Renewed filip on revamping agriculture

Renewed filip on revamping agriculture.

Renewed filip on revamping agriculture

  • By Gbenga Salu on June 23, 2015
178
Cocoa farm
Cocoa farm
A barn of yams
A barn of yams

FOUR decades ago, Nigeria’s agricultural sector was the backbone of the country’s economy, contributing significantly to domestic production and employment. Besides, it was the principal foreign exchange earner for the nation.

The yields of that era such as the 25-storey Cocoa House in Ibadan still define discourse on how to deploy resource to ginger infrastructural development of a nation. But suddenly, the oil sector in the oil boom years overtook agriculture and the rest is now history as Nigeria continues to grapple with economic instability and its attendant manifestations in socio-political and economic dyfunctions on top of which is unemployment among teeming Nigerian youths.

The perceived abandonment of agricuture notwithstanding, reports as recent as 2009 indicated that agriculture contributed 41.84 percent to Nigeria’s Gross Domestic Product that year.

The disposition of President Muhammadu Buhari-led administration which listed agriculture as critical element in addressing challenges confronting Nigeria stems from the understanding that agriculture remains the only sustantially viable sector that can counter unemployment challenge frontally.

This point has been corroborated by the Encyclopedia of the Nations, an authoritative source of information on 193 countries in the world, including Nigeria.

Already, it is on record, although operating largely at the subsistence level, that the nation’s small-scale farms produce about 80 percent of the total food in Nigeria.

Curiously, however, agriculture and poverty are sometimes perceived as Siamese twins owing to the fact that poverty is mostly prevalent in rural areas where agriculture is pre-dominant and practised at the subsistence level. To chart a new course for agriculture, a coalition of Nigerian graduates inaugurated the Youth Initiative for Sustainable Agriculture (YISA) Nigeria, a body that leverages education to liberate small-scale farmers from primitive agriculture practices.

YISA’s programmes are set out to re-orient young people not to see agriculture as a development project, but as business. This reinforces concerted efforts by the governments at the federal and state levels in reorganizing the agricultural framework to boost food production.

Akinwunmi Adesina, former Minister for Agriculture and Rural Development, said at the launch of Youth in Agriculture at the Federal University of Technology, Akure that the government is committed to encouraging more skilled farmers and also changing the ideology of majority of people about agriculture.“With the launch of the “Youth in Agriculture”, farmers of the future that will make Nigeria’s agriculture competitive for decades have emerged. Agriculture is changing rapidly. Today, only countries that move into commercial agriculture have a chance to compete. We must change the way we train students, what we train them and what we prepare them for,” he added.

Significantly, vital interventions from the private sector have also complemented government’s efforts in alleviating poverty through agriculture. For example, the British American Tobacco Nigeria (BATN) and a few other organisations have been in the front-line of private sector initiatives in social development and poverty alleviation. The company has consistently been playing a significant role in partnering with communities, groups and governments through its strategic agricultural interventions which have transformed the lives of many smallholder farmers.

BATN has received encomiums and recognition for its efforts in raising agricultural productivity through strategic interventions that have created veritable livelihoods for many smallholder farmers in Nigeria.

The company was recently lauded by a group of smallholder farmers in Nigeria during the 10th year anniversary of the BATN Farmers Productivity Award ceremony. The event was held to honour best practices among smallholder farmers who were drawn from over 30 farmers’ groups in Oyo state.

Some of the prizes received by the farmers include motorcycles, generators, sprayers and water pumps with accessories. Other prizes include over-head water tanks. The awards were for their efforts in the 2014 farming season.

A lawmaker in the 7th Assembly who was member, Senate Committee on Agriculture, Anthony Adeniyi at the award ceremony said BATN’s effort in supporting smallholder farmers was most commendable and worthy of emulation. “It is very encouraging to see an organisation, such as BATN, supporting smallholder farmers through agricultural interventions that have transformed the lives of many smallholder farmers, thereby reinforcing government’s effort in alleviating poverty and creating employment,” he said.

