Tag: Food

  • Economics and the Politics of Food – Chidi Amuta

    Economics and the Politics of Food – Chidi Amuta

    Chidi Amuta

    In July 2017, the tiny land locked but oil and gas rich kingdom of Qatar fell out with its Arab neighbours. It was charged with supporting terrorism! What made news was not just that Arab states ganged up to accuse their Qatari kinsfolk of a familiar neighbourhood pastime. The neighbours went ahead to clamp an air and land blockade on Qatar. No food and essential supplies would be allowed into the kingdom nor would Qatar Airways be allowed landing and over flight rights by its neighbours.

    The hope was that food and essential supplies scarcity and a bit of regional diplomatic isolation would force Qatar into better behaviour. The kingdom which had previously relied on the ports, air corridors and logistics companies of its neighbours for its food and essential imports was in trouble. But it had one unusual advantage: its bank balances were good and its treasury bulging.

    With surplus cash in the bank, Qatar could buy alternative supplies of food and other necessities from anywhere else in the world. But the loss of Qatar related food and supplies business took its toll on agriculture, logistics, haulage, shipping and related businesses in nearby Saudi Arabia, Bahrain and the United Arab Emirates. Regional farmers who produced for the Qatari market were in some trouble because of the loss of that market. Banking and finance institutions in the rest of the region with vital links to Qatar felt the bite as well.

    A very brief disruption of north-south movement of food supplies followed as a consequence of deteriorating inter regional relations. The prices of essential food items like onions, tomatoes and beef in markets in the South West and Lagos rose suddenly.

    Almost overnight, Qatar shifted to air lifting its food and essential imports. It quickly negotiated alternative air corridors and landing hubs for Qatar Airways and other Qatar bound flights. In one night alone, a series of Boeing 747 cargo planes landed in Doha, laden with grocery, food and other supplies including bottled water! One particular flight had a remarkable cargo. It was bringing in 350 well fed cows from Germany. More were to follow. In less than a fortnight, Qatar’s shops and markets were once again full of food and essential supplies at prices sometimes lower than what they were before the blockade. Soon afterwards, the diplomatic isolation and blockade withered as they began to have little or no effect on the lives of ordinary Qataris. Lesson? Be careful when you want to starve a free rich man!

    I recall this distant scenario only to draw attention to the recent threat of a north-south food supply blockade in Nigeria. It was prompted by what started as an intra communal disagreements among Nigerians of different nationalities in the Shasha market in Ibadan, Oyo state. Fear and a bit of mischievous political propaganda led to a violent escalation and deaths.

    A very brief disruption of north-south movement of food supplies followed as a consequence of deteriorating inter regional relations. The prices of essential food items like onions, tomatoes and beef in markets in the South West and Lagos rose suddenly. Governors from some northern states trooped to Ibadan in search of an amicable solution. Meanwhile in the border towns in Niger state that serve as corridors for the north-south food supply route, there was a pile up of trucks laden with perishable food items and rebellious cattle.

    As it turned out, farmers and traders in the north who depend on this vital trade to survive were being forced by politically minded elements to halt the southward movement of their merchandise to make a political point. The farmers, traders and transporters began feeling the pinch as their merchandise were rotting away and cash was rapidly in short supply. A primarily economic crisis was in the offing, fired by bad politics and irresponsible rhetoric. Capitalism was under the threat of the politics of bad manners.

    In the end, the primary forces at issue in our all too frequent simulated inter communal drama of violence and vitriol like the recent one in Shasha are food and money.

    Then the political hawks moved in even more overtly. Not content with fanning the embers of an imminent north-south confrontation over the Shasha market incident and recent criminal infractions by herdsmen, some politicians saw the looming north-south food blockade as yet another opportunity to enlarge the coast of a newfound politics of ethnic confrontation. Some political contractors in both the north and south west began exchanging hate rhetoric about the consequences of an imminent north-south food blockade. They used the Shasha market bloody brawl to threaten a south versus north face off should the food blockade take effect.

    Similarly, ambitious political groupings in the north such as the newly weaponized Miyetti Allah and a hurriedly assembled association of northern food traders liaised with political busy bodies of no fixed address. Kogi State Governor, Yahaya Bello, and the political nomad, Mr. Femi Fani Kayode, saw an opportunity for a free traffic in incendiary rhetoric and vitriolic hate speech. They made an opportunistic trip to the Niger state border towns where hired field thugs had halted the south -bound food convoys for political effect.

    The politicians had seen an opportunity. Their object was to appear relevant in resolving a worsening situation. They wanted to be seen to have helped negotiate a truce that would lead to the resumption of food supplies to southern towns, especially the south west and Lagos. Key security departments like Defence Headquarters(DHQ) and the Department of State Security(DSS) waded in to rein in the trouble makers facilitating the blockade of food convoys.

