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12 Reasons Nigeria’s Agric Revolution Is Real Under President Buhari

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images 71 2 12 Reasons Nigeria's Agric Revolution Is Real Under President Buhari

“I will stand my ground and maintain my position that under my watch, [the] old Nigeria is slowly but surely disappearing and a new era is rising in which we grow what we eat and consume what we make.”
President Buhari, December 14, 2016
“We are determined to change Nigeria from an import dependent country to a producing nation. We must become a nation where we grow what we eat and consume what we produce.”
President Buhari, April 5, 2017
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President Buhari is determined to ensure that Nigeria grows what it eats and produces what it consumes. He has been determined to ensure this since he assumed office in 2015. One of the first significant programs he launched was the Anchor Borrowers Program, led and underwritten by the Central Bank of Nigeria (CBN).
Since then, Agriculture initiatives like the Presidential Fertilizer Initiative (PFI), FarmerMoni, Livestock Productivity and Resilience Support Project (L-PRES), NIRSAL Agro Geo-Cooperatives Scheme, NIRSAL Multi-Peril Crop Indemnity-Index Insurance, Agriculture for Food and Jobs Plan (AFJP), N-Power Agro, and others, have been launched to support the presidential vision to revolutionize Agriculture in Nigeria. Many State Governments and Private Investors are equally keying into this Presidential vision, with emerging positive results, including but not limited to the following:
1. In Kaduna and Kwara States, Olam invested $150 million to build Nigeria’s largest integrated animal feed mill, poultry breeding farm and day-old-chick (DOC) hatchery, and an integrated poultry and fish feed mill, respectively. These game-changing investments were commissioned in 2017.
2. Ekiti State Government is partnering with Promasidor to revive the hitherto abandoned Ikun Dairy Farm. The project has seen a 5-million dollar investment from Promasidor. At full capacity, the Dairy farm will produce over 10,000 litres of milk per day, and employ more than 1,000 workers. In addition, a new rice mill is under construction in Ado Ekiti.
3. In Kebbi, in May 2020, GB foods opened a 20 billion Naira Tomato Processing Factory, and adjoining farm, the second largest factory in Nigeria and the only fully backward integrated plant in ECOWAS – and has the largest single tomatoes farm in Nigeria. When fully completed (all phases), the factory will be the largest fresh tomatoes processing factory in Sub-Saharan Africa. The farm will produce industrial tomatoes in the dry season and soya beans in the rainy season. The soya bean oil will be used to manufacture GBfoods’ Mayonnaise.
4. In Ogun, GB Foods in July 2020 opened its N5.5 billion state-of-the-art mayonnaise production factory in Sango, Ogun State. The soya beans to serve the plant will be farmed in its brand new farm in Kebbi State.
5. In Anambra, a year ago, October 2019, Coscharis commissioned its brand new Rice Mill, a 40,000 MT modular Mill. A second phase of 80,000MT capacity is under construction. Total investment by Coscharis comes to about 12 billion Naira. Prior to that, in 2016 the Company began growing rice on its own farms, and now has more than 2,500 hectares under cultivation.
6. Lagos State is building a 32-Metric-Ton per hour Rice Mill in Imota, one of the largest Rice Mills in Africa. It will produce 2.4 million bags of 50kg per annum, and create an estimated 250,000 jobs. It will source its rice from other States across the country, leveraging on the Anchor Borrowers Program of the Central Bank.
7. In 2018, Cross River commissioned its brand new 3 billion Naira Hybrid Rice Seedlings Factory to supply seedlings nationwide. The Factory, commissioned by President Buhari, is part of CrossRice, a multi-billion Naira Commercial Agriculture Development Project promoted by the Cross River State Rice Company Management Board, the Central Bank of Nigeria and Sterling Bank.
8. Under the Presidential Fertilizer Initiative, which launched in January 2017, a total of 22 blending plants were resuscitated as at the end of 2019, with a combined installed capacity of over 2.5 million metric tonnes. In that period more than 18 million 50kg bags of Fertilizer produced and supplied for sale. Prior to the launch of the PFI, only 4 fertilizer blending plants were in operation in Nigeria, running at 10% capacity utilization.
9. In Lagos, Dangote Group is building a 2-billion-dollar Fertilizer Plant that will be the biggest in the world, with a production capacity of 3 million tons of urea and ammonia per annum. It will commence production in the first quarter of 2021. It will make Nigeria the leading exporter of Urea in sub-Saharan Africa. Dangote Group in 2016 also launched a Rice Outgrower Scheme covering 150,000 hectares of land in Kebbi, Sokoto, Zamfara, Kano, Niger and Jigawa States, and is also building a 16MT/hour Rice Mill in Jigawa State, the first of six Rice Mills planned across the above-mentioned States.
10. In Ondo State, Nigeria’s leading grower of cocoa, a 9 billion Naira Chocolate Factory has just been commissioned in September 2020, with the capacity to produce 2.8 million tonnes of chocolate per annum. According to the Governor, to guarantee the supply of cocoa beans to the factory, a 1,700-hectare cocoa plantation has been revived, with 250 farmers.
11. The 2020 Wet Season Harvesting has commenced; with it will come a moderation in food prices. For example, Ogun State started harvesting Rice in August (the rice was planted in March). The State is developing hundreds of hectares of rice at Rice Hubs across 10 LGAs of the State, under the Value Chain Development Programme (VCDP), a partnership between the Federal Government and the International Fund for Agricultural Development (IFAD). Also under the VCDP, women farmers in Niger State are seeing a four-fold increase in rice yields. In the Hadejia River Valley in Jigawa State, which was largely spared the devastating floods that affected parts of Northwest Nigeria, Rice Harvesting has also commenced.
12. The National Food Security Council (chaired by President Buhari, with Kebbi State Governor as Vice Chair) has met twice in recent weeks to tackle the issues of flooding and rising food prices. Relief interventions are being made available to the farmers affected by the flooding in Kebbi and other parts of the Northwest, and they are gradually bouncing back and preparing to re-plant. Parts of the Southwest that had previously suffered shortfalls of rain are also now seeing a reversal of this situation.
“Through the food security initiative, we are promoting “Grow What We Eat” and “Eat What We Grow”. I am also delighted that more and more Nigerians are taking advantage of the opportunities in the agriculture and agri-business sector.”
President Buhari, June 12, 2020

