Agriculture
Border Re-opening: Implications for Nigerian Rice Producers, Consumers
By Alice Onukwugha
Recently, the Federal Government of Nigeria under the leadership of Bola Ahmed Tinibu, announced that it would reopen neighbouring Seme border.
Seme border was closed during the previous administration of President Muhammadu Buhari, leading to increase in prices of goods and high cost of living.
Since the announcement, analysts and business people, especially rice dealers have reasoned that the decision has both positive and negative implications for rice producers and consumers.
If the decision goes through consumers may have to enjoy lower prices, thus having more food on their tables, but there is the possibility that local producers may have to run at a loss because of high cost of production, according to Business Analyst, Ignatius Chukwu.
Chukwu, who is also the Regional Manager, South/South, South/East, Business Day Newspaper, with experience spanning over thirty years, told this reporter in Port Harcourt that border closure and reopening is a sensitive matter.
He said: “In fact, anything border is a sensitive matter. So when you close your border it has very big implication on Trade and Commerce and International Trade. And when you open your border, it also has very big implication for any country and countries sharing those borders.
“First our reopening of borders will impact on goods that are smuggled into Nigeria. Some goods enter Nigeria properly and officially. Proper dues are paid, regulations are allowed to play out, quality control will take place. But on the other hand, smuggled goods usually benefit alot when the border is open.
“And we think rice is the number one smuggled goods. So in terms of local pricing, it will surely impact local pricing. Naturally it will reduce the cost per bag and it means that traders will have a boost and consumers will buy it cheaper. That is natural.
“So those who will benefit will be consumers and traders. But we know that consumers and traders are not those who create wealth. Where attention will go to will be local farmers.
“Automatically when the imported rice floods the market and the price goes down, the people who produce rice in Nigeria, whose cost of labour is very high, transportation is very high, inputs such as fertilizers and pesticides, those costs remain very high. It means that the price for local rice will remain high while the price for imported rice will go down.
“It automatically means that demand for imported rice will go high and demand for local rice will go down. So local rice farmers will not be smiling over the policy because if they took loan to produce they will be scared if they can pay back.”
The business analyst faulted President Tinibu for taking decisions of national and international implications when he was yet to constitute a cabinet.
“That is why the Federal government would have set up a cabinet and the minister of agriculture would have come up with various indices and scenarios, studies towards our local rice production and capacities and capabilities, volume and quantity and weigh it against importation.
“Unfortunately, most of these sensitive policies are coming out when there is no cabinet. They are decisions of one man or a faceless caucus. Because the only recognised decision making body in any country is the Federal Executive Council where policies are properly debated. But when important policies like subsidy removal, foreign exchange policies, border policies are taken without a properly constituted cabinet, I see it like the thinking of one man and that is why you see some of those policies we are already having difficulties.”
He, however noted that border opening is in line with international practice of open market. “But on the other hand, border closure annoys international agencies such as World Bank, World Trade Organization (WTO), International Monetary Fund (IMF) because the world preaches open border, which means open market. So those who shut down their borders, they usually do it in defiance of global policy and when you do it you won’t leave the border close forever because it’s seen as a hostile action”, he stated.
On his part, a rice dealer at the popular Creek Road Market in Port Harcourt, Kingsley Emeka described the announcement as a welcome development.
He said: “We the rice dealers and sellers welcome the decision because it will make the price of rice to come down. For example, we sell Nigerian rice presently, N42,000 (forty two thousand naira while foreign rice is sold at N45,000 (forty five thousand naira). But I know that if they open the border you will see that it will drag the price of the local rice down.
“When President Goodluck was here, a beg of foreign rice was N8,000 (eight thousand naira) because border was open. But now because of the closure of border it made the price of rice higher”, he said
On whether it will affect local production, Emeka said: “Yes it will affect local production, but right now most people like Nigerian rice because of the taste and there’s no more stones but we will like the foreign rice to be there so that there will be competition.”
