Failing EU standards could cost Nigeria billions, warns minister

A new federal government report launched in Abuja warns that Nigeria risks losing over $1 billion in direct agricultural export earnings and more than $3 billion in total economic value each year if it does not comply with the European Union Deforestation Regulation (EUDR).

The EUDR requires that commodities entering the EU must be traceable to their exact farm boundaries, legally produced, and verified as deforestation-free.

To address this, the Ministry of Agriculture and Food Security launched a national strategy and signed a Memorandum of Understanding (MoU) with the National Space Research and Development Agency (NASRDA) to guide Nigeria’s compliance.

Minister of Agriculture Abubakar Kyari said the potential losses are huge and require coordinated national action to protect farmers, exports, and the economy.

He noted that compliance is not just a challenge but also an opportunity to modernize agriculture, access premium export markets, and increase farmer incomes.

Kyari emphasized that all systems developed under the strategy must remain accessible and affordable to small farmers, who form the backbone of Nigeria’s agricultural sector.

The framework was created through collaboration with government agencies, commodity associations, private stakeholders, and development partners. It aims to secure Nigeria’s place in global supply chains as environmental standards become central to trade.

Under the partnership, NASRDA will provide satellite imagery, real-time monitoring, and technical support, while the Ministry of Agriculture will coordinate farmer engagement and policy integration.

A joint steering committee and national responsibility matrix will manage the rollout, ensuring that farmer registrations, farm mapping, and transaction records feed into a single national database recognized by the EU.

Kyari described the initiative as both strategic and symbolic, equipping Nigeria to remain competitive globally while protecting farmers and modernizing value chains.

He added that President Bola Ahmed Tinubu considers agriculture central to Nigeria’s economic renewal, stability, and inclusive growth.

“Commodities must now be traceable, legally produced, and deforestation-free,” Kyari said. “If we fail to adapt, Nigeria could lose over $1 billion in direct exports and more than $3 billion in total economic value every year. We cannot let this harm our farmers or economy.”