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Agriculture

Buhari Orders Reduction In Price Of Fertilizer From N5 , 500 To N5000

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5f6af5f277303 Buhari Orders Reduction In Price Of Fertilizer From N5 , 500 To N5000

President Muhammadu Buhari has ordered the reduction of the cost of fertilizer from N5,500 to N5,000 naira per bag.
The reduction was announced by the Vice Chairman of the National Food Security Council and the Governor of Kebbi State, Atiku Bagudu.
He disclosed this on Tuesday while briefing State House reporters in Abuja after the council met with the Chief of Staff to the President, Professor Ibrahim Gambari.
Bagudu explained that the Federal Government’s decision to reduce the price was to ensure food security in the country.
“You are a living witness to the trend in the country. Before the program, fertilizer was sold for between N8,000 to N12,000 in 2016 and when we started the Presidential Fertilizer Initiative, it was brought down to N5,500 that is the NPK and this has been the trend for three years and now the president decided to reduce it by another N500.
“So, you can sell fertilizer at N5000 to the farmers and the factory price at N4,500. This has been going on, but we have a problem with one of our key raw materials, urea that is being supplied by Indorama out of Port Harcourt,” he said.

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Agriculture

Don’ t Rush To Sell Your Produce, Bauchi Agric Commissioner Warns Farmers

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images 11 5 Don’ t Rush To Sell Your Produce, Bauchi Agric Commissioner Warns Farmers