    The politicians still wanted to be relevant in the resolution. Professional political crisis hunters quickly arranged a well choreographed and televised visit to the President in Aso Rock Villa. The object was probably to conscript the president into a simulated resolution of a crisis that was never really there in the first place. Predictably, the food cavalry resumed moving after the security intervention and the visit to the presidency.

    What this brief skirmish reflects is the growing Nigerian tendency to smuggle politics into nearly every facet of our national life. More often than not, politicians meddle in small inter communal fights and in the process magnify them into major national security crises. If common criminals embark on escapades of kidnapping, armed robbery and opportunistic rape, our politicians profile them along ethnic lines in order to make the crimes fit into a ready template. If housewives from different nationalities have a yard quarrel and it spills over into street fights between rival ethnic gangs and neighbourhood thugs, the politics of identity and militant ethnic nationalism wades in. Worse, if jobless urchins in some retail neighbourhood in a northern town loot or torch some shops belonging predictably to some southern traders, political hell is let loose.

    No one can deny the reality and recent frequency of ethnic and identity frictions in our diverse polity. Nor can we deny a past history in which ethnic and regional differences have played a tragic role in igniting conflicts and crises that sometimes rocked the very foundations of the nation. But in nearly every recent upheaval along ethnic lines, the footprints of ambitious politicians can be seen clearly. They have been known to arm rival gangs, to inspire incendiary hate squads to unleash dangerous utterances. Political mischief has suddenly become a growth sector in today’s Nigeria.

    In quest of solutions to our frequent ethnic disruptions, however, I contend that we should begin overriding political solutions with economic considerations as part of our diversity management strategies. A great majority of the sources of our frequent upheavals tend to be economic. Our most frequent headaches come from farmer/herder crises, spontaneous frictions among traders in multi ethnic markets and grazing rights and sectarian infringements. In other words, when issues of economic interdependence between regions of the country are at issue, we should not allow nasty politicking to muddle up and aggravate situations. Why not allow market forces to resolve issues with governments acting as mediators and enablers? In matters that have to do with economic production or the movement of goods and services across regions and states, it is only proper that economics rather than politics should lead the way to a solution.

    Admittedly, the immediate theatre of anger in the Shasha market incident was a small private interpersonal aggravation which snowballed into an ethnic conflagration against a background of existing toxic relations fired by the activities of criminal herdsmen. But the interactions that have kept markets like Shasha thriving for decades are primarily economic and commercial even if at a rather primordial level. The northern traders, some of whom have settled in southern market towns like Shasha, Ogbomosho, Old Umuahia and others, see only a market for their wares. Their life long markets have become the only homes they know.

    The supply chain that feeds these markets and the larger ones in places like Lagos, Port Harcourt and Onitsha leads from the northern farms of Jigawa, Kebbi, Kano, Zamfara etc. that produce onions, cucumber, tomatoes, lettuce and assorted vegetables as well as the rearers and herders who sustain the cattle trade. These wares and the trade that sustains them has been in place for decades if not centuries. It is a trade route that has created opportunities for other value chains. Truck owners and drivers find work. Farmers get cash returns for their sweat in arid farmlands. Craftsmen who make fruit baskets and bags for transporting agricultural produce over long distances find work. Peaceful herders also find work, generate returns and master the national terrain as they ply their age long trade. A steady cash flow and economic sustainability is created which affects the livelihood of millions of Nigerians over a vast stretch of the country.

    In the southern markets, wholesalers and retailers of agricultural produce thrive. Retail markets are accordingly fed. Butchers markets are supplied with cattle on a daily basis. Private homes and the food hospitality industry sector are supplied. An interdependence has built up over the years which has become a vital aspect of the national economy and commodities ecology. The average Lagos, Ibadan, Onitsha or Port Harcourt resident who buys meat, tomatoes or onions probably does not care or know where the food items on his dinner table come from. The “Mama Put” woman in central Lagos who serves her clients sizzling hot amala with spicy tomato soup only knows which market to buy ingredients from, not the geo location of tomato and onion farms.

    What binds farmers, traders, transporters, hoteliers and food vendors in this common national market is the force of demand and supply in a rudimentary open market economy. This common market also happens to coincide with a certain sense of national community. Therefore, when inter communal disruptions such as Shasha occur anywhere in the country, the immediate challenge for leadership is to restore first the sense of community in order to recover the basis of supply and demand as the life blood of the market. The national meeting venue is the market of where citizens exchange goods and services.

    When inter communal upheaval and fear threaten the free movement of goods and services from one end of the country to the other, the first obligation of the political leadership is not to allow political toxin to worsen a bad situation in order for factions to extract advantages. The urgent task is to restore confidence among members of the community first as compatriots and then as participants in a market governed by the best rules of supply and demand driven by the hunger for cash and profit. Instead of recruiting political thugs and agents provocateur, leaders should look for economic minds to restore the supply chain, bring back confidence among economic participants and thus promote national prosperity.

