Rekindling hope in small scale farming

While agriculture remains central to Nigeria’s economy, its performance has lagged. The relatively low rate of agricultural productivity is caused by many factors, including poor seeds and fertiliser supply. Micro Reforms for African Agribusiness in Nigeria (MIRA-NIGERIA), in collaboration with Nigeria Agricultural Business Group (NABG) and other stakeholders, is taking steps to strengthen public-private implementation partnerships to improve food production. DANIEL ESSIET reports.

Life is improving for many farmers in Bauchi State and other parts of the North due to private efforts supporting local agriculture by the Nigeria Agricultural Business Group and other organisations. The establishment of new food processing businesses and farming ventures in the region has forged new pathways for rural families to stay on the farm, attracting new producers to farming and food-related businesses. It has also brought about a new appreciation for rural production and entrepreneurship among food companies, large and small.

But the situation has changed in  the last three years. This followed the insurgency in the North-east, where farmers are unable to cultivate their land. The threat forced them to abandon their fields. In most cases, the insurgents destroyed infrastructure, increasing the suffering of the people.

The hike in fuel, fertiliser and labour prices, occasioned by Boko Haram attacks, didn’t help the situation. The situation was pretty chaotic with all crops. Significantly, the overwhelming insecurity broke the supply chain and farmers couldn’t overcome the perils and costs of cultivating in a conflict zone.

Other problems were input, such as seeds, and then there is the issue of transport and distribution.

Lamenting the situation, the Coordinator, Nigeria Agricultural Business Group (NABG), Mr Emmanuel Ijewere, said farmers in the North are facing a big challenge  of having  to transport their products over roads that have become battlegrounds.

Addressing a stakeholder’s consultative workshop on Micro Reforms for African Business in Nigeria (MIRA) in Lagos, Emmanuel Ijewere said tackling insecurity in the Northeast has become a critical issue for the government if it is to help frightened farmers willing to step up output to boost food production in the midst of increasing security threat.

Calling on the government to boost security to help farmers keep their lands in production and prevent the situation from deteriorating, Ijewere added that food markets and distribution systems have been severely disrupted.

With targeted support and favourable policy conditions, he expressed hope that farmers could increase their productivity and contribute to hunger and poverty reduction goals. He stressed that improved government’s investment in smallholder farming, will result in increased agricultural productivity and output.

In the era of planned development, Ijewere wanted commercial banks to play an active role in the agric development process rather than being a passive agent for providing financial services.

For him, Nigeria provides huge opportunities for food supply chain stakeholders.

To this end, he said NABG is partnering with MIRA to support government to make and implement policies that will help farmers improve yields and increase profitability.

On security of input meant for farmers, the Director, Farm Input Support Service, Federal Ministry of Agriculture and Rural Development, Mr Jatto Ohiare said the government was making efforts to address security challenges by providing escorts to accompany farm input to farm locations in threatened areas.

The National Coordinator, MIRA-Nigeria, Dr. Tony Bello, noted that some of the challenges the farmers were facing include poor access to capital, poor infrastructure, inadequate market structure and low levels of public investment – all exacerbated by ineffective policy making and implementation.

Faced with these challenges, he stressed that improving policy-making is imperative.

He maintained that the purpose of MIRA is to promote policy formulation that will transform agriculture to a ‘productive, high-value, market-orientated’ sector through a number of interlinked interventions and policy reforms. These, he listed, to include the intensification of crop production, the organisation of farmers into cooperatives, and facilitating access to inputs.

Consequently, the Alliance for a Green Revolution in Africa (AGRA) has formed new implementation partnership platform with NABG, Seed Association of Nigeria (SEEDAN) and Fertiliser Suppliers of Nigeria (FEPSAN) on micro reforms, especially for smallholder agribusinesses in Nigeria.

Bello said AGRA is committing $700,000 to Micro Reforms for African Agribusiness in Nigeria, an  initiative that  will boost the operational position of small farmers in business.

Bello said by working with Federal Ministry of Agriculture and Rural Development, NABG and others, AGRA could help facilitate micro reforms for agribusi-nesses as it affects smallholder farmers in the country.

Former Head of Agric Finance Department, FirstBank, Ernest Ndubuisi Ihedigbo, stressed the need for the government to promote an integrated approach towards addressing constraints on the agricultural extension system.

On financing agriculture, he said the nation has a robust finance system that is positioned to support the financing of smallholder enterprises.

The Executive Secretary, Seed Association of Nigeria (SEEDAN), Alhaji Ibrahim Abdullahi, restated the commitment of the association’s members to continue to support the current drive towards boosting agricul­ture in the country.