Adeniyi urged “other organisations that engage in production in Nigeria to emulate this example. The more an organisation gets closer to producers of its raw materials, the better for them. By adopting this practice, such organisations will be able to advise appropriately on how to advance the cause of the industry.”

Some of the beneficiary associations at the award presentation ceremony included The Arigidan’s Farmers’ Group, The Asaju Farmers’ Group and Sakedu Farmers’ Groups, among others. Three beneficiaries of motorcycles, Saka Semiu Ojo, Oyedokun Mosunmola and Ayantokun Matthew commended BATN for its tradition of rewarding smallholder farmers regularly. Matthew, who spoke on behalf of the awardees, said: “We express our gratitude to BATN for coming to our aid. Today marks 10 years of consistent support from the organisation. We are grateful for the support they give us.”

Speaking during the award ceremony, Thomas Omofoye, Head of Leaf, British American Tobacco Nigeria, said: “The productivity award is designed to motivate the farmers for greater efficiency and productivity. This is because most smallholder farmers have misconceptions about farming by not seeing it as a business. As a result, we deemed it necessary to reward them by appreciating their efforts and commitment while also ensuring they earn a better living from their farming business. ”

Freddy Messanvi, Legal and External Affairs Director, BAT, said that it is imperative for BATN to support smallholder farmers as agriculture remains a very significant element of human life. “Agriculture is an important aspect of human life that contributes immensely to the economy through export, thus generating foreign exchange. Not only has agriculture guaranteed us food security, it has also served as a source of foreign exchange. It also supports reduction in the rate of unemployment,” he said, adding: “At BATN, we recognise the impact of agriculture on the Nigerian economy, and as a global company committed to local development, we are proud to invest more in grassroots agriculture by empowering farmers with our leaf growing scheme.”

On the challenges confronting the organisation in its agricultural interventions, Messanvi said: “Responsible farming practices are usually faced with challenges, one of which is child labour, a practice that is inconsistent with BATN’s operational standards. As an organisation, we are firmly against child labour and always encourage our contracted farmers to ensure their children’s education is unaffected by traditional agrarian practices.”

There is no doubt about the fact that the focus on smallholder farmers has the potential of improving farming practices. The farmers, who stand to benefit the most from such initiatives, will be empowered to be more productive and efficient. Who knows, he may move his game from subsistence to a commercial level. Organizations ought to be encouraged to invest more resources in running the game of smallholder farmers.

Buhari strategises for employment opportunities through agriculture

Buhari strategises for employment opportunities through agriculture.

Buhari strategises for employment opportunities through agriculture

  • By Yetunde Ebosele on June 2, 2015
311
Kaigama-1-17-1-15
Kaigama
WABBA
Wabba

 

 

 

 

 

 

 

 

THE critical role of agriculture in generating jobs for numerous Nigerians re-echoed at the weekend in Abuja during the inauguration of President Mohammed Buhari.

Agriculture according to experts has the potential of generating “millions of jobs” in Nigeria, if adequately harnessed.
The immediate past minister of Agriculture, Dr. Adewunmi Adeshina, who, incidentally is now President of Africa Development Bank (AfDB) campaigned vigorously for the revival of agriculture as part of measures to generate numerous jobs on a sustainable basis during the last administration.

Also, experts and labour leaders have called for agricultural legislation to pave way for policy and strategy that creates synergy between industrial agriculture and smallholder farmers with a focus on internal food security and food export.
Presenting his inaugural speech at the colourful ceremony, Buhari explained that unemployment, especially among youths feature prominently in the All Progressive Congress (APC) manifesto.

The APC had during the campaign pledged to create three million jobs on an annually basis.
According to Buhari, the new administration intends to attack “frontally” the challenges associated with unemployment through revival of agriculture, solid minerals mining as well as credits to small and medium size businesses to kick–start these enterprises.

He said: “We shall quickly examine the best way to revive major industries and accelerate the revival and development of our railways, roads and general infrastructure”.

Buhari’s resolve to ginger agricultural activities is coming on the heels of calls by the leadership of Nigeria Labour Congress (NLC) on the government to tackle unemployment challenges ravaging the country.
Specifically, NLC President Ayuba Wabba is of the opinion that adequate attention must be paid to agriculture “which has a capacity of employing millions of our people”.

