The Federal Government of Nigeria declared that it would take action to lower the country’s exorbitant Food Prices in 180 days, or by January 2025. Among these measures is the suspension of levies, tariffs, and taxes on specific food imports over land and sea borders, including cowpeas, rice, wheat, and maize. In addition, 500,000 metric tonnes of wheat and maize would be imported by the government. In order to maintain quality standards, the imported goods will be sold at suggested Retail prices. On his official X handle, Minister of Agriculture Abubakar Kyari described these intentions in detail, including help for small-scale millers and processors as well as efforts for increasing Agricultural Productivity and mechanization.
Also, the project has the backing of the All Farmers Association of Nigeria (AFAN), which emphasizes how inadequate Local Food production is. Other industry participants applauded the initiative as well, pointing out that it may help small firms and cut food prices. To increase local production, certain worries were expressed concerning the effects on nearby farmers and the requirement for Subsidies and Security upgrades. With a major reduction in food costs by January 2025, the Federal Government of Nigeria has outlined a comprehensive plan to reduce the high prices within the next 180 days.
It will also start importing 250,000 metric tonnes of maize and wheat.
Through the 150-day duty-free import window, the government would first suspend duties and Tariffs on a number of food imports, including maize, husked brown rice, wheat, and cowpeas, within the first 30 days. It will also start importing 250,000 metric tonnes of maize and wheat at the same time, which will be supplied to small-scale millers and processors. Recommended retail prices for these imported goods shall be determined and implemented by the ninety-day mark in order to guarantee affordability and uphold quality standards.
In the medium run, the government intends to accelerate dry season farming across the country by the end of the year, while also bolster agricultural mechanization to lower production costs and boost productivity. In the midst of the ongoing wet season, it will work with partners to establish best practices for manufacture and replenish the National Strategic Food Reserve, all the while sustaining smallholder farmers through current programs. Long-term initiatives will include creating programs to involve women and youth in the Greenhouse production of horticultural crops, as well as renovating and maintaining Irrigation facilities in cooperation with the Federal Ministry of Water Resources and Sanitation.
Priority will be given to funding agricultural research.
Due to the initiative’s goal of facilitating their access to markets and lowering post-harvest losses, producers of wheat and maize in Northern Nigeria would be significantly impacted from a variety of regional viewpoints. Mechanizing the production of cowpeas and rice in Southern Nigeria would be the main goal. Improved access to markets and inputs should be advantageous for smallholder farmers; yet, obstacles like competition from imported commodities still exist. Large-scale farmers may find increased Export opportunities, while consumers will probably gain from lower food costs, increased food security, and lower inflation.
Furthermore, the government intends to subsidize agricultural inputs like seeds, fertilizer, and contemporary farming equipment in order to sustainably promote local production. It is also essential to invest in rural infrastructure, such as storage facilities, irrigation systems, and roadways. Priority will be given to funding agricultural research to create pest and yield resistant crop types. Training farmers in post-harvest handling, market accessibility, and best farming practices will also be provided. Farmers will also benefit monetarily from more access to reasonably priced loans via agricultural banks and cooperatives.
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But there are a few possible roadblocks that need to be addressed. The flood of imported food may cause the cost of goods made locally to drop. To lessen this, the government could establish guaranteed purchase programs to purchase excess local products and provide price supports or direct subsidies to nearby farmers. Security concerns in agricultural areas are also a major worry, necessitating increased security measures to safeguard rural communities and the enforcement of rules that prohibit cattle from destroying crops. Important solutions can also include creating cooperatives and expanding transportation networks to increase smallholder farmers’ access to markets.