He assured that the association’s members were capable of producing seeds to meet national needs, thereby guaranteeing food security in Nigeria.

He reiterated readiness to support reformed policies and regulations to local and international private sector investors in order to create awareness about improved business enabling environment in seed production and supply.

Executive Secretary, Fertiliser Suppliers Association of Nigeria, (FEPSAN), Alhaji Ahmed Rabiu Kwa said there are efforts to promote better access of small farmers to fertiliser.

Senior Manager, Sales and Marketing at TAK Agro & Chemicals Limited, Gideon Negedu, said better access to credit, for smallholder farmers, could bring about a revolution in agriculture.

Among others issues, the workshop urged the government to strengthen cooperatives as a vehicle to extend credit to farmer groups.

The workshop recommended the creation of an efficient system of agricultural finance and the development of a sound co-operative credit structure.

The workshop recommended the establishment of a private sector driven agric bank to meet agricultural credit needs. Several speakers during the forum focused on improving agriculture financing, promoting sustainable and equitable agriculture and rural prosperity through effective credit support, related services, institution development and other innovative initiatives.

Source: The Nation

Olam invests in Nigeria’s largest integrated animal feed mill, poultry breeding farms, hatchery in Kaduna

Olam International, a leading agri-business operating across the value chain in 70 countries, today announced that it is investing US$150.0 million (approximately 30.0 billion Naira) to set up two state-of-the-art animal feed mills, poultry breeding farms and a hatchery to produce day-old-chicks in Nigeria.

At a co-hosted ground breaking ceremony held in Kaduna State today, Olam Group Nigeria and Governor of Kaduna State, H.E. Malam Nasir el-Rufai, welcomed the Minister of Agriculture and Rural Development, Chief Audu Innocent Ogbeh representing the President of Nigeria, H.E. Muhammadu Buhari. The event marks the commencement of works on the project site where Olam is setting up Nigeria’s largest integrated animal feed mill, breeding farms and hatchery.

Olam’s CEO for Africa, Mr Venkataramani Srivathsan, commented: “This is the latest investment by Olam in Nigeria’s domestic food and agricultural production sector after our recent investments in wheat milling assets and the ongoing development of our 10,000-hectare rice farm and mill in Nasarawa State.

“This new venture into animal feed is a win-win for Olam and Nigeria. Domestically produced meat is being hampered by a lack of good quality feed, support for farmers and availability of young stock, but consumption is set to increase. By investing in poultry and fish feed, we can utilize the wheat bran from our wheat milling operations, as well as maximize our sourcing networks to buy corn and soy from local farmers. Our investment in the hatchery will help boost poultry production and, in the long run, help reduce the country’s reliance on imports. This development underlines the continued confidence we share in Nigeria’s ambition for self-sufficiency.”

Of the US$150.0 million in total investments, approximately US$100.0 million (approximately 20.0 billion Naira) has been committed to building and operating the facilities in Kaduna State while US$50.0 million (approximately 10.0 billion Naira) is for a second investment in an integrated poultry and fish feed mill located in Kwara State.

According to the statement released by Ade Adefeko, Head Corporate and Government Relations, Olam Nigeria ‘At full capacity, both feed mills are expected to produce in excess of 600,000 tonnes per annum of high-quality poultry and fish feed, with the Kaduna facility supplying mainly to the Northern markets and the Kwara facility to the South-west region. The poultry breeding farm in Kaduna is expected to produce over one million hatching eggs every week for the hatchery.

The feed mills will procure most of their corn and soybean requirements locally, spurring growth of these domestic crops. Olam will create over 100,000 metric tonnes of in-house storage capacity, which will also help support food security.

Source: DailyPost

FG to open up 200 dams for irrigation — Ogbeh

The Minister of Agriculture and Rural Development, Mr Audu Ogbeh, said on Friday that the Federal Government plans to open up over 200 underutilised Dams to boost irrigation across the country.

The minister disclosed this at the ground-breaking ceremony of the largest poultry farm in sub-Sahara Africa, located in Kaduna.

Ogbeh, who was presented by Executive Director Operation of the ministry, Mr Obinna Okpara, said that the government also plans to focus on exploring the local and foreign market for farmers.

He said that the emphasis would be on poultry, beef, milk, goat and sheep which are in very high demand in Nigeria and beyond.

The minister reiterated the resolve of the federal government to ensure food self-sufficiency in the country.

He said government’s vision for the revival of agriculture sector between 2016-2020, was to transform the sector into a viral engine of growth and accelerated national development.

“The overwhelming goal of the roadmap is to build an agricultural business economy capable of meeting our domestic food security, generate export to broaden national revenue base.

