Agriculture boosts Nigeria Economy with N777 billion

NaijaAgroNet

Despite the austerity measures in Nigeria, the Federal Government has said the country’s economy has grown by N777bn, courtesy of the Agricultural Transformation Agenda (ATA), reports NaijaAgroNet.

Honourable Minister of Agriculture and Rural Development, Dr. Akinwumi Adesina, made this known at the inauguration of the African Development Bank-assisted Agricultural Transformation Agenda Support Programme Phase I, which held at the International Institute for Tropical Agriculture in Abuja.

The minister told NaijaAgroNet that the total agricultural GDP growth in a period of just three years within 2011-2013 surpass the total collective GDP for the eight-year period of 2000-2008.

“The Agricultural Transformation Agenda has added over N777bn in income to the economy. The agricultural GDP of Nigeria rose from N14tn in 2011 to N15.8tn in 2012 and N16.8tn in 2013. The total agricultural GDP in just three years (2011-2013) was N46.6tn, surpassing the total cumulative GDP for the eight-year period of 2000-2008 of N42tn,” he said.

According to Adesina, it was challenging for Africa to unlock all its capability to produce enough food to feed itself as well as feed the world even though the agriculture potential of Africa is vast.

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FG Empowers Bauchi farmers on Wheat initiative

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Over 400 registered farmers in Bauchi State have received support from the Federal Government of the state to boost their agricultural strength, in its Growth Enhancement Support Scheme (GESS), NaijaAgroNet.

Directorin the Federal Ministry of Agriculture and Rural Development, Alhaji Mohammed Yusuf, told NaijaAgroNet that the farmers, instead of going to the market to obtain a bag of fertilizer at the rate of N16,600, the government has offered it to them at the rate of N6,150 taking off them the remaining N11,350.

Alhaji Mohammed also said that each of the farmers received bags of fertilizer and enhanced seeds to increase their production.  Stressing this was done in order to bring to life the government hard work to increase the rate of wheat production in the country.

"The Federal Government came out with the wheat value chain initiative to assist farmers with inputs and create market for their produce. This is with a view to boosting productivity and enhancing economic status thereby reducing dependency on importation.” Alhaji Mohammed said.

 

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Power generation exceeds 4,000mw in Nigeria

NaijaAgroNet:

Federal Government of Nigeria may have exceeded 4,000 mega watts (mw) which saw to increase in power supply to homes, offices and business across the country, according to the Kande Daniel, special adviser, media and communication to the minister of power, Prof. Chinedu Ositadimma Nebo, reports NaijaAgroNet.

A press statement endorsed by Kande Daniel and sighted by NaijaAgroNet informed that after grid information was released last weekend, Nigeria’s generation capacity has gone up in excess of 4,000mw to 4,105.90mw as at last Tuesday.

Daniel further revealed a breakdown of how generated capacity was shared, with the industrial nerve-centre Lagos and environs getting the highest, a maximum load totaling 985.0mw, while the maximum load allocated to Abuja through Katampe and Gwagwalada power line was 410.80mw.

NaijaAgroNet recalls that Nigeria’s generation capacity as at mid last week stood at 3,795.30mw.

“The latest grid information has dismissed insinuations in some sections of the media that power generation dropped to less than 2,000mw,” Daniel declared.

Pointing out to NaijaAgroNet that the general view since mid-last week suggests that many households now enjoy enhanced power supply in their domains.

The ministry went on to assure on government’s resolve to consolidate efforts at removing all bottlenecks to sufficient power supply.

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Photo: Chinedu Nebo, power minister

USAID backs FG with N480bn agric fund

NaijaAgroNet: 

The United States Agency for International Development (USAID) is supporting the Federal Government’s agriculture programme with $3billion, about N480bn agric funding, reports NaijaAgroNet.

Governor, Central Bank of Nigeria (CBN), Mr. Lamido Sanusi, made this known in the company of  Federal Minister of Agriculture and Rural Development (FMARD), Dr. Akinwumi Adesina, who signed on behalf of the Federal Government, whereas the USAID Administrator, Dr. Rajiv Shah, endorsed the dotted lines for the agency.

NaijaAgroNet reports that the agreement, which was signed at the CBN headquarters in Abuja, showed that it will enable the parties to use co-guaranties, joint technical assistance, combined training and workshops for local banks and agriculturally-linked enterprises to encourage the growth of the agriculture sector in Nigeria.

Also speaking, Shah said under the agreement, the US would immediately provide guarantee of up to $100m in commercial lending to Nigerian banks. Stressing that the move will help increase private financing to the sector as well as reduce banks’ apathy to agricultural lending.

“We are very proud of this partnership agreement because we know that in all of the promise and success that the future holds for Nigeria; agriculture nearly 70 per cent of small scale farmers lack access to financing. Because of this partnership, hundreds of millions of dollars will be made available so that farmers can access and improve their production system and their processing operations,” he said.

Equally commenting, Adesina said the grant would help to address some of the issues affecting lending to the sector by banks, noting that the high interest rates, persistently decline in the quantum of lending to the sector and risk of default.

 “What this facility is going to do, and I really commend the Central Bank governor, is to reduce the risk of lending by banks,” he said.

Pointing out that  they were thrilled at the $8bn investment commitment into this sector in one year and  were also excited by the fact that of the N3bn that was lent last year to seeds and fertilizer companies, the default rate was zero per cent.

“So, on this facility, the central bank will put out risk sharing instruments, which will leverage the excess liquidity from the commercial banks. The total amount that we are looking at is $3bn overtime,” he said.

Adesina said, the amount that would be facilitated under the Nigerian Incentive-based Risk Sharing for Agriculture Lending had about four components.

The components are to reduce the risk faced by banks, provide technical assistance to banks, improve the agriculture value chain and provide insurance cover.