    We need to develop the best capacity to keep supply chains uninterrupted, to protect demand and ensure stability in the flow of transactions and the traffic of monetary value which is the essence of a market. Instead of focusing on political and ethnic differences, let us concentrate on keeping markets open, balancing demand and supply and creating prosperity for as many Nigerians as possible. A prosperous population does not engage in foolish fights!

    In the end, the primary forces at issue in our all too frequent simulated inter communal drama of violence and vitriol like the recent one in Shasha are food and money. Neither of them obeys silly sectionalist political profiling and calculations. The hungry fellow in a Lagos home who settles to a meal of tuwo or pounded yam with tomato stew and beef accompaniment is not likely to ask where the beef, onions or tomatoes with which the soup was prepared came from. Hunger and the food to heal it have neither regional, ethnic nor religious.

    The Lagos consumer with some cash whose food supply from the north is suddenly blockaded will have no choice than to seek alternative sources. To feed his family, he would readily adopt whatever substitutes he can find. Over time, he is likely to deploy his cash to buy alternative supplies from wherever he can find them including buying imported or smuggled food. It is the forces of supply and demand, not political arithmetic, that will dictate his options in this regard. It is supply and demand that rule our lives and govern our options, not the gambits of politicians.

    In the hands of the northern farmer in the tomato and onion fields of Kano, Jigawa, Yobe and Kebbi, the return for his labour is cash to meet his needs and justify his toil. That cash has no ethnic or a religious label. There is no Hausa, Yoruba, Igbo, Idoma or Efik label. For as long as the farmer and cattle rearer gets a fair cash reward for his labours and wares, he is not likely to bother about the ethnic origin, religion or political party of the money. But if the farmer finds that he can no longer find a ready market for his produce and is therefore cash strapped, he is likely to find alternative means of livelihood including joining Boko Haram or buying or renting AK-47s for criminal exploits. He must find the cash to meet his obligations or perish in hunger.

     

    There is of course a sense in which the political environment determines the economic activities and options of citizens. But such politics must be rational and reflect a national common ground. Contemporary Nigerian politics is toxic in the most primitive sense. There is no bipartisanship, no common ground on national priorities or any consensus on the common good. Political behaviour in our context is governed by a primitive ‘winner take all’ competitiveness in which political contest is the equivalent of bitter factional warfare. If such politics is allowed to bedevil and threaten the national economic space, the sense of a common national market which has helped keep Nigeria united and alive over time will yield to divisiveness and disintegration. Normal people do not make money in a situation of anarchy.

     

    A prolonged food blockade by northern farmers and suppliers will in the short run create scarcity and high selected food item prices in southern urban centres. In the same short run, northern farmers will run out of cash as they helplessly watch their produce rot away. Incidentally, the nations that border us to the north are not exactly the wealthiest as to provide an immediate lucrative alternative market for the produce of our farmers.

     

    On the contrary, the relatively richer consumers and entrepreneurs of the southern urban centres have what I may call the Qatar advantage. They mostly have ready cash and may be forced by higher prices to seek alternative food supply sources. In addition to the possibility of massive food smuggling and importation, Nigerian entrepreneurs with ready access to cash and credit are likely to quickly switch investment focus to huge agricultural ventures to find alternatives to over politicized local food supplies.

     

    Perhaps the best way to save this polity is first to safeguard the national market place and community of citizens primarily as economic agents with complementary needs and obligations across all barriers.

     

     

     

  • Biliri crisis update: Our children, wives detained daily by police without food, Tangales cry out

    Biliri crisis update: Our children, wives detained daily by police without food, Tangales cry out

