The National Cotton Association of Nigeria (NACOTAN) has called for the continuation of the Anchor Borrowers Programme (ABP) in cotton farming, in order to aid the growth and development of the cotton industry in Nigeria.
This call was made in a communique issued following the two-day Summit and Expo of the National Cotton Association of Nigeria (NACOTAN) held in Abuja recently.
“The sudden stoppage of the ABP after just two years created problems of continuity; there is need to fine-tune the programme to run for at least five (5) years in order that the full impact of the programme can be seen,” it stated.
The ABP which was launched by Muhammadu Buhari on November 17, 2015, aims to create a linkage between anchor companies involved in the processing and smallholder farmers of the required key agricultural commodities.
The communique also noted that the group was committed to pursuing recoveries of loans given to farmers through the ABP.
“NACOTAN must convince the need to pay the outstanding balance of input suppliers and service providers who executed their contracts fully but whose payments have been put on hold since the year 2020,” it stated.
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It also said that cotton farming in Nigeria be rebranded to become competitive and attractive, especially to the teeming youths
As part of the efforts to boost operations in the sector and make it attractive, the association has been tasked with following up on the offer made by NEXIM Bank to allow cotton to benefit from their Bank’s financing intervention as It was agreed that NEXIM Bank will collaborate with already identified commercial banks to develop a model of financing that will be suitable for the CTG sector, in addition, pursue the offer made by NEPC to support cotton by reducing exportation costs using the instrument of the Export Expansion Grant (EEG).
“NACOTAN establishing a working relationship (through the Malian Ambassador in Nigeria) with the Government of Mali through a Memorandum of Understanding (MoU), on cotton farming best practices while considering the Indian High Commissioner’s offer of training and re-training on cotton farming,” it stated.
Furthermore, the group must join the follow-up effort of the initiative to establish a bilateral agreement between Nigeria and India that allows both countries to pay for goods of trade with their respective currencies.
It added that revamping the CTG Sector is significantly hinged on reducing smuggling at the country’s borders, hence government must provide more aggressive control at the country’s borders by setting up an anti-smuggling Task Force at all points of our borders
“ The Federal and State Governments must as a matter of urgency, eliminate multiple taxation on CTG industries and products; Federal and State governments must be made aware of the need and importance of support to Nigerian Cotton Farmers and Cotton Ginners,” it stated.
The group commended the Bank of Industry (BOI) for supporting the CTG sector but asked that they continue in order to keep the sector active, it added that the military and paramilitary must be sensitized on the need to patronize the CTG Sector in their sourcing of fabrics, uniforms, and blankets for soldiers and prisoners.