“This is to support sustainable income through wealth creation, promotion of entrepreneurship for fostering youth employment and enhancing national productivity.”

The minister stressed that under the road map, Nigeria anticipates self-sufficiency in local staples within 36 months in rice, maize, millet, wheat, legumes and soya beans production.

According to him, this would help achieve import substitution and significantly stabilise and reduce the high import bill currently being generated on food items.

“Reaching this target and other outlined issues on our roadmap will entail total cultivation of additional two million hectares of land yielding two crops in a year.

“It is clear that huge volumes of food is needed to feed our national population of 170 million people, and agriculture can no longer be treated as a seasonal enterprise fully dependent on rainfall.”

He said the investment by Olam in Kaduna would reduce over dependence on imported products.

“It is no doubt a spectacular investment in line with the determination of the federal government to diversify the nation’s economy.”

The minister decried the massive importation of frozen poultry products into the country, which is costing the nation over 100 million dollars annually, thereby depleting the country’s foreign reserve.

He said that the government is currently tackling the issue of Avian Influenza in partnership with the Poultry Association of Nigeria.

He urged Olam to invest in research and development in animal health and extend extension delivery services to farmers.

In his speech, Gov. Nasiru El-Rufai of Kaduna State said the Olam investment would create jobs and offer ready market to farmers for grains and soya beans.

He also said the project would enhance economic activities through transactions in eggs, day old chicks and other poultry products.

The governor pledged to attract more investments into agriculture and mining so as “to put money into people’s pocket, because people with money do not fight.

“As a government we can only directly employ tiny population of our people, but we will provide enabling environment for private sector to employ millions of people.”

In his comment, Olam’s CEO for Africa, Mr Venkataramani Srivathsan, said the company would invest 150 million dollars into the project.

“This is the latest investment by Olam in Nigeria’s domestic food and agricultural production sector with the investment of over 30 billion Naira, US$150.0 million in total investments.”

According to him, the feed mills will produce in excess of 600,000 tonnes per annum of high-quality poultry and fish feed, and hatch over one million eggs weekly.

“The feed mills will procure most of their corn and soybeans requirements locally, spurring growth of these domestic crops.

“Olam will create over 100,000 metric tonnes of in-house storage capacity, which will also help support food security.

“The increased productivity and returns is expected to stimulate rural self-employment opportunities, particularly for young people,

“The company is developing community partnerships by working with the Kaduna State Government to develop a model for supplying eggs and chicken for its school meals programme at below-market prices.

“ It is also working with the neighbouring communities to create a Corporate Responsibility and Sustainability (CRS) agenda covering education, health and sanitation.”

Source:  Nigeriatoday

Nigeria Needs N112 Billion Seedlings in 2016 - Agric Minister

The Minister of Agriculture and Rural Development, Chief Audu Ogbeh, on Thursday disclosed that an estimated annual seed demand in Nigeria for 2016 is about 350,000 metric tonnes (MT) for rice, maize and sorghum with an approximate seed industry value of N112 billion ($564 million).

This is a quantum leap from the 122,000 MT valued at N43 Billion ($216 Million) in 2015, which suggests a supply-demand gap of about 231,000 MT valued at N81 billion ($409 Million).

The minister, while speaking at workshop to develop an action plan on seeds, organised by the National Agricultural Seeds Council (NASC), observed that the 231, 000 MT gap is filled through massive use of low quality seeds, such as farmers saved seed and supplies from unverified seed merchants.

This, according to ‎the minister, must be curtailed, so as to achieve self sufficiency in food production.

"We must reverse this unhealthy situation in order to increase the productivity and competitiveness of Nigerian agriculture, generate more income for farmers through bumper yields and block the huge loss of funds within the system. Given the agro-ecological suitability for these major crops and availability of adaptable cultivars, resources and manpower, a seed industry revitalization can be achieved with proper planning and coordination of the deployment of adapted varieties with yield potential of over 4.0 t/ha compared to the average 2.0 t/ha currently deployed on farmers' fields," he said.

Ogbeh who observed that Nigerian farmers record relatively low yield, compared to farmers in other countries, ‎charged stakeholders in the industry research and development.

"let me reiterate loudly my concern on the low yields of varieties in Nigeria compared to what obtains in other countries for which I challenge the Research, especially not only to brace up and do more; not only to improve and develop better varieties, but also to partner strongly with stakeholders to ensure that these varieties get to the hands of farmers."

Source: Thisday

Investor pledges $30m for Oyo agric initiative

Governor Ajimobi

The new agriculture initiative of Governor Abiola Ajimobi of Oyo State is being boosted with an investment of $30m by a Nigerian entrepreneur.