    By Emman Ovuakporie
    Tangales in Biliri Local Government of Gombe State are not happy over the manner security operatives are detaining children and their wives without food.
    TheNewsguru.com, (TNG) reports the update on recent developments after President Muhamnadu Buhari called for caution in the on-going leadership tussle in Biliri.
    Sources close to the community leaders said children and wives of the Tangales that have been detained for over three days are languishing in police custody.
    This is just as the community leaders via their community General Secretary, Lamela Umaru Lakorok
    In a statement, Lamela Lakorok thanked Governor Inuwa Yahaya but pointed out flaws in his speech.
    He said: “We applaud you for emphasizing the need for unity in our beloved state. However, please lend us a listening ear as we seek to understand each other.
    “So far, your speech did not address the key issue at stake.
    Read full statement below:
    Regarding point 5 in your speech, there is a discrepancy between you and the Tangale people regarding the interpretation of the Gombe State Law of 2021. Part III Section 3 (p.11) point 10 on Council of Traditional Kingmakers addresses a setting in which the governor had created a new emirate or chiefdom, the responsibilities of the traditional council include the nomination of three candidates from whom the governor chooses the king. That is to be according to the custom and traditions of the people. However, that does not apply to communities or tribes that have an established system of selection and appointment of a chief or emir. Part VI section 1 (p.20) covers the Appointment & Discipline of Traditional rulers. It states that “Upon the death, resignation, removal or disposition of an Emir or a Chief, the Governor shall approve the appointment of an Emir or a Chief on the recommendation of the Council of Traditional Kingmakers of the Emirate or Chiefdom.”
    This is what the Tangale people are arguing as relevant to their setting. The kingmakers have done what is in accord with their customs and traditions as the law indicates. The expectation is for the governor to approve the appointment of the candidate with the majority votes. When they submitted the result of the election, they were not asking the governor to choose for them the next Mai, that would nullify our customs and traditions and make the governor the sole person responsible for choosing our Mai. That is why when after two days there was no announcement of the approval of the election, the people got worried and suspicious because they expected prompt action on your part. Remember that even in a situation where there is a new chiefdom or emirate, Section 21(2) states, “the Governor may dispense with the need of recommending three persons if the Customs and Tradition of a PARTICULAR AREA dictate otherwise.” The Tangale customs and traditions have shown a democratic system of election of a Mai, which cannot be rescinded by this law or the governor. Therefore, sir, with all due respect, when you stated in point 3 that, “forwarding of three (3) recommended candidates by the Tangale Traditional Kingmakers, from among whom I will select the candidate to fill the vacant stool of Mai Tangle as the law provides” you were mistaken. The intent of the law is to strike a balance between the role of the ethnic people in choosing their traditional rulers and the role of the state government in approving the choice of the people. This, sir, we believe is where there is a misunderstanding on the part of the state.
    Sir, you said, “I undertook widespread consultations, conducted background checks and engaged in personal reflection in order to arrive at a decision that is in the best interest of the people and the state.” But we are saying that it is not your responsibility to choose for the Tangale people their chief. We want to make clear that we will not abdicate our customs and traditions. Beware that we are adhering to the democratic principles in our constitution where the candidate with the majority vote is declared the winner, just as in the gubernatorial election that put you in office. Any action that thwarts the will of the people for political, religious, or selfish expediency is not welcomed. We will always respect the position and role of the governor over the state, but he does not and cannot choose the Mai Tangle according to the law cited above. We will continue to advocate for a dialogue between the state and the Tangale people and ask that people refrain from taking the law into their hands. The violence that took place yesterday was very unfortunate and unacceptable. We are all members of the Tangale tribe and religion had never divided us in the past and should not divide us now.
    Finally, you said, “I will do everything within my powers to protect the lives and property of our innocent citizens. We are a people known for our cherished peace and stability. Violence, sectarianism, and extremism have no place in our culture and tradition. Those conflict merchants who seek to profit from this violence by setting brothers upon brothers, families upon families, and communities upon communities, will soon be made to face the full wrath of the law.” We agree with you that lawlessness and violence or extremism have no place in our culture and tradition, especially, the Tangale people. Once again, we condemn the lawless acts of yesterday and those who instigated them. We hope that investigation of the incidence that sparked the violence will be done quickly. We also want to note that the longer it takes to announce the approval of the election, the more confusion and tension is created within Tangale land.
    Long live Tangale, Long live Gombe State
    Signed
    Lamela Umaru Lakorok
    General Secretary
    Tangale Community
  • I went below poverty line in 2020 – Dele Sobowale

    I went below poverty line in 2020 – Dele Sobowale

    By Dele Sobowale

    “…the CBN must not give money to import food. Already about seven states are producing all the rice we need.”

    President Buhari, December 2020.

    God knows I want Buhari to remain President until 2023 because, unsettling as that might be for some people, it is the best of all options before us. It is difficult to live with a leader who has lost the followers. That is why some talk of failed nation. We have not failed totally and there is still hope. That is why this article was not titled FAMINE IS IMMINENT THIS YEAR MR PRESIDENT.

    Buhari, like every President, is hostage to his Ministers and Advisers who uniformly avoid telling him the truth if it will hurt his feelings. Consequently, the Ministry of Agriculture and the Central Bank of Nigeria, CBN, have impressed upon Buhari that Nigeria now produces ALL the rice we need. This is a lie and the current price tells the truth about rice. There was never a time we produced ALL the rice we need. We came close but we never achieved self-sufficiency.

    At any rate we are faced with three grim realities today which render it irrelevant whether we are capable of producing sufficient rice to feed ourselves. An old customer and friend during my rice business days with whom I have kept in touch till now, called me early in December and after the usual pleasantries declared: “Dele, I went below the poverty line in my adult life in 2020. Two of my wives have left me and, right now, I don’t know where four daughters are.” He then went on to tell me a story about what happened to him — which would melt anybody’s heart.

    He operates three farms in the Yelwa Yauri and Koko marshland as well as one in Jega Local Government of Kebbi state. By any measure he was a successful rice farmer – until 2020 when three calamities intruded into his life. First, Fulani herdsmen destroyed much of his farm in Koko and Jega areas. Second, armed bandits and kidnappers invaded the area – sending most of his farm labourers (mostly women) scampering for safety. Third, the great flood which covered the farms in the region left him with next to nothing to harvest. And, if harvested, he ran the risk of bandits seizing most of it. So he gathered as much as he could to feed his family and left what is left for the invaders – humans and flood.