He also used the opportunity to call on customs to reduce import duties on food stuff. “It is not also good that customs impose so much duties on food products. Drugs and other items as such are imported into Nigeria too but not so much duties is imposed on them, so why must it be food stuff, especially rice”, he said.
He pointed out that he made more sales when rice was cheaper. “We were making more sales when rice was cheap because it’s not everybody that can afford forty thousand naira to buy a bag of rice. My customer who has burial program budgeted for two bags of rice but she was able to buy only one bag because of the price. But if it were to be when rice was cheap she would have bought the two bags and that means more sales for me”, he added.
The National Biotechnology Research and Development Agency (NBRDA) has urged the media to stand in the communication gap in favour of biotechnology development n Nigeria, re-affirming the safety in the consumption of genetically modified foods.
Prof. Abdullahi Mustapha, Director General/Chief Executive Officer of the agency, affirmed this during a one-day media field trip to NBRDA FARMS on Monday in Abuja.
The trip was organised by Open Forum On Agricultural Biotechnology (OFAB), an initiative of the African Agricultural Technology Foundation (AATF).
“Today, you shall be visiting our TELA Maize farms. This provides an exciting opportunity to see for yourselves what we have been doing here and equally gather your findings on what you have seen today and then take back the message to the people to quell some of the miscommunications about Genetically Modified Organisms (GMO) crops.
“TELA Maize hybrid varieties were developed to address some of the pressing challenges facing our farmers, including pests and diseases that can significantly reduce crop yields,” he said.
According to him, the production of the TELA MAIZE hybrid was done through the combined efforts of scientists at the Institute for Agricultural Research (IAR), Zaria in collaboration with stakeholders in key institutions such as NBRDA, NBMA, NASC, and the AATF Research Team.
“We are here to showcase our demonstration farms of genetically modified versions of commonly consumed crops developed by our scientists that have enjoyed rave reviews from the global world of science and the agricultural sector.
“These experts have worked tirelessly to ensure that this crop is not only high-yielding but also safe for human consumption,” he added.
He noted that the National Biosafety Management Agency (NBMA) has been instrumental in ensuring the safety and efficacy of TELA Maize which is believed to have the potential to transform the agricultural landscape in Nigeria and beyond.
Dr Jean Baptiste, the Regional Representative of the African Agricultural Technology Foundation, said that GMOs were aimed at leveraging the potential of biotechnology to develop a system that will help farmers.
He said Tella maize is a variety, developed using biotechnology methods to control insects.
“It also checks the resistance to drought and controls army worms, and stem borers in maize.
“At the end of the day, the benefits are enormous because it helps farmers increase yield and to be able to meet food security issues.
Dr. Francis Nwankwo, a TELA MAIZE developer from the African Agriculture Technology Foundation (AATF) explained the processes saying Tela maize passed through a genetic transformation that happens at the DNA level .
“They are not manufactured. What happens is we identify genes that can inhibit the infestation or reduce the infestation of some lepidoptera pests that affect some crops.
“So when we identify those genes we incorporate them into the DNA of maize thereby making it the maize, plus the genes.
“That way we increase the genes and reduce the struggles that our conventional maize go through on our farms like the stem borrower and others,” he said.
In her presentation, Dr Rose Gidado, Director, Agricultural Biotechnology Department, NBRDA, explained that many countries have derived huge benefits from TELA maize citing countries such as the U.S. and Canada.
“We actually brought you here so you could see the disparities between the TELA MAIZE and the non-TELA MAIZE species, and the environment which is far different from what we see on social media.
“We have other crops like beans that have actually been through the same gene transfers and are doing perfectly well and are safe for consumption,” she said.
She, therefore, urged the media to be on the guard in view of a lot of misinformation going round on social media and take responsibility in providing related information to the public adequately and objectively. (NAN)
Ms Surah Animashaun, the Chairperson, Epe Local Government, has empowered 200 farmers with cash and other agricultural inputs to boost food production in the area.
Animashaun distributed the agricultural inputs to the beneficiaries at the council secretariat in Epe on Thursday in Lagos.