He explained that Government must lead the way by making farming attractive to young people through the provision of modern agricultural inputs, equipment and other relevant infrastructure.

“There is also need to establish strong linkages between different sectors of our economy especially with regards to promoting industrialization and manufacturing that is focused on turning our agricultural products and other natural resources into quality semi processed and fully processed goods”.

He said: “An economy that is subserviently reliant on importation is only exporting jobs. There is need for government to begin to look at development from the prism of tapping into the abundant economic potentials offered by the entrepreneurial drive of the Nigerian people and the resources locked up in our soil.

“Government must build a bridge between the two. The bridge should be transparent and effective investment in other critical national infrastructure such as efficient education system, health system, railway system, national inter-state super highway grids, inland waterways, and dams”, Wabba said.

NLC explained that with 1.8 million youths being turned out of tertiary institutions annually, and with unemployment standing at a conservative estimate of 53 per cent, “there is virtually no household in Nigeria today where there is not at least one unemployed graduate who has spent the last three to nine years looking for the elusive job.

“In a country in dear need of scientists, it is unimaginable that hundreds of thousands of core science graduates are among the army of the unemployed. To say that this is a time bomb ticking gradually towards inevitable explosion is a gross understatement”.

Setting agenda for the new administration, NLC emphasized the need to diversify the economy and by extension create more jobs.

He said: “The diversification of the economy from oil is long overdue and is made urgent by recent developments in the crude oil production and market scenes, especially the shale oil and new findings across the world.

The enunciation of an agricultural legislation, policy and strategy that create synergy between industrial agriculture and small-holder farmers with a focus on internal food security and food export is a necessity”.

Despite the country’s wealth, Nigeria according to labour leaders remains “ironically a country with a high level of economic growth co-existing with a high level of poverty and inequality.

“While this growth is skewed towards enabling the rich to get richer no attempt is made to ensure that the wealth trickles down to the extreme poor. The most affected, have been workers and working families under the yoke of poor remuneration, uncertainty in the workplace, absence of reasonable social benefits, vulnerable work conditions and retrenchments.

“While the country in recent times is confronted with apparent fiscal and structural challenges exacerbated by low returns on oil price, the agony of workers should not be compounded by making them sacrificial lambs of economic mismanagement.
“Rather, the focus should be on job security and improving on the compensation structure as well as standardizing the social dialogue system to stem inequality and the brewing social discontent.

“The starting point should be to clear the outstanding wages of workers who have been denied payment of salaries ranging from two to eight months by all tiers of government. To argue that these wages will be kept in abeyance because they were owed by past governments will be unfair and unjust as we believe that government is a continuum”, said Wabba.
Besides generating more jobs, NLC leaders are emphasising need for job security, pointing out that casualisation “continues to be an issue in our relations with employers, many of whom are not prepared to pay for the labour they use”.

NLC said: ”We at the Nigeria Labour Congress recognise the transformations that have taken place around the world of work, where rigidity has given way to flexibility. However, we do not think Casualisation can be an option. This is a grievous anti-worker practice, which makes nonsense of our quest for decent jobs.

“In line with our promises to the Nigerian workers, the Nigeria Labour Congress under my leadership will offer strident resistance against casualization and outsourcing of jobs.

“While we encourage our affiliate unions to re-double their efforts in tackling this hydra-headed monster, we enjoin the government to partner with us to stamp out this ugly menace in our workplaces.

“The first direct symptom of the prevailing economic crunch; the continuous devaluation of the naira, has dealt devastating blows on the purchasing power of the Nigerian worker.

“This is unacceptable! The last national minimum wage of N18, 000 which was negotiated in 2010, is clearly no longer of any meaningful economic value to workers as the inflationary trends engendered by the continuing devaluation of the naira has made the minimum wage now grossly inadequate”, said NLC.

It explained that the nation’s economy continues to grow without jobs bringing benefits to only a few. “We demand an economy that provides jobs and other benefits. Similarly, we demand a halt to the de-industrialization process and the free fall of the Naira. We believe the restoration of the textile industry will be a good starting point.

