Despite the drop in fuel prices, prices of food items in Benue State have continued to be on the rise.
A visit to some major markets in the state including Wurukum Market in Makurdi Local Government Area, the state capital; Wannune Market in Tarkaa Local government, Naka Market in Gwer/West Local Government and Gbajimba Market in Guma Local Government Area, all in Benue North West Senatorial zone, show that prices are on the rise.
Also, at Zaki Biam Yam Market in Ukum Local Government, Adikpo in Kwande Local Government and Agberagba in konshisha Local Government Areas all in Benue North East Senatorial zone, a bag of rice is now between N65,000 and N75,000.
A bag of soya beans which used to go for between N14,000 and N18,000 is now between N85,000 and N95,000, and hundred tubers of yams that were previously sold for N20,000 to N40,000 now go for a hundred plus or even more than N200,000 depending on their sizes.
Today, yams are no longer sold per hundred tubers as before but per a tuber which was what was obtainable in the export markets.
This is applicable to all farm produce in Benue markets. Although farmers are making gains out of their farm produce, this has brought hardship to people of the state even across the country who largely depend on Benue as the Food Basket of the Nation.
Agricultural experts are of the opinion that the hike in prices of food items became necessary because of the increments in the purchase of Agricultural inputs such as tractors, fertilizer, herbicides and seedlings as well as physical labour, amongst others.
Desmond Tivkaa, an agro commodity middleman told BusinessDay that the hike in prices of farm produce has affected many businesses since it goes with rise in transportation cost, revenue levies and incessant emergence of illegal revenue check points mounted by government or security personnel.
Tivkaa stressed that agro middlemen in return contribute to the hardship by exorbitantly increasing the prices of farm produce to enable them make huge profits.
He said that a bag of cassava chips that was normally sold for less than N10,000 is currently sold for N35,000.
A Professor of Agriculture, who lectures at the Federal University of Agriculture, Makurdi, Wever Gbaa told BusinessDay that the hike in prices of farm produce in Benue was caused by the removal of fuel subsidy which has thrown Nigerians into hardship.
Wever noted that prices of farm implements such tractors, harvesters, fertilizer, herbicides, fuel and seedlings are high.
He also said that even the agro middlemen who buy and sell these farm produce were faced with challenges of transportation cost, taxation and physical labour of loading and offloading of goods at all points.
A transporter, Abu Kadir told our correspondent that transport business in Nigeria now was very tough, as the price of petroleum is no longer the same couple with numerous check points on the road.
According to him, transporting a truck-load of food items to Shagamu in Ogun State or to Lagos from Benue which used to cost between N800,000 and N1.2 million is now N2 million to N3 million.
Benue State government has been hitting hard to cushion the hike in prices of food items in the state.
The state Governor, Hyacinth Alia recently commissioned 33 new tractors for use by farmers. He also disbursed a total of N380,000,000, ($250,000.00) cheques to each community interest groups to embark on climate-smart agricultural activities.
The government distributed huge number of fertilizers at subsidized rates to farmers. The government also distributed to farmers herbicides and improved seedlings for farming activities.
It is no longer news that Benue State has been under attacks by suspected Fulani herders who have displaced several thousands of Benue people from their ancestral homes which led to shortage of Agricultural produce that brought about hike in prices of farm produce in the state.
The Benue State government has also launched a security outfit known as “Ayam Nyor,” an outfit that employed over five thousand (5000) personnel. The government empowered them with one hundred 100 operational Hilux vehicles and six hundred 600 motorcycles to ease their operations in the state.
On the side of the agro commodity middle men, Benue State government through Benue Investments and Property Company (BIPC), spearheaded price regulation to crash agro commodities such as rice, soyabeans, sorghum, millet and yams just to support Agro middlemen and crash commodity prices
In a move to curb arbitrary pricing of commodities and protect local farmers in Benue State, BIPC has introduced a disruptive mechanism to ensure fair pricing of commodities.
BIPC introduced price ceiling on commodities to protect both consumers and farmers.
With BIPC role in the price advisory space, it has caused disruption in the pricing to make essential farm produce more affordable and also impact positively on food security in the state. BIPC now advices on prices on major commodities as a subtle regulatory mechanism.
With the BIPC’s initiative, prices of agro commodities in the market, especially soyabeans, are now fair and not exploitative.
This move has also stopped sharp practices from middlemen that usually hoard farmers’ food items to resell at exorbitant prices.
Recall that the company in November last year promised to regulate price in the market space in Benue by introducing off-take of agro commodities such as paddy rice, sesame seed, soyabeans, maize, guinea corn and other commodities
The aimed is to promote competitive market by encouraging private sector investment in agricultural marketing and processing. This can provide subsidies or incentives to farmers to reduce production costs and increase supply. This can help reduce prices by increasing efficiency and addressing food insecurity and improving the economic conditions of Benue farmers.
The Group Managing Director and Chief Executive Officer of BIPC, Raymond Asemakaha disclosed to BusinessDay that the company’s initiative has succeeded in reducing the prices of soyabeans that was sold for N980 per kilogram in November to N970 per kilogram in December; while paddy rice that was sold during the period at N760 per kilogram is now sold at N660 per kilogram.
The Managing Director said that the initiative would establish a wholesale market for agricultural produce, which aims to reduce price and improve market for farmers.
He said: “We are not going to relent until consumers and farmers have value for their money as BIPC moves to ensure fair pricing.”
He indicated that Soyabeans price would further drop to N750 per kilogram in the coming weeks, while rice price would be pegged at N600 per kilogram.
Asemakaha highlighted that BIPC initiative has achieved the purpose it was intended to achieve, as it has guaranteed market, created fair prices and increased income for Benue farmers.
“As a result of this massive exercise by the company, this has triggered the crash of Commodities in the market, providing relief to consumers and farmers,” he said.
The GMD added that the Agro commodities initiative would ensure Benue Civil Servants and the people of the state have food items at affordable prices.
He commended Governor Hyacinth Iormem Alia for reducing poverty, improving livelihoods and ensuring sustainable development through the scheme.
The ongoing exercise is expected to continue on other major commodities, including building materials, spare parts and others to foster positive change with long term benefits to the citizens of Benue State.
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