Farmer explains why prices of commodities will remain high

  Insecurity, unsubsidized inputs, high cost of mechanised farming has been identified as some of the factors responsible for increase in the price of commodities in the country.   According to the Lagos Chairman of the All Farmers Association of Nigeria (AFAN), Mr. Femi Oke, insecurity has driven many farmers away from their farms and […]

 

Insecurity, unsubsidized inputs, high cost of mechanised farming has been identified as some of the factors responsible for increase in the price of commodities in the country.  

According to the Lagos Chairman of the All Farmers Association of Nigeria (AFAN), Mr. Femi Oke, insecurity has driven many farmers away from their farms and has prevented them from going to the farm due to banditry, kidnapping, killings and farmer herder clashes.  

He noted that most of the inputs such as fertilizer are not being subsidised, hence the increase in price of commodities.  

“For someone that has over 50 hectares of land, how many fertilizers will such farmers buy. Many farmers would love to go into mechanised farming but not many can do that due to the cost.  

“If you have taken farming as your job or agribusiness, you can’t plant on one hectare and say you are a farmer. Rather, for an average farmer to start off, he or she needs between two and 10 hectares, that’s when you will be recognised as a farmer.   

“To cultivate two to five hectares of land, labour is needed and it is not easy to get. Such a farmer cannot be advised to go into mechanised farming because by the time you rent a bulldozer to uproot all the plants, the money has gone. An average day rental of bulldozer requires N80,000 and a minimum of 100 litres of fuel will be bought. With the high cost of diesel now, a lot will be spent on fuel. With the vast land, the bulldozer cannot cultivate the land in a day, so, for two days, N160,000 will be spent on cultivation. Also, around N80 to N90,000 will be spent on fuel. How much money are you now bringing out?”  

Proffering solution, he said, “When the prices of inputs are subsidised, the prices of commodities will not be high. Also, government should create a private partnership (PPP) with machine owners so that tractors, bulldozers and other machineries will be readily available at a subsidised price.”  

Asides subsidising, he urged the government to give loans to the farmers as and when due, adding that some percentage should be given to the farmers as grants.  

“We are not saying everything should be given as grants, it is a business. When some percentage is given as grants, it will encourage the youths and women in agribusiness. Farmers should be encouraged to apply. Despite applying for all these NIRSAL, CBN loan, it has not been implemented in the last two years,” he stated.