“The development of an industrial policy that revives and harnesses the potentials of iron and steel and petrochemical complexes as well as the founding of national Information and Communication Technology (ICT) centres are both desirable and necessary.

“A coherent response to the national debt burden (put at N1.3 trillion) that ensures government’s obligation to the citizenry is not encumbered and the erection of stronger fiscal buffers are similarly necessary for stabilizing and growing the economy”, Wabba said.

The new administration is also expected to consolidate on the immediate past government’s plan to revive textile sector and generate not less than 100,000 jobs.

Indeed, the newly launched national cotton, textile and garment policy according to the former Minister of Trade and Investment, Dr. Olusegun Aganga is expected to outlay the roadmap for the revival of the comatose textile industry.

This comes as government has also sealed a pact for the revival of industry with an international garment manufacturer, Vlisco group.

Speaking on the initiative in Abuja, the Minister said the pact is expected to generate 100,000 direct jobs between now and 2017 with another 1.3million indirect jobs expected.

He explained that about $59 investment flow is expected to be committed into the Nigerian industrial master plan with another $14 billion going into petroleum products, chemicals and fertilizer sub-sectors.

Aganga argued that the steps are already being taken to diversify Nigeria’s economy as shown in the identification of 13 items government is targeting to diversify the national economy base.

He added: “If we must realize our industrial dreams, we cannot continue to be a country that will be importing petroleum products but a net exporter of refined petroleum products. As at today, Nigeria already has a solution to the plummeting oil prices in the international market. All that is required is accelerating implementation process. By doing this, we will be able to diversify the economy of this nation. All military and para-military agencies and government schools are now to purchase Nigerian-made textiles and garments. In addition, we will work with the private sector, schools in particular are to be encouraged to source their materials locally.”

With an estimated, 170 million people, the Minister submitted that Nigeria is in line to becoming the third largest nation in the world by 2070 after India and China, which is a massive asset for textile industry and other related goods to thrive.

He also lamented the inability of Nigeria and other African countries to make maximum use of the African Growth and Opportunity Act (AGOA), which allows unfettered access to the United States economy.

His words: “Most countries in Africa have the opportunity to export goods to the United States of America under the African Growth and Opportunity Act (AGOA). Sadly, most African countries have not been able to take advantage of this opportunity available to the exportation of non-oil sector. Only Mauritius, Lesotho, Kenya and South Africa have taken the advantage of this opportunity. Nigeria has not taken the opportunity to do this quota and duty free to export goods to the United States.”

He listed the advantages of the policy to include a rise from the current level of 24, 000 jobs in the sector to 200,000 direct employment by 2017.

“Also, indirect employment is expected to increase from 650,000, which we have today to 1.3milion jobs by 2017. It is also expected that cotton farmers, factory workers, tailors, fashion designers, garment manufacturers, wholesalers, retailers, logistic providers will all benefit from this policy. I am aware that some investors are presently exploring setting up of a tailoring academy in Nigeria. This will be another game changer that will have effect on job creation.”

On his part, the Chief Executive Officer of Vlisco group, Hans Ouwendijk, said the strategic partnership is a win-win situation for all concerned.

He said: “We want to assist Nigeria revitalize this important sector. Vlisco group has been operating since 1846. It designs, prints and distributes different garment brands. All the brands of garments we will be manufacturing in Nigeria will be a copy of what we do in other parts of the world with the same quality. We have started the process of getting cotton here in Nigeria for our operations. Discussions are on going with a Nigerian company to make this happen. From 1st of April 2015, our products will include cottons that are sourced from Nigeria. We have indeed began manufacturing in Nigeria and some of the products that were manufactured here have been exported to neighbouring countries like Ivory Coasts and Benin Republic.”

The NLC boss who addressed sundry issues during the May Day rally in Abuja recently, said: “We wish to emphasise that that Nigerian workers and indeed the whole global community expect a lot from him (Buhari) and his party (APC). The achievements of Buhari’s government will depend on the manner in which his administration immediately hits the ground, post inauguration; to deliver the change it promised Nigerians.

