News
Nigeria Lacks Framework for Tractor Leasing Investment, says Auto Firm Chairman
Atinuke Ajeniyi | 24th December 2025

Nigeria has continued to struggle with low agricultural productivity because it lacks a robust framework to attract critical tractor leasing investments, according to Prince Samuel, Chairman of Origin Automobile Works.

Samuel made this known during a press briefing held as part of activities marking the company’s 25th anniversary. 

He stated that while mechanisation remains essential to modern agriculture, Nigeria has failed to build the systems that make equipment leasing productive, affordable, and sustainable for farmers.

According to him, the country’s agricultural ecosystem is marked by deep structural gaps, particularly in maintenance services, insurance coverage, and farmer training, all of which are critical to a functional tractor leasing culture.

Samuel criticised government tractor intervention schemes that focus narrowly on distributing machinery without addressing the broader systems needed to support their use.

He explained that replacing manual labour with machines, without investing in training, maintenance, and operational efficiency, has often resulted in financial losses rather than improved productivity.

“You provided a tractor, but you didn’t teach the farmer how to use it efficiently,” he said.

“You didn’t provide quick maintenance support. That’s a problem.”

He added that many farmers are left with idle or poorly maintained equipment, undermining the very purpose of mechanisation.

Beyond training and maintenance, Samuel highlighted logistics as a major challenge undermining tractor-hiring schemes. 

Farms in rural Nigeria are often widely dispersed, making it costly and inefficient to move equipment between locations.

“You put a good tractor in one location, but farmers are 5 to 30 kilometres apart. If a farmer pays ₦10, and it costs ₦30 to transport the tractor, the system collapses,” he explained.

This, he said, discourages private operators from investing in tractor leasing and limits access for smallholder farmers who need mechanisation the most.

Despite these challenges, Samuel said Nigeria still has the natural resources and human capital to become a leading global food producer. 

However, he warned that productivity growth has remained moderate in recent years, threatening food security and competitiveness.

He called for a radical rethink of Nigeria’s food security strategy, arguing that many agricultural policies fail because policymakers are disconnected from on-the-ground realities.

As a solution, he urged the government to require ministers, commissioners, and senior officials to own or partner in farming ventures as part of their leadership responsibilities.

“There’s no easier way to understand agriculture than to own a farm,” he said.

“When people have a personal stake, policies become practical, not theoretical.”

Samuel stressed that data-driven and mechanised farming would be critical in meeting global demands for sustainability and traceability. 

He noted that Nigeria’s large and youthful population makes the moment particularly urgent.

With the proper policy support, he stated that mechanised agriculture could unlock youth employment, improve rural livelihoods, and position Nigeria as a climate-smart agricultural powerhouse once again.

According to him, empowering young people with access to modern equipment, training, and supportive leasing systems would not only boost productivity but also restore confidence in agriculture as a viable and profitable career path.

Source: BusinessDay