Farmers in Bauchi State have been warned not to hurriedly sell their harvested grains to food merchants from neighbouring states in order not to suffer hunger in the future.
The warning was given yesterday by the state Commissioner for Agriculture, Samai’la Adamu Burga, during an interactive session with journalists in his office in Bauchi.
According to Burga, the warning becomes imperative due to the fact that the prices of foodstuffs will soar high in the remaining months of the year.
The commissioner said farmers in the state need to reserve food for the rainy days and resist the temptation of selling their harvest early to meet their needs as they may end up buying those foodstuffs at a higher price later.
He lamented that farmers are rushing to sell their produce and described this as dangerous.
“It is disheartening that the minimum food that is produced, people have started selling it out.
“This is dangerous because between July and August, a bag of maize was sold for almost N30,000 and in the previous months, farmers were selling a bag of maize for between N14,000 and N15,000 thinking that they were making profits, only to be forced to buy the same maize at above N30,000 during the hunger period of July and August.
“Farmers should reserve their food for rainy days. They can sell their animals whenever they are pressed financially and not their harvest,” the commissioner advised.
He, however, called on district heads, community and religious leaders to prevail on their followers to be wary of food merchants who will be coming to buy at cheap prices now.
“I am appealing to district head, community and religious leaders to educate their followers to reserve their food as merchants from other states will come and buy at a cheap price and sell it for a higher,” Burga said
He said that from the prediction of the meteorological agency, rainfall will extend to the end of October in the state and added that the soil in the state is already saturated.
According to him, with this situation, more additional rainfalls will lead to flooding in the state.
Burga then advised farmers who farm on river banks in the state to stop leaving their farm produce on the banks, saying that when there are heavy rains, the produce will be washed away.

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Food Inflation Up By 108% Since 2015 , Despite Billions On Agriculture

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images 2020 09 17T151826.988 Food Inflation Up By 108% Since 2015 , Despite Billions On Agriculture

Nigeria’s food inflation has more than doubled since August 2015, exactly 5 years after the Buhari Administration took charge of the Nigerian economy.
This was determined by comparing the composite index for food inflation rate in August 2020 versus same period in 2015. The difference is a whopping 108% increase in inflation rate, in just 5 years. Within this period, Nigeria’s exchange rate has been devalued by 49%.
Whilst the Nigerian economy has been ravaged by a very low oil price environment, since it fell from over $100 per barrel in 2014, most of the reasons for the increase in cost of living are partly attributed to some of the policies of the government.
Since 2015, the government has focused on a ‘grow-what-you-can-eat’ policy, pouring billions of naira into the agricultural sector. Since its inception in 2015, the Anchor Borrowers Programme (ABP), has received about N190billion disbursement from the CBN.
Another N622billion was lent through banks under the Commercial Agriculture Credit Scheme. Add the various grants, tax incentives, and concessions, that’s almost N2 trillion spent in the last 5 years on helping Nigeria to achieve food self-sufficiency.
Whilst modest successes have been recorded, the cost of staple food items remain high – galloping in each passing month. Since the border closure was announced in August 2019, the food inflation rate has risen every month,
from 13.17% in August of 2019 to 16% last month. It is projected to hit 20% by the first quarter of 2021 , when the effects of the increase in petrol and electricity prices are accounted for.
Nigerians have never had it this bad. Despite the good intentions of the government, things have not particularly turned out well. A common challenge in trying to solve a problem is not being able to manage what is outside of your control. In agriculture, a lot seem to be outside of the control of this government.
Yield per hectare for most farming is well below global standards, driving up the cost of whatever is left to be sold to Nigerians. Farmers also face insecurity, flooding, and sometimes famine affecting their ability to plant and harvest. Even after harvesting, supply chain challenges still persist, leaving farmers to contend with middlemen, transportation, and storage. The result is far less farm produce reaching the final consumer.
For items under its control, it still cannot determine the outcomes, and the causes and effects. Just last week, it announced the banning of maize, only to flip-flop after learning that poultry farmers lacked maize feeds to grow their chickens. It quickly granted licenses to four companies to import maize.
Thus, while the government attempts to manage what it can control such as banning of imports, denying access to forex, and of course border closure, it cannot solve all these problems with CBN funding and banning. They are structural, and require a better approach that is private sector driven, yet pragmatic. The government also needs to tell itself the truth; Nigeria cannot be self-sufficient by banning.
So long as we continue to avoid relying on data and objective reasoning, to balance the need for local agro-processing and imports to meet demand, food inflation will remain high and galloping. Who knows, by the time this administration’s tenure is up, we could be looking at a state of emergency driven by a full blown food crisis.

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