“Social challenges facing the Nigerian workers are many but it appears that most compelling are uncertainties in the work place. Many Nigerian workers are no longer sure of the commitment of employers to the fundamental work place principle of timely and adequate pay for work done.

“The gale of unpaid salary arrears in different public and private establishments has only compounded the perennial injustice of poor compensation for the sweat and blood of Nigerian workers.

“To crown frustrations faced by the average worker in Nigeria is the overt and covert threat of retrenchment devoid of reasonable social benefit or retirement plans. Delay and outright refusal by some states and federal agencies to pay the gratuities and pension of our retirees have forced our older colleagues into an undignified post work life. This is most unfortunate, reprehensible, abominable and condemnable”.

Agricultural Infrastructure: A Guarantee to Job Creation, Poverty Reduction and Food Security

Agricultural Infrastructure: A Guarantee to Job Creation, Poverty Reduction and Food Security.

 

Agricultural Infrastructure: A Guarantee to Job Creation, Poverty Reduction and Food Security

  • By Russell Duke & Michael Tichareva on July 1, 2015
252026

Farmers---CopyThe Agricultural State of Affairs
When we talk of infrastructure development, agricultural infrastructure is often the least mentioned, if mentioned at all! It’s not a surprise as people love to talk about power, roads, rail, airports, ports etc. It’s considered “sexy” to talk about these others, yet when we talk we forget that our tummies are full from agricultural produce! We forget, right?

The agricultural industry is often viewed backwardly with most young men and women who often grow up in abject poverty in rural areas preferring to migrate to cities where life is viewed as better but only to find out that it is actually often tougher.

At least we know a few food specialists, chemical engineers, agricultural engineers, agricultural economists, farm managers and commercial farmers and we can attest to the amazing work they are achieving in this industry.

The agricultural value chain is actually much more complex than one may think, especially when it extents to value adding activities of agro processing or food processing.

It is the back bone of many other secondary industries in many economies, especially the beverages and food sectors, and large companies have been built with agriculture as a base. Even Aliko Dangote, Africa’s richest man estimated to be worth close to U.S.$20 billion, has sugar and flour divisions, both derivatives of agricultural products, as key revenue generators within the Dangote Group.

Even the international conglomerate, Anglo American, was built on the basis of agriculture and mining interests. In most of Europe, North America, Russia, China, Brazil and many other successful countries around the World, industrial revolution was preceded by agricultural revolution. It had to be in that order. Once again, we forget the importance of agriculture!

Africa has large tracts of land, most of it very fertile, under-utilised and with great potential to feed the whole World. What we need is enabling infrastructure to unlock that potential, and to get the infrastructure in place, we need an enabling environment.

Agriculture is already a major employer of many people in Africa, contributing up to 60 % of the labour force in some countries, and between 40% and 80% of the total population reliant on agriculture across various countries.

The problem is that large scale commercial farming is small in the bigger scheme of things and concentrated in a few areas, surrounded by many small scale farmers who often engage in subsistence farming, generally not professionalised and achieving very low yields and incomes.

If agriculture is professionalised, and small scale farmers assisted and commercialised so that they make more meaningful and decent earnings, a lot more can be achieved. It means real problems facing the sector can be dissected and investment in appropriate infrastructure to address such problems increased. It means sustainable cities and economies can be created within agricultural hubs and there won’t be need for migration to large cities. It means industrial hubs can be created and the service sector can be developed with more supporting infrastructure around agricultural hubs. It means unemployment can be reduced and poverty reduction can be accelerated. We need agricultural infrastructure to do that and someone must take the lead.

Innovative approach
When we say high impact investment, we really mean it! We are sophisticated institutional investors, but we do not forget the basics as they are the building blocks. The Africa operations of National Standard is doing exactly that in South Africa, developing a model to develop small scale farmers that must be supported by sophisticated agricultural infrastructure. For success, it has to be operated across the whole agricultural value chain, including agro-processing. If successful, the model can be replicated in virtually every country in Africa, including Nigeria, and across the World. We have had discussions with a number of DFIs and they have shown great interest in the model, but it’s still not proven on any large scale, and its work in progress.

