By Joseph Erunke, Abuja

In a major move aimed at accelerating agricultural productivity and strengthening Nigeria’s food security drive, the Equipment Leasing Registration Authority, ELRA, and the National Agricultural Development Fund ,NADF, have signed a strategic Memorandum of Understanding ,MoU, to expand farmers’ access to modern agricultural machinery through structured leasing arrangements.

The agreement, signed in Abuja by ELRA Registrar/Chief Executive Officer, Donald Wokoma, and NADF Executive Secretary/Chief Executive Officer, Mohammed Ibrahim, is expected to remove one of the biggest barriers facing farmers and agribusinesses—limited access to mechanised equipment due to high acquisition costs.

According to a statement issued by ELRA’s Head of Media and Corporate Communication, Adebola Brookslyn Sunday, the partnership will create a framework for affordable access to tractors, harvesters, irrigation systems, processing equipment and other critical agricultural assets needed to boost food production nationwide.

Speaking on the significance of the collaboration, Wokoma said the initiative would deploy a range of innovative leasing models, including finance leases, operating leases, lease-to-own arrangements and other structures permitted under the Equipment Leasing Act, to make modern farming equipment more accessible to farmers, cooperatives and agribusiness operators.

He explained that the partnership is designed to tackle financing constraints that have long hindered agricultural mechanisation, while also attracting greater private-sector investment into equipment financing and agricultural leasing.

Under the arrangement, ELRA will be responsible for registering lease agreements, maintaining records of leased agricultural equipment, supporting the development of tailor-made leasing models suited to the unique realities of the agricultural sector, and ensuring compliance with leasing regulations.

NADF, on its part, will provide advisory services and facilitate capacity-building programmes to enhance the effective operation and management of agricultural equipment.

Wokoma noted that the collaboration would also bring together key stakeholders, including financial institutions, equipment manufacturers, leasing companies, development partners and state governments, to drive large-scale agricultural mechanisation projects across the country.

He expressed confidence that the initiative would significantly improve access to modern farming tools, increase productivity, strengthen sustainable mechanisation practices and ultimately contribute to national food security goals.

The ELRA chief further disclosed that the Memorandum of Understanding will run for an initial period of four years, with the option of renewal by mutual agreement.

The partnership comes at a time when Nigeria is intensifying efforts to boost domestic food production and modernise its agricultural sector amid growing concerns over food availability, rising production costs and the need for greater mechanisation to meet the country’s food demands.