The Anchor Borrowers’ Programme, ABP was launched by President Muhammadu Buhari on November 17, 2015 and is intended to create a linkage between anchor companies involved in the process of selecting key agricultural commodities and small holder farmers.The focus of ABP is to provide seed to farmers and cash to grow the crops. This will help to boost production of the select commodities and make sure there is constant supply of the commodities to the agro processors.The programme targets farmers who produce cereals (Rice, Maize, wheat etc.); Roots and Tubers (Cassava, Potatoes, Yam, Ginger etc.); Tree crops (Oil palm, Cocoa, Rubber etc.); Legumes (Soybean, Sesame seed, Cowpea etc.); Livestock (Fish, Poultry, Ruminants etc.). Others include: Cotton, Sugarcane, Tomato, etc. The fund given to the farmers are loans. The participating banks, which work with the CBN lend to Anchors at 9% per annum for onward disbursement to the farmers. The loan is repaid by the farmers after the crops have been harvested with the harvested crops which must cover the loan principal and interest.
Anchor Borrowers’ Program (ABP) is intended to create a linkage between anchor companies involved in the processing and small holder farmers (SHFs) of the required key agricultural commodities. The program thrust of the ABP is provision of farm inputs in kind and cash (for farm labor) to small holder farmers to boost production of these commodities, stabilize inputs supply to agro-processors and address the country’s negative balance of payments on food. At harvest, the SHF supplies his/her produce to the Agro-processor (Anchor) who pays the cash equivalent to the farmer’s account.
The target beneficiaries are smallholder farmers within Jere and maiduguri, to be engaged in the production of identified commodities which is rice. The Farmers should be in groups/cooperative(s) of between 5 and 20 for ease of administration. Inara foundation is anchoring the project in order to reach the target grassroots communities affected by insurgency to have a benefiting source of livelihood.