She said the initiative was aimed at supporting farmers in order to boost food production in the various communities of the council.
Animashaun said the farmers who benefitted from the gesture are expected to be considerate in their price fixing after harvest to ensure the affordability of food for all Nigerians.
“With the economic situation now and the support being giving to you, farmers should be reasonable in fixing prices after harvest to ensure that ordinary Nigerians source food at a more convenient price nationwide.
“We are here to give you support for your farming activities today, we expect that you reciprocate tomorrow by selling at a more affordable price to the people tomorrow,’’ she said.
Animashaun explained that each of the benefiting farmers received N50,000 and essential grains such as maize and sorghum.
She said the council would continue to support the farmers for them to be strong in farming activities.
Animashaun also used the medium to highlight her administration’s ongoing efforts in the extension of palliatives to other sectors of the economy.
She urged the communities in the area to maintain harmony, love, hospitality, and compassion, particularly in the face of the present economic challenges.
Also speaking, Mr Sikiru Owolomoshe, the Vice Chairman of the council, urged the farmers to take advantage of the gesture to improve their activities in order to encourage others.
Mr Olayinka Kazeem, the Secretary of Epe Farmers and a beneficiary, expressed gratitude to the council chairperson and her management.
“This is the first time we are witnessing this kind of programme and it is coming at a critical period when many states are facing food shortage,’’ he said.
He assured that the beneficiaries would do their best to ensure the objective was achieved.
Mr Ahmed Surakat, the Public Relations Officer of Lagos State Fishermen Cooperative Association, and Mrs Kafilat Animashahun beneficiaries, extended their gratitude to the council chairman for her unwavering support to farmers.
Earlier, the President of the Epe Farmers Union, Mrs Aminat Shabi, lauded Animashaun for the comprehensive support to other agricultural value chain such as fish farmers and livestock producers.(NAN)
By Tony Obiechina, Abuja
The Rural Access and Agricultural Marketing Project (RAAMP) has been described as an appropriate and very effective means of realising food sufficiency and security across the country.
The National Coordinator of RAAMP, Engr Aminu Bodinga Mohammed who made the assertion during the 7th Joint World Bank and French Development Agency Implementation Support Mission of RAAMP at the Shehu Musa Yar’Adua Centre, Abuja, pointing out that most urban centers derive their supply of food from farms, which are located at the rural communities.
His words: “the primary objective of RAAMP is to improve rural roads and trading infrastructure through to boost food production.
Therefore the successful implementation of this project could go a long way towards guaranteeing food sufficiency and security across the country”.He solicited for concerted efforts by all stakeholders to ensure an all-round success of the project.
Aminu noted that the mission was to evaluate the current implementation status, milestones as well as challenges faced by the 19 states participating in the project and announced that arrangements had reached an advanced stage for the commencement of civil works on agro-logistics centers (ALCs) latest by September, 2024 with 23 major contracts that would be awarded across the states.
ALCs refer to market hubs that have been prioritised for transformation to ultra-modern standards at various locations across the country , notably in rural communities to empower and enhance the livelihoods of the people.
Also speaking, the Task Team Leader of the World Bank, Mr. Rakeesh Tripathi hinted that a scale-up was being mooted for the project but emphasized that only states which must have established and operationalised the Rural Access Road Agency (RARA) and State Road Fund (SRF), backed up with the required standing on counterpart funds would be eligible to access the scale-up funds.
He therefore advised all states to take advantage of the mission and get the needed support to tackle every challenge facing their State Project Implementation Unit (SPIU), adding that all the 36 states and the Federal Capital Territory would be encouraged to embrace the scale-up project.
Highpoints of the exercise were presentations by the State Project Coordinators of the respective participating states, question and answer sessions, comments and observations, among other inputs by the stakeholders.
The Task Team Leader of the French Development Agency, AFD; Consultants from the World Bank; the Federal Project Management Unit, FPMU as well as State Project Implementation Units, SPIUs of RAAMP also attended the mission.
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