    NIGERIAN FARMERS DILEMMA 2021.

    So, as we enter 2021, he is faced with a serious dilemma: to farm or to walk away. He is not alone. Thousands of farmers in his community are faced with the same options. That was why he called me.

    Buhari might not realise it, because he does not buy his own rice. At any rate, like all affluent Nigerians, he can afford to buy rice at any conceivable price. But, there was a real scarcity of Nigerian rice in 2020 – the impact of which was moderated by rice smuggled into Nigeria. Most of the foreign exchange used to procure the imported rice is not sourced from the banks; so the CBN is powerless to stop them. Consequently, the order to the bank, apart from being illegal on account of the bank’s autonomy, is a quixotic measure. It is useless.

    Despite the steady supply of smuggled rice, the average price of rice continues to go up. For evidence, I present Are Afe Babalola, OFR, SAN, who on December 30, 2020, in an article published titled “2020 may be year of famine”, provided the average cost of food items last year with 2020. Rice was the first commodity listed and here is what Aare wrote.

    Food Items Prices Last Year Prices This December

    Rice N14,500-16,500 (Foreign) per bag N30,000-42,000

    Beans 21,000-22,000 28,000-34000

    Gari 200 per congo 450 per congo

    Palm oil 6,500-9,000 per keg 15,000 per keg

    Beef 1,400 per kilo 1,500 per kilo

    Yam flour 34,000 per bag 70,000 per bag

    Aare is as patriotic a Nigerian as most people in government; perhaps more so. He deliberately focussed on foreign rice in order to draw the attention of Buhari to the stark fact that we still consume a lot of foreign rice irrespective of what his officials tell him. He is also pointing out that the price of any food item cannot jump 100 to 150 per cent in one year if indeed we produce all we need of that item. The President needs to know the truth because millions of Nigerian lives are at risk if he makes the wrong decision.

    MAN DOES NOT LIVE BY RICE ALONE

    “Man does not live by bread alone” was what a very wise one told the world more than 2020 years ago. He expected us to be able to figure out the rest ourselves e.g man does not live by rice, bread, beef etc, alone. Thus, even if we grant Buhari his assertion that we produce enough rice, do they eat rice three times a day and nothing else? The fate of the people in the short and long term is not determined by one commodity. We have seen how our total reliance on oil ruined us. So, why not look at the entire basket of food items? A glance at the prices of some food items comparing 2019 with 2020, at a time when most Nigerians had little money, should reveal a truth which the FG has not grasped.

    Inflation has always been defined as too much money chasing few goods. In 2020, inflation rose to its highest level in years – led by food prices. Obviously, the food-price inflation in 2020 was not caused by too much money; it was brought about by too little food supply. And, by now, every honest Nigerian knows what the major causes were of low food output in 2020. Herdsmen, kidnappers, bandits and possible repeat of flood have rendered farming too risky and the returns on investment have become negative.

    Right now, as we head into 2021, with Nigeria’s food reserves at the lowest it has been in a long term, the most important question is: have we solved all the problems impeding food output? Are Fulani herdsmen, bandits and kidnappers ready to allow farmers to work unhindered and without fear? If not, everybody will starve – including bandits, herdsmen and kidnappers.

    THE STORY AND IRONY OF BEEF PRICES

    According to the Chinese, a crisis is a mixture of problems and opportunities. The reader should take another look at the prices of food items listed. Notice the almost steady price of beef, from N1400 to N1500. If the December price is adjusted for inflation, beef is actually less expensive now than in 2019. Why?

    Two reasons accounted for that. First, owners of cattle (I was once one of them) expect certain amount of revenue from the sale of the animals annually. In 2020, demand plummeted to its lowest level in years. Lagos State alone consumes about 40 per cent of all animals in Nigeria. With the lock down and closure of hotels, bars, pleasure spots, no big weddings and church anniversaries, the market for beef dried up. A real supply surplus occurred and it is reflected in the prices today. Second, there was a noticeable increase in cattle rustling. Cattle robbers don’t ask for market price. They sell quickly for whatever price they can get. Nigeria has developed crime syndicates specialising in selling stolen cows at low prices – just as we have stolen car dealers. They keep the price of beef down for us.

    Buhari needs to re-visit the issue of food in 2021 to avert looming famine nationwide.

    Have a prosperous 2021.

  • 2021: Buhari tasks CBN on roadmap to end food inflation in Nigeria

    President Muhammadu Buhari has given a marching order to the Central Bank of Nigeria, CBN, not to give any money for food importation in the New Year.

    Buhari said his administration would keep a keen eye on food inflation in the New Year while giving a strong directive to the CBN.

    Speaking at the fifth regular meeting with the Presidential Economic Advisory Council held on Tuesday at the State House in Abuja, President Buhari directed that the CBN “must not give money to import food. Already about seven states are producing all the rice we need. We must eat what we produce.”

