Post-Harvest Losses: The Silent Killer of Farmer Profits

Imagine spending months planting, weeding, and nurturing a crop, only to watch a significant portion of it spoil, get eaten by pests, or sell for far less than it is worth because there was nowhere to store it. This is the reality for millions of Nigerian farmers.

Nigeria is one of Africa’s largest agricultural producers, yet a significant amount of that food never makes it to consumers. Post-harvest losses, food lost after harvest due to poor storage, transportation, or handling, remain one of the most overlooked challenges in Nigerian agriculture.

In 2025 alone, Nigeria is estimated to have lost between ₦3.5 trillion and ₦5 trillion in agricultural value due to post-harvest losses. This is food that was successfully grown and harvested, but ultimately wasted because the systems needed to protect it were not there.

What Are Post-Harvest Losses?

Post-harvest losses occur at different stages after harvest. Produce can be damaged during transportation because of poor roads and inadequate packaging. Grains stored in poor conditions may attract pests, rodents, or moisture, while perishable crops like tomatoes, fruits, and vegetables can spoil before reaching the market.

A farmer’s profit is not just what they grow. It is what they can preserve and sell at the right time for the right price.

Why Smallholder Farmers are Most Affected

Smallholder farmers are especially vulnerable because many lack access to proper storage facilities and reliable market systems. During peak season, when supply is high and prices are low, farmers are often forced to sell immediately to avoid spoilage. Without storage, they cannot wait for better market prices.

Poor road infrastructure also worsens the problem.  Produce may spend hours or days in transit, arriving at markets damaged or unsellable. In many cases, farmers also lack access to training on proper drying, storage, and post-harvest handling practices.

The Real Cost

It is easy to think of post-harvest losses as a food waste problem. But for the smallholder farmer, it is first and foremost an income problem.

Every spoiled bag of grain or damaged basket of vegetables represents a loss of income, reduced savings, and fewer resources to invest in the next farming season. Over time, these losses compound. They make it harder for the farmers to repay loans, save, and to build the financial cushion that would allow them to farm more ambitiously.

What Can Be Done

Access to better storage is one of the highest-impact interventions. Improved grain storage bags, communal storage facilities, and even basic changes in how produce is dried and kept can significantly reduce losses at the farm level. When farmers are trained on proper post-harvest handling, the right time to harvest, the right way to dry, the right way to store, the difference in outcomes can be remarkable.

Market access is equally important. When farmers are connected to reliable buyers and have a sense of when and where to sell, they are less likely to be forced into distressed sales that undervalue their harvest. Aggregation, pooling produce from multiple farmers, can also give smallholders the scale they need to access better markets and better prices.

At Babban Gona, we understand that a farmer’s profitability does not end at harvest. It depends on everything that happens after, and that is why we work to ensure our farmers are supported not just in growing well, but in protecting what they grow.

The Bigger Picture

Nigeria cannot solve its food security challenges while losing trillions of naira worth of produce every year to preventable post-harvest losses. Reducing those losses is not just good for farmers; it means more food reaching more people, less pressure on prices, and a stronger agricultural economy overall.

The harvest is not the finish line. For a smallholder farmer, it is the beginning of the most critical part of the season, the part where everything they worked for is either protected or lost. Getting that part right matters enormously.

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Frank Altman

Non-Executive Director

Pioneer of secondary markets for community development and $3.5B+ in managed funding.

Frank Altman is the founder and first CEO of the Community Reinvestment Fund (CRF), USAwhere he pioneered secondary markets for economic development loans. Under his leadership, CRF funded over $3.5 billion in loans across 50 U.S. states. He was instrumental in designing the federal New Markets Tax Credit and is an advisor to the Federal Reserve Bank of San Francisco.

Altman is an Ashoka Senior Fellow and the author of A New Capitalism: Creating A Just Economy That Works For All. He brings global expertise in risk management and capital structures to Babban Gona.

Michael Jainzik

Independent Non-Executive Director

Michael Jainzik works as an independent consultant and brings his extensive expertise in the areas of agricultural finance, international investments, risk management and corporate governance. He is currently based in Rome, Italy.
 
From 2001 to 2011, Michael worked as an investment professional at KfW Development Bank, focusing on international debt financing and equity investments in investment funds and banking institutions, mainly in the areas of agricultural finance and microfinance. From 2011 to 2015 he worked as Director of KfW’s office in Windhoek. In this role, he helped manage and develop KfW’s EUR 250 million portfolio in Namibia. From 2015 to 2017, he took on the position of Head of Corporate Development at Access Microfinance Holding, where he was responsible for structuring and leading a merger process between Access Holding and another company.
 
Prior to joining Babban Gona, Michael served as a non-executive director in Access Bank Azerbaijan (2006-2011, Chairman), Belarusian Bank for Small Business (2008-2011), Rural Impulse Fund II Luxemburg (2010-2011) and AB Bank Zambia (2011-2016).
 