As said, Adesina noted that the grant is an endorsement of the fact that the Central Bank and the banking community recognise there is a revolution on the way in Nigeria in agriculture.

“They are ready to put significant financing behind it,” he said.

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FG engages non-militant youths in ICT, agric training

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The Federal Government has approved N807 million for the training of 2700 Niger Delta youth who are non-militants in information communication (ICT) technology and  agriculture in continuation of existing Programme with the Ministry of Agriculture, at the cost of N258.7 million and N549 million respectively, NaijaAgroNet reports.

The Special Adviser to the President on Media and Publicity, Rueben Abati, disclosed this while briefing journalists after the weekly meeting of the Executive Council of the Federation, FEC, chaired by President Goodluck Jonathan.

The Minister of State for Niger Delta, Dairus Ishaku, explained that the contract is part of the continuous engagement of government with youth and traditional rulers, hence government have decided to attach the youth to employers after the training.

“The training will be staggered across states in the Niger Delta area, including Cross Rivers and other states,” he said.

The federal government already spends billions of naira annually to train former Niger Delta militants who accepted the government’s amnesty programme.

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FG plans reduction on wheat importation by 20 %

NaijaAgroNet

The Federal Government has advanced plans to cut down wheat importation by 20 per cent and save over N127 billion from its annual wheat import bill of over N635 billion as from 2014.

Minister of Agriculture and Rural Development, Akinwumi Adesina dropped the hint in Lokoja during a two-day training workshop on cassava bread organised for master bakers from the North Central zone, stressing that government took the stance in order to reduce the bill and  implement its policy of 20 per cent substitution of wheat with cassava flour in bread production.

The Minister who was represented by his technical adviser on cassava value chain, Toyin Adetunji said that the master bakers’ training was part of measures aimed at developing cassava industry, create jobs and boost the income of the people.

NaijaAgroNet reports that Nigeria has become the pace setter in cassava production with a capacity of 40 million metric tons per annum, and being trailed by Brazil, Thailand and Indonesia.

“The challenge to us as a nation is that Thailand, which is the third largest producer of cassava, controls over 80 percent of the world market of cassava starch. Hence, there is need for us to play our role as a leading producer nation,” he said.

He disclosed that President Goodluck Jonathan had approved N10 billion as cassava bread development fund while the training of the 770 master bakers cut  across the six geo-political zones with a minimum of six bakers from each local government area of the country.

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Ezekwesili lauds development in agric sector

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Former Vice-President of the World Bank, Dr Mrs. Obiageli Ezekwesili,   has commended the Federal Government’s strides in the development of the agricultural sector in the country, NaijaAgroNet reports.

Ezekwesili made this commendation while speaking the press in Lagos, stressing that the focus on agricultur

e has empowered the farmers and also redirected the attention of over 60 per cent of the population into agriculture and other allied businesses.

NaijaAgroNet learnt from her that government initiative towards agriculture and agribusiness is very good as such was enhancing productivity in the sector and helping to tackle poverty.

``So, you go to that informal sector of agriculture, you provide them with the kind of tools and the kinds of facilities, the extension services, the links to the market, the seeds and inputs, the access to credit. With the better business environment, all of these add together to improve their productivity, and   therefore, will improve their income. Because when you enhance the income of the farmers, what it means is that they have more money that they can spend even in offering education to their children. So that circle of activities is so important for taking the entire society out of poverty. You don’t lift people out of poverty; you give people what they need in order to lift themselves out of poverty,” she said

*with additional report from NAN

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pix: Dr Mrs. Obiageli Ezekwesili,

Guanah charges FG to establish rice mills

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The Chairman, Raymos Guanah Farms (RGF) Mr Raymos Guanah has called on the Federal Government to establish rice mills in the rice-producing states in the country.

Guanah made the call in Asaba, Delta State, stressing that establishing rice mills would alleviate the burden of rice farmers looking for where to process their products and add value to their products.

NaijaAgroNet learnt that Guanah, who was the former Commissioner for Lands and Survey in Delta, that it’s also necessary for government to establish post-harvest storage facilities across the country to enable farmers preserve their products.

He charged government to ban importation of rice, subsidise agro-chemicals and farm implements to aid small scale farmers as only the provision of subsidy on fertilisers is not enough to boost rice farming.

He lamented that even though the country is blessed with arable land the greatest challenge faced by small scale farmers in the country was lack of government’s assistance and advised against politicising agriculture.

NaijaAgroNet noted from this technocrat turned farmer that it would be laudable for government to find ways of engaging members of the National Youth Service Corps (NYSC) in farming instead of allowing them to cluster in government offices doing nothing.

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Allocate 10% of budget to agric research- CASON

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The Coordinator, Agribusiness and Youths Empowerment of Community of Agricultural Stakeholders of Nigeria (CASON), Mr Sotonye Anga has called on the Federal Government to devote 10 per cent of the national budget to boost the capacity of research institutes towards the development of the agriculture sector, NaijaAgroNet reports.

Anga gave the charge at the presentation of his paper titled “New Path to Wealth: Micro and Small Scale Food Processing in Africa,” at the 29th Omolayole management lecture series in Lagos and stressed that government need to spend money in the sector in order to allow it add value to the lives of the people.

“I am worried how far our agriculture can go with budget allocation of less than three per cent of national budget allotted to agriculture. Let me state clearly that it will not be out of place to give at least 10 percent of our national budget beginning with 2014 to agriculture and maintain this trend for the next 10 years. This is the way to go if we are serious about accelerating development in the sector,” he said.

He called for more efforts to ensure that lending to the agricultural sector is on a single digit interest rate and said that “you will kill our farmers when you lend to them at 26 percent per annum.”

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