Mr. Babs Aina, Managing Director of Numerix Development Limited, offered to invest the sum in the sector with a view to  rejuvenating the state’s economy.

 Mr. Aina made the pledge at the second consultative assembly organised by the state at the International Institute of Tropical Agriculture, Ibadan.

He promised that the figure would progressively increase to $100m in the next few years, adding that the investment would target maize and soya beans in the interim.

At the forum were the Director-General of IITA, Dr. Nteranya Sanginga; Director, Institute of Agricultural Research and Training, Prof. James Adediran, top officials of research institutes and the Head, Development Finance office of the Central Bank of Nigeria, Ibadan, Mr. Bamiji Akinola.

Also in attendance at the event tagged “AgricOyo” were top officials of the Cocoa Research Institute, National Horticultural Research Institute, Forestry Research Institute of Nigeria, federal ministry of agriculture, among others.

Speaking at the event, the governor stressed that the target of the state was to harness the agriculture potential of the state with the ultimate ambition of becoming the food basket of the South-West, Nigeria in the short run and West Africa in the long run.

Ajimobi called for attitudinal change among the people, advising that the people must work hard to survive instead of relying on prayers alone to provide their needs.

He said, “Now that oil, which is the major source of economy of Nigeria, has crashed the government and our people should put to maximum use the available landmass, physical infrastructure and clean environment to invite investors for the economic growth of the country.

“Nigeria is now at crossroads, because even our strategic reserve is nothing to write home about. Oil is our largest source of income in Nigeria, but it has crashed due to oil glut in the international market.

     ”We are very lucky in Oyo State. Out of our 33 local governments, 28 are agrarian. So, what Lagos State has in water, Oyo State has in land. We need to harness these through the agriculture value chain to revive our economy.”

Source: The Nation

Gov Udom Assures Cocoa Farmers Of Better Incentives

Governor Udom Emmanuel of Akwa Ibom State, has said that his administration would continue to encourage cocoa cultivation in the state by providing incentives to farmers with at least five hectares.

The governor who  stated this  at the launching of Akwa Ibom Enterprise and Employment Scheme ( AKEES), said that if the state could cultivate a hundred hectares of cocoa, it will regain it’s ranking as one of the major producers of the crop.

“Akwa Ibom used to be the fourth largest producer of cocoa in Nigeria and we are ready to get back there.

‘’Our target, which is very measurable, is that in the next one and half years, we want to double current production.

“In the next three years, we expect to have up to 70,000 to 80,000 acres of cocoa plantation in Akwa Ibom. I am sure with that, we will rank among the first two in Nigeria”, he stated.

The state governor also explained that its commitment to undertake the cocoa maintenance and production scheme as well as coconut oil refinery was to ginger youths in the state to explore other avenues for economic growth through aggressive agricultural enterprise.

He said the state investment in that aspect of agriculture was because of their viable value chain as the price of cocoa and coconut oil remained higher than crude oil in the international market.

Source: Leadership

Nigeria: Abia to Secure N1 Billion Agric Loan From CBN

Abia state government is still engaged in efforts to secure N1 billion loan from the Central Bank of Nigeria (CBN) in order to boost agriculture, which is one of the pillars of its developmental policy.

The Chief Press Secretary to the governor, Mr. Godwin Adindu made this known yesterday while briefing journalists on the high points of the administration of Okezie Ikpeazu in the last 300 days, stating that the governor has remained consistent both in service and performance.

He said that the agricultural loan being sourced would be used to give real meaning to the agricultural revolution policy of the Ikpeazu administration, which is already gathering steam.

"This loan will be disbursed purely to genuine farmers and not for political patronage," he said.

The governor's spokesman said that government has indeed given serious attention to the agric sector and has launched the return to farming and women in fish farming initiative to create employment and boost food production.

He explained that "the initiative was aimed at empowering the youths and women by setting up farming cooperatives which will help drive key government policy a regards agriculture", adding that government would make land, finance and training accessible to farmers.

Adindu noted that the overall objective of the agric revolution policy of Abia government was to make agriculture a major "support base" of the state economy as government aims to make the economy less dependent on oil money from federal allocation.

He also said that the state has adopted a new approach to rural development with the formation of the Abia State Rural Infrastructure Development Initiative (ASTRIDE) aimed at providing at least one project in each of the 184 INEC wards across the 17 local governments.

Already ASTRIDE committees have been set up and they are required to choose for their areas the type of project needed from the list of government projects thereby closing the gap in infrastructural development in the rural areas.

Source: Thisday