials are available.

    Reply

  • sarfilu Rabo Suliman June 6, 2018

    pls. i need the loan of egge production to poultry farms

    Reply

  • Lenyie t. Anyekere June 11, 2018

    Am Lenyie, a pastor I want to into agriculture and create jobs for people, by venturing into it,eg,poultry farming and cassava processing, how do I get loan to start,I have,lands,and in my compound enough space,am a rivers man thanks.

    Reply

  • epoyun adetola June 15, 2018

    Epoyun adetola,i am a poultry farmer i need loan to support my farm

    Reply

  • Abubakar Awaisu Usman June 21, 2018

    how can i get the loan, after open account?

    Reply

  • Frank Gold July 13, 2018

    Have you ever been turn down by bank, or your friends when you seek loan on there hands, we are here to inform you about our loan firm, we offer secured loans to individuals and companies at low interest rate respectively .We offer long and short term loans, we give out loan in dollar, euro and in pounds minimum $1,000 USD maximum of $10,000,000 USD ,Our loans are well insured, because maximum security is our priority.
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    I urge you to stay relax and worry no more as we offer you a legit offer.
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    Reply

    • OTI chioma September 16, 2018

      Am interested how can I apple

      Reply

    • deji Tuase March 1, 2019

      Where is your physical address in Nigeria so we can verify your assertions. No games yoeah!.

      Reply

    • adeola March 20, 2019

      How can i apply, i need agric loan

      Reply

    • adeola March 20, 2019

      Frank Gold am interested how can i apply

      Reply

  • Gbenga August 24, 2018

    please, I am into poultry farming but I have been renting or leasing space for my operation. Must often, the space owners always wanting to take up the space as soon as they see my Chickens growing radiantly. Please, I need loan now to buy my own land

    Where and who can give me loan on long time basis.

    Apart, I will like to work with the company that gives out Day old chicks and buys back after attaining 2kg. Thanks

    Reply

    • deji Tuase March 1, 2019

      Kindly give out the contact. We need to check your claims. Regards.

      Reply

  • ONYEKA mbah September 17, 2018

    I really interested on plantain and banana plantation farm , I have lands for the purpose but no much more money I based at enugu really need this loan

    Reply

  • gaddafi musa September 22, 2018

    How can I get this loan?

    Reply

  • Asterisk thot December 4, 2018

    I m a shoe production in masaka karu nasarawa state and I need help from Nigeria government and to employed some people to work as a staff.

    Reply

  • Deborah isaac March 3, 2019

    pls i need good capital for my poultry farm

    Reply

  • adeola March 20, 2019

    How can i apply loan fm boa, am into palm oil production

    Reply

  • jacob isabor April 26, 2019

    I just established my company and is registered as business for agricultural produced but I saw what was written that limited. and am looking for this opportunity to start my business on rice production can business name be part of the opportunity. how can I apply for agricultural loan.thank you.

    Reply

  • usman May 8, 2019

    if you are interested in on going federal government Agric loan, contact the office email: federalloan.gov@hotmail.com.
    this is real, i have gotten mine and i feel it will help you too. Usman is my name

    Reply

  • mr monday 4 July 12, 2019

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    Reply

  • I need to do rice farms

    Reply

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