Nigeria's farmer-herder crisis has displaced over 2.2 million people, severely impacting agricultural productivity and driving food prices to record highs. This conflict, particularly in the Middle Belt—Nigeria's key food-producing region—has crippled rural economies, leading to inflation, supply chain disruptions, and reduced access to raw materials for small businesses in the food and agribusiness sectors.
A recent report by SBM Intelligence warns that the prolonged conflict has deepened insecurity, with rising cases of cattle rustling, kidnapping, and attacks on farming communities. The situation has forced many farmers to abandon their land, leading to lower food production and escalating costs for businesses reliant on local produce.
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Small and medium enterprises (SMEs) in agriculture, food processing, and retail have been hit hard, struggling with supply shortages and increased operational costs. The crisis is now spreading to southern states, raising concerns of a wider economic fallout if urgent interventions are not implemented.
Experts emphasize the need for stronger security measures, agricultural reforms to support displaced farmers, and climate-resilient farming techniques to stabilize food production. Without decisive action, businesses in Nigeria's food value chain will continue to face rising costs, reduced profitability, and economic uncertainty.
