NACCIMA highlights hands-on measures to boost agric exports

Amid falling oil prices, inflation and devaluation, the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) has suggested proactive ways of boosting export of agricultural commodities to increase foreign exchange earnings and create millions of jobs.

At the one-day dialogue session on the national agriculture value chain themed, ‘Enhancing Agricultural Exports through Adequate Financing for Stakeholders in the Agribusiness,’ held in Lagos, NACCIMA and stakeholders in the agric sector observed that Nigerian agricultural sector is still dominated by peasant farming, just as high interest rates remain a major impediment to financing the sector.

They therefore suggested that in the GES arrangement, each of the state and the federal governments should provide 25 percent as support for seeds and fertilizer to farmers directly, rather than provide succour through the general price subsidy.

The stakeholders said while the Federal Government should increase the budget allocation to agriculture to at least 10 percent, single-digit digits interest rate should be in operation for farmers.

They said the paid up share capital of the Bank of Agriculture (BoA) should be raised to N500 billion, while its treatment should be at par with that of the Bank of Industry (BoI). 

“Government should provide incentives on imported farm tools and equipment to reduce their cost,” stakeholders said.

“All agricultural  products for export must be guaranteed and risk insured while finance- friendly banks should be underwritten by the Nigerian Export-Import (NEXIM) Bank and/or the Central Bank of Nigeria,” they said, adding that special arrangement need be made for women by BoA to aid their easy access to agricultural loan.

They further agreed that research institutes such as Raw Materials Research and Development Council (RMRDC) and the Federal Institute of Industrial Research Oshodi (FIIRO) should be empowered to come up with ways of developing and sustaining agricultural value chain, stressing that research and development arm of the private sector should be able to access research grants to fast track research and development (R &D) at all levels.

On his part, Mohammed Badaru Abubakar, president, NACCIMA, said the Federal Government should reconsider the fast-approaching ECOWAS Common External Tariff (CET) regime and revise the tariff on palm oil products in line with others whose tariff are clearly stated.

“The implication of not indicating the duty payable for this product implies zero duty,” said Abubakar, whose speech was read by  Sanusi Maijama’a, national vice president.

He said if this omission is allowed to stand, it will lead to flooding of the market with such products from our neighbouring countries of Ivory Coast, Ghana, Cotonou and Togo, where Nigerian products  are mostly dumped.

“While we are not unaware of the enormity of the challenges which impedes the full realisation of the foregoing, the association is of the view that the Federal Government should not rest on its oars until we achieve the full realisation of the country’s agricultural potentials,” he said.

He re-emphasised NACCIMA’s readiness to continue partnering with the FG to rejuvenate the agricultural sector so as to achieve food sufficiency for consumption, raw materials for industrial growth and boost  exports in a manner that will make the country achieve the target of being among the first 20 agriculturally developed nations by the year 2020.

ODINAKA ANUDU