Michael studied economics and management at the Universities of Lüneburg and Witten/Herdecke (Germany) and at ETEA – Universidad Loyola in Córdoba (Spain) and holds a Master’s degree in economics and management.

Alhaji Bello Maccido

Board Chairman

Over 32 years of executive leadership in corporate and investment banking.

Alhaji Bello Maccido is a distinguished leader in the Nigerian financial services sector. He currently serves as the Chairman of FBN Merchant Bank Ltd. and has previously held board positions at FBN Holdings Plc, First Bank of Nigeria Plc, and Legacy Pension Manager Limited.

He holds the traditional title of “Wakilin Sokoto” and is a Fellow of both the Chartered Institute of Stockbrokers and the Chartered Institute of Bankers of Nigeria.

Alhaji Maccido’s educational background includes an LL.B from Ahmadu Bello University and an MBA from Wayne State University. He is a Barrister at Law (BL) of the Supreme Court of Nigeria and an alumnus of executive programs at Harvard Business School and IMD Lausanne.

Muhammad Sanusi, CON

Chairman of the Board

His Highness Muhammad Sanusi was appointed the 10th Governor and Chairman of the Board, Central Bank of Nigeria on 3 June 2009. He earned Bachelor’s and Master’s degrees in Economics from the Ahmadu Bello University, Zaria, and also has a first-class degree in Sharia and Islamic Studies from the African International University, Khartoum, Sudan.
 
From working as a lecturer at the Ahmadu Bello University, where he taught Economics, he joined the banking industry in 1985, and by January 2009 had risen to General Manager and Group Managing Director of First Bank of Nigeria PLC, Nigeria’s oldest and biggest bank. Mallam Sanusi has been conferred with a National Award of Commander of the Order of the Niger (CON) by the President of the Federal Republic of Nigeria and has also been awarded the “Global Central Bank Governor for 2010” by The Banker Magazine, a publication of the Financial Times.
 
He was also voted Central Bank Governor of the Year for Sub-Saharan Africa 2009 (an award he won again in 2010) by Emerging Markets, a publication of Euromoney Institutional Investors. In 2011, Mr. Sanusi was named Forbes Africa Person of the Year for 2011. He was also listed by TIME Magazine as one of the 100 most influential people in the world. Kola Masha (Managing Director) Prior to Babban Gona, Kola was a Managing Director and CEO of a major subsidiary in the Notore.

Lola Masha

Non-Executive Director

Dr. Lola Masha is a seasoned technology leader with over 15 years of experience at the intersection of mobility, technology, and agriculture. She currently serves as a Partner at Antler, a global early-stage venture capital firm. Previously, she was the Regional General Manager for North, East, and West Africa at Bolt, overseeing strategic operations in a high-growth mobility sector.

Her career includes leadership roles as Director of Trust and Safety at OLX Group (overseeing 30+ markets) and Country Manager for OLX Nigeria. She was also one of the earliest employees at Google Sub-Saharan Africa. Dr. Masha holds a PhD in Chemical Engineering from the University of California, Berkeley, and a B.Sc. from the University of Virginia.

Kola Masha

Managing Director

First leader of a for-profit social enterprise to win the Skoll Award for Social Entrepreneurship.

Prior to co-founding Babban Gona, Kola was CEO of a subsidiary in the Notore Group, where he led a commercial strategy to sell one million tons of fertilizer and raised $130 million in equity.

He has held leadership roles at GE and Abiomed and served as a Senior Advisor to the Nigerian Minister of Agriculture.

Under his leadership, Babban Gona became the first for-profit social enterprise to win the prestigious Skoll Award for Social Entrepreneurship, recognizing the organization’s innovative approach to transforming smallholder farming in Nigeria.

He holds an MBA with Honors from Harvard and a Master’s in Mechanical Engineering from MIT.

Kola Masha

 

Prior to Babban Gona, Kola was a Managing Director and CEO of a major subsidiary in the Notore Group, one of Nigeria’s leading agricultural conglomerates, where he raised US$24 Million to develop an integrated agricultural trading, production and processing business.

Furthermore, he led the development and execution of Notore’s commercial strategy across West and Central Africa, preparing the company to sell one million tons of fertilizer and establish a modern seed business.

He led the effort to raise $130 million in equity and the restructuring of $360 Million in debt. Kola brings significant leadership experience in venture capital, corporate finance, business development, marketing and operations, across four continents with multiple global companies, including GE, Notore and Abiomed. In addition, Kola brings extensive public sector experience as Senior Advisor to the Nigerian Minister of Agriculture.

In recognition for his leadership in driving positive change on the African Continent, he has received several global awards including the prestigious Eisenhower Fellowship, a leading leadership institute led by General Collin Powell and appointed to the Board of the African Enterprise Challenge Fund, a $250 Million fund that awards grants and repayable grants to private sector companies to support innovative business ideas in agriculture, agribusiness, renewable energy, adaptation to climate change and access to information and financial services. Kola holds an MBA (Honors) from Harvard and a Masters in Mechanical Engineering from the Massachusetts Institute of Technology.