We were inspired by the Jobs Fund of the Government of South Africa acting through their Technical Advisory Centre in the National Treasury Department. They essentially created an enabling environment by encouraging private sector participation through matched funding support that must be secured through a competitive application process. We are told only projects showing the best potential will succeed. The aim is to encourage innovative and sustainable solutions towards enterprise development, in this case the development of small scale farmers and ultimately creating sustainable jobs and reducing poverty.

In view of the Jobs Fund initiative, National Standard partnered with a local commercial farmer, Johan Tijssen of Dicla Farm & Seeds (“Dicla”), in 2014 to develop a model for the development of small scale farmers. This is underpinned by strong risk management and sustainable farming practices, including implementing green initiatives. As a start, we looked at problems facing small scale farmers across the agricultural value chain. These are widespread, including lack of farming skills, lack of business & financial skills, poor access to cheap inputs, poor access to finance, lack of infrastructure & skills to manage and maintain the infrastructure, and poor access to market among many other factors.

We went on to note that the largest investment was actually required in agricultural infrastructure including livestock handling facilities, green-house tunnels, irrigation facilities, pack-house & storage facilities and other supporting infrastructure such as power, logistics and houses for workers. This has to be done in a coordinated fashion. We chose Pinocchio Farm, operated by Dicla, as the centre to hold these assets centrally for the project to support small scale farmers.

The model aims to leverage the already well-established Pinocchio brand in the market in addressing the challenges across the value chain. Other partners will be brought in as required, especially when it comes to specialised activities such as constructing and operating an agro-processing plant as beneficiation is a key element of the project for sustainability.

Dicla, a very experienced and successful commercial farming operation in its own right, applied to the Jobs Fund, with National Standard support, for 40% of the funding for the U.S. $40 million project and the partners will provide 60% matched funding. If successful, this will be a catalyst to new ways of developing agriculture in Africa based on sustainable farming practices and partnerships that involve small scale farmers as sustainable business units. It is still early stages, but we work on the basis of a glass half full rather than half empty! Optimism breeds innovation!

Guarantees
National Standard has led the initiative with an initial funding pledge of U.S. $25 million for the 60% balance of the funding, subject to the Jobs Fund application succeeding and our other conditions being met. The Jobs Fund will do well in providing matched funding of U.S. $15 million, but as we must still have guarantees for the balance of the funding, we will partner with a local bank being engaged to potentially provide a letter of credit to secure our funding. We are also currently investigating various insurance guarantee solutions in the international market.

Given the high development impact that this initiative is likely to have, if we succeed with the Jobs Fund application, we anticipate great interest from many other players and potential funders who have already been engaged and who have indicated may want to participate with us so that we can scale up the operations and replicate across South Africa and hopefully the rest of Africa, of course Nigeria included,

Farida Waziri Bounces Back, Commissions Worship Centre

Farida Waziri Bounces Back, Commissions Worship Centre.

 

Original text


Farida Waziri Bounces Back, Commissions Worship Centre

  • By Editor on July 4, 2015
133
farida waziri
farida waziri

Former Chairman of the Economic and Financial Crimes Commission (EFCC), Farida Waziri, has bounced back and better after her exit from the anti-graft commission.

Since her exit from the commission, she has not been really granting media interviews until when she spoke recently. Waziri while speaking a few days back, described President Muhammadu Buhari as a man of destiny who must be supported by all Nigerians irrespective of their religious, ethnic and political affiliations.

The founder and principal partner of Brookfield Chambers, a firm of legal practitioners based in Abuja, Waziri stated this on Saturday in Uga-Mbagwa, Oshongo Local Government Area of Benue State while fielding questions from journalists after the commissioning of her community’s worship centre.

She said: “My response to your question will be that I believe in President Buhari because he is believable and he has remained constant like the morning star since I know him and beyond that.

I’m sure that he is a man of destiny, a resolute, sincere and committed leader who says what he means and does what he preaches. “In the history of Nigeria, he is today the only leader who has contested the presidential election for four consecutive times and on the fourth time made history by defeating a sitting president”.