    In taking note of the strides made in agricultural production following the programme of diversification from over reliance on oil instituted by his administration, Buhari wondered where the country would have found itself by now in view of the devastating economic crisis brought about by COVID-19 if the country had not embraced agriculture.

    “Going back to the land is the way out. We depend on petrol at the expense of agriculture. Now the oil industry is in turmoil. We are being squeezed to produce at 1.5 million barrels a day as against a capacity to produce 2.3 million. At the same time, the technical cost of our production per barrel is high, compared to the Middle East production,” he said.

    The President emphasized the place of agriculture in the efforts to restore the economy but agreed that measures must be put in place to curtail inflation in the country.

    “We will continue to encourage our people to go back to the land. Our elite is indoctrinated in the idea that we are rich in oil, leaving the land for the city for oil riches. We are back to the land now. We must not lose the opportunity to make life easier for our people. Imagine what would have happened if we didn’t encourage agriculture and closed the borders. We would have been in trouble,” he said.

    The meeting, which was for a review of, and reflections on the global and domestic economy in the outgoing year, was attended by the Vice President, Professor Yemi Osinbajo, as well as Ministers of Finance and Humanitarian Affairs and agreed on a number of measures.

    In specific terms, it noted the sharp deterioration in international economic environment and its impact on Nigeria’s continuing but fragile economic recovery; that Nigeria’s economic growth continues to be constrained by obvious challenges including infrastructural deficiencies and limited resources for government financing.

    It emphasized the need to make the private sector of the economy the primary source of investment, rather than government.

    The meeting reviewed progress towards structural reforms in response to the economic crises, including the institution of the Economic Sustainability Plan, the changes in electricity tariff and fuel pricing regime, the partial re-opening of the Land Borders, the movement towards unification of exchange rates and budgetary reforms through Finance Bill 2020 and 2021.

    It agreed that, to prepare the country for the challenges ahead, it is imperative to ensure Macro-economic stability, create certainty and re-build investor confidence in the economy. It emphasized the need to deepen structural reforms initiated by the administration as a basis for stimulating investments from domestic and international sources with a view to raising productivity in key sectors of the economy.

  • #EndSARS protesters reject food, drinks contributed by MC Oluomo [VIDEO]

    #EndSARS protesters reject food, drinks contributed by MC Oluomo [VIDEO]

    Anger, disdain was written on the faces of #EndSARS protesters at the Lagos State House of Assembly on Friday when they rejected food and drinks sent by the Chairman of the National Union of the Road Transport Workers in the state, Musiliu Akinsanya aka MC Oluomo.

    Their action was in reaction to the attack perpetrated on the protesters by thugs at Ikeja, the state capital, on Thursday.

    MC Oluomo was alleged to have been the champion of the violent attack but he has denied the allegation.

    https://www.instagram.com/p/CGZ-7YgDvhd/

     

    Details later…

  • Buhari orders CBN not to release funds for food, fertilizer importation

    Buhari orders CBN not to release funds for food, fertilizer importation

    President Muhammadu Buhari on Thursday ordered the Central Bank of Nigeria, CBN ”not to issue a kobo” of the country’s reserves for the importation of food items and fertilizer.

    This is as the Federal Government rolls out the Economic Sustainability Plan and sets goal for National Food Security.

    At a meeting of the National Food Security Council at the State House, Abuja, Buhari restated his earlier verbal directive to the apex bank, saying he would pass it down in writing that ”nobody importing food should be given money.”

    Emphasizing the need to boost local agriculture, the President said: “From only three operating in the country, we have 33 fertilizer blending plants now working. We will not pay a kobo of our foreign reserves to import fertilizer. We will empower local producers.”

    Buhari also directed that blenders of fertilizer should convey products directly to State governments so as to skip the cartel of transporters undermining the efforts to successfully deliver the products to users at reasonable costs.

    The President advised private businesses bent on food importation to source their foreign exchange independently, saying ”use your money to compete with our farmers”, instead of using foreign reserves to bring in compromised food items to divest the efforts of our farmers.

    ”We have a lot of able-bodied young people willing to work and agriculture is the answer. We have a lot to do to support our farmers,” Buhari said.

    The meeting, chaired by the President with other key members of the Council in attendance, was briefed on the food security situation prevailing in the country.

    Notably, the Vice Chairman of the council and Governor of Kebbi State, Atiku Bagudu, the Chief of Staff to the President, Prof. Ibrahim Gambari and a Governor from each of the six geo-political zones – Jigawa, Plateau, Taraba, Ebonyi, Lagos and Kebbi, made presentations.

    The Minister of Finance, Budget and National Planning, Dr Zainab Ahmed, outlined measures introduced by the administration to tackle the unprecedented challenges from the COVID-19 pandemic on the nation as contained in the Nigerian Economic Sustainability Plan (NESP).

    Among others, the Minister highlighted that the government would facilitate the cultivation of 20,000 to 100,000 hectares of new farmland in every State and support off-take of agro-processing to create millions of direct and indirect job opportunities.

