The Federal Government, in collaboration with the World Bank, revises its compensation framework for land acquisition, establishing new rates for various crops in the North Central Zone.
The updated framework sets the value of matured cocoa trees at N160,000 per tree and N160 million per hectare. Additionally, matured mango trees are now valued at N105,000 per tree and N13 million per hectare, while matured cashew trees are valued at N45,000 per tree and N5.5 million per hectare.
The announcement is made by the Minister of Housing and Urban Development, Arc Ahmed Musa Dangiwa, during a meeting with state commissioners responsible for lands and housing at the 13th National Council on Housing, Lands, and Urban Development in Gombe.
This revision addresses an 18-year gap in Nigeria’s land acquisition compensation policy and aims to ensure fair and equitable compensation for individuals impacted by infrastructure and housing projects. It aligns with current economic conditions and international standards, providing a more accurate reflection of the value of affected assets.
The updated rates for economic trees in the North Central Zone are as follows:
- Cashew trees increase from N2,000 per matured stand to N45,000 per tree, and N5.5 million per hectare.
- Mango trees rise from N4,000 per matured stand to N105,000 per tree, and N13 million per hectare.
- Cocoa trees jump from N3,000 per matured stand to N160,000 per tree, and N160 million per hectare.
While these rates have been announced for the North Central Zone, a comprehensive rate card for all economic trees across Nigeria’s six regions is yet to be released.
Background
In October, Minister Dangiwa announces the government’s intention to review the compensation rates for crops and economic trees affected by national infrastructure projects. He points out that the previous compensation rates, set in 2008, are outdated and no longer aligned with current economic realities.
The revision aims to ensure that landowners receive fair compensation that accounts for both the financial value and the cultural significance of economic trees like cocoa, oil palm, and cashew, which are often tied to years of labor and heritage. The updated framework is designed to address both the financial and emotional impacts of land acquisition on affected communities.