    She also listed the creation of 774,000 direct jobs for a minimum of 1,000 young Nigerians in each local government, the construction of 300,000 homes every year to give a boost to jobs through the construction industry, as well as the connection of 25 million new users of electricity with the installation of Solar Home System (SHS) targeting 5 million households.

    Ahmed also briefed on the joint investment with the World Bank to provide intervention fund to States to improve health infrastructure.

    She said to ease existing financial hardships among the people, the government is also coming up with low-interest loans for mechanics, tailors, artisans, petty traders and other informal business operators.

    The Minister added that the Federal Government would equally provide support to Micro, Small and Medium Enterprises (MSMEs) to help them keep their employees and boost local manufacturing.

    Ahmed explained that from the recently approved N2.3 trillion stimulus recommended by the NESP, there will be expansion of broadband connectivity to boost job opportunities in the digital economy, a planned expansion of the National Social Investment Programmes including increase in the number of beneficiaries such as the cash transfer beneficiaries, N-Power Volunteers, the Market Moni and Trader Moni schemes.

    In his presentation, the Minister of Agriculture, Alhaji Sabo Nanono told the Council that the nation expects a bumper harvest of food items despite floods in the north and drought in the south.

    He quoted the latest market surveys to show that the recent hike in the price of commodities is being reversed.

    On his part, Mr Boss Mustapha, the Secretary to the Government of the Federation and Chairman of the Presidential Task Force on COVID-19, reported the negative impact of the pandemic on the lives and livelihood of citizens, while the Comptroller-General of Customs, Col Hameed Ali (Rtd) expressed the hope of an early reopening of the partially closed borders given the progress made with neighbouring States in joint border patrols – one of the key conditions by Nigeria for reopening of the borders.

  • FG borrows food from ECOWAS to feed Nigerians

    FG borrows food from ECOWAS to feed Nigerians

    The Nigerian Government has disclosed that it borrowed over 5,000 metric tonnes of grain from ECOWAS to feed citizens.

    This was disclosed by the Minister of State for Agriculture and Rural Development, Mustapha Baba-Shehuri on Monday.

    He stated this while receiving the 3,999 tonnes of cereals donated to Nigeria by ECOWAS.

    According to Shehuri, “The Government of the Federal Republic of Nigeria loaned 5,000MT of assorted grains from ECOWAS Stock which was agreed to be paid back on grain for grain basis.

    “Modalities had been put in place to replace the ECOWAS Stock before the advent of COVID-19 Pandemic. That notwithstanding, I can assure you that the stock will be replaced in due course.”

    He said to tackle the food crisis in the West African Sub-region, the Heads of Government of ECOWAS member states decided to establish a Regional Food Security Reserve (RFSR) Programme.

    “This includes keeping a substantial quantity of food in her Food Reserve that can be used for interventions in case of emergencies and to boost food security within the ECOWAS member States,” he said.

  • Nigeria has no money for food importation – Buhari

    Nigeria has no money for food importation – Buhari

    President Muhammadu Buhari has challenged Nigerian farmers on the need to embark on massive productive agricultural activities this farming season as Nigeria has no money for food importation.

    The president gave the challenge shortly after observing this year’s Eid prayer alongside members of his family and few presidential aides at the presidential villa, Abuja, on Sunday.

    President Buhari, who spoke to State House correspondents, said: “I hope the raining season would be bountiful, so that we get a lot of food.

    “I wish the farmers will go to farms and save the lives so that we can produce what we need in sufficient quantity so that we don’t have to import food.

    “In any, we don’t have any money to import food. So we must produce what we are going to eat”.

    On the COVID 19 pandemic, President Buhari reiterated his advice to Nigerians to strictly adhere to guidelines and measures put in place against the spread of the deadly virus in the country.

    He noted that the pandemic had reduced both developed and developing nations to the same level, and advised Nigerians to always be careful so as to avoid infections.

    He said: “Nigerians can see that the COVID-19 has reduced us, both the developing and developed countries, to the same level. In fact, we have least casualties than they have.

    “So, it’s a very frightening development and I advised Nigerians to be very careful and take the advice of the Ministry of Health. Ministers of Health have been doing very well, speaking and educating the citizens on the deadly virus.

    “So Nigeria, we should be very careful.’’

    The First Lady, Hajiya Aisha Buhari, who also observed the Eid prayer with the president, thanked almighty Allah for sparing the lives of Muslim ummah throughout the Ramadan period.

    Aisha, who enjoined the Nigerian women to continue to be on the fore front of the fight the Coronavirus pandemic across the country, prayed that Allah would forgive the sins of those who lost their lives as a result of the virus, and grant them Aljanah Firdausi (Paradise).

    “We must thank the almighty Allah for the successful completion of the holy Month of Ramadan, despite the current difficult circumstances we found ourselves.

    “I wish to thank the Federal Ministry of Health and also the NCDC for their efforts in combating the pandemic,’’ she said.

    President Buhari had on May 22 pledged to conduct his Eid prayers with his family at home as directed by the Sultan of Sokoto, Alhaji Sa’ad Abubakar III, who is also the President General of the Jama’atu Nasril Islam (JNI).

  • COVID-19: Prices of food worldwide drop 3.4% in April

    COVID-19: Prices of food worldwide drop 3.4% in April

    The Food and Agricultural Organisation (FAO) has disclosed that prices of food worldwide dropped by 3.4 percent for the third consecutive month in April as the coronavirus pandemic took a hit on demand.

    In a report released on Thursday, the United Nations food agency said that food price index, which measures monthly changes for a basket of cereals, oil seeds, dairy products, meat and sugar, averaged 165.5 points last month compared with 171.1 points published in March.

    According to FAO’s Senior Economist, Mr Upali Galketi Aratchilage, COVID-19, which has grounded many to the comfort of their homes, has also slowed down economic activities, taking a toll of incomes leading to lower consumption.

    “The pandemic is hitting both the demand and supply sides for meat, as restaurant closures and reduced household incomes lead to lower consumption and labour shortages on the processing side are impacting just-in-time production systems,” he said.

    According to the FAO, Sugar Price Index hit a 13-year low, declining 14.6 percent from March, when it posted an even larger monthly drop.

    According to the agency, “Collapsing international crude oil prices reduced demand for sugarcane to produce ethanol, diverting output to producing sugar and hence expanding export availabilities.”

    “Meanwhile, confinement measures in a number of countries spawned additional downward pressure on demand,” it stated further.

    The FAO Vegetable Oil Price Index declined 5.2 percent in April, driven lower by falling palm, soy and rapeseed oil values. Reduced bio-fuel demand played a role, as did declining demand from the food sector along with higher-than-previously expected palm oil output in Malaysia and soy crushings in the United States of America.

    The FAO Dairy Price Index fell by 3.6 percent, with butter and milk powder prices posting double-digit drops amid increased export availabilities, mounting inventories, weak import demand and diminished restaurant sales in the northern hemisphere.

    The FAO Meat Price index declined 2.7 percent. A partial recovery in import demand from China was insufficient to balance a slump in imports elsewhere, while major producing countries suffered logistical bottlenecks and a steep fall in demand from the food services sector due to shelter-at-home measures.

    The FAO Cereal Price Index declined only marginally, as international prices of wheat and rice rose significantly while those of maize dropped sharply. International rice prices rose by 7.2 percent from March, due in large part to temporary export restrictions by Vietnam that were subsequently revoked.

    FAO also noted that wheat prices rose by 2.5 percent amid reports of a quick fulfillment of the export quota from the Russian Federation. Prices of coarse grains, including maize, by contrast fell by 10 percent, driven down by reduced demand for its use for both animal feed and biofuel production.

    Giving a forecast, FAO held it forecast for cereal production largely steady at 2.720 billion tonnes in 2019, but reduced its forecast for cereal utilisation in 2019/20 by 24.7 million tonnes, mainly because of the impact of the coronavirus on the economy.

    FAO also unveiled its first forecasts for global wheat supply and demand in the 2020/21 marketing season, predicting world production at 762.6 million tonnes, broadly in line with the 2019 level.

    It said it expected smaller harvests in the European Union, North Africa, Ukraine and the United States. This would be largely offset by larger harvests in Australia, Kazakhstan, Russian and India.

    Global wheat utilisation in 2020/21 was expected to be stable, with anticipated increases in food consumption outweighing reductions in feed and industrial uses.

  • COVID-19 Lockdown: Food, liquor stores looted in South Africa [Photo]

    COVID-19 Lockdown: Food, liquor stores looted in South Africa [Photo]

    A number of food and liquor stores have been looted in South Africa amid a strict national lockdown that was put in place to slow the spread of the novel coronavirus.

    Incidents were reported in several locations on the outskirts of Cape Town near the Gugulethu township, where many people lived in poverty even before the lockdown restricted people’s movements and affected their livelihoods.

    “It is a struggle for many to put food on the table,” Albert Fritz, minister of community safety for the Western Cape province, said in a statement issued late on Tuesday.

    “At present, we find ourselves facing a humanitarian crisis because of the lockdown.

    “Our government has taken a number of steps to assist as much as we can.

    “However, I must be clear, looting will not be tolerated.

    “We urge all our residents to abide by the law at all times,” he added.

    South Africa introduced the lockdown on March 26 and plans to keep it in place at least until the end of April.

    People have been instructed to stay home unless they need to access essential services such as supermarkets and medical services.

    The sale of alcohol and cigarettes has also been prohibited during the lockdown to help improve physical distancing.

    Alcohol is now being moved out of at-risk liquor stores to prevent raiding and looting, Fritz said.

    The coronavirus can lead to the potentially fatal COVID-19 respiratory disease.

    South Africa has the highest number of infections in Africa, with 2,415 confirmed cases recorded as of Tuesday.

    There have also been 27 deaths.