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OPS rejects food imports, backs clampdown on hoarders
In an effort to alleviate the nation's economic difficulties and the exorbitant cost of food, the federal government has ruled out importing food.
The National Security Adviser, the Inspector-General of Police, and the Director-General of the Department of State Services have formed a group to crack down on dealers hoarding grains.
This was one of the decisions made during the emergency meeting that state governors, Vice President Kashim Shettima, and President Bola Tinubu held at the Aso Rock Villa in Abuja on Thursday.
The All Farmers Association of Nigeria and organised private sector backed the governors' and president's decision to forgo importing food as a means of addressing the severe food crisis the country is currently experiencing, after evaluating the government's response to the hardships they faced.
As the Nigeria Customs Service promised to halt smuggling food out of the nation, they also supported the action that was planned against hoarders.
The National Bureau of Statistics reports that food inflation in December 2023 will be 33.93 percent, up from 23.75 percent in December 2022, indicating a recent increase in the cost of staple foods.
According to reports, the cost of basics including cereals, rice, beans, oils, plantains, fish, chicken, and meat has increased by 50% and this has triggered protests against the harsh development across the country.
According to information gleaned from the NBS's consumer price index data, Nigeria imported N1.47tn worth of food and drink in the first half of 2023.
Dr. Mohammad Abubakar, a former minister of agriculture and rural development, claimed that although the nation had enough food to serve all of its people, low mechanisation, flooding, and other factors prevented it from producing enough food to feed its rapidly expanding population.
Due to this, the nation had to spend millions of dollars importing food each year, which increased the strain on its reserves of foreign currency while it struggles with a lack of money.
"No importation of food"
After the discussion, Mohammed Idris, the Minister of Information and National Orientation, told State House Correspondents that bringing in food will just make the already fragile economy worse.
Idris had previously stated on February 8 that the administration would import necessary supplies to supplement shortfalls noted following the release of 102,000 metric tonnes of food items around the country, following a meeting of the Special Presidential Committee on Emergency Food Intervention at the Presidential Villa.
"The third point is that, should it become necessary, the government is considering the possibility of importing some of these commodities as a temporary measure in the near future," he had previously stated.
The minister did reveal, though, that the Federal Government had second-guessed its choice because it would "reverse" some of the achievements made in the previous few months.
"At this time, there will be no need for food importation in the interest of our country," declared Idris. Nigeria possesses the capacity to both self-sufficiency and net exportation of food to other nations.
Furthermore, we don't want to undo some of the gains made in this nation's food production.
"What we're currently experiencing is only a transient issue that will pass quickly. Consequently, the way to ensure that food is accessible to all Nigerians is to invest continuously in agriculture.”
In July of last year, President Tinubu declared a state of emergency on food security, and he mentioned this while saying that the state governors had decided to "join hands with Mr. President to deepen their investment in the
agricultural sector to increase the amount of food that is available to Nigerians.
Idris pointed out that the development and management of livestock will benefit from this investment in addition to agricultural productivity.
Fighting back against hoarders
The President additionally instructed "the Inspector-General of Police, the Director General of State Services, and the National Security Adviser to coordinate with the state governors to look at the issue of those hoarding commodities."
In order to control prices and put food on the table for the majority of Nigerians, Idris gave an explanation for the decision, stating, "At this juncture, the nation requires food to be delivered out to the people, while other commodity merchants are actively hoarding these commodities so that Nigerians will
either they will suffer or they will benefit financially.
In order to ensure that this ends, security authorities will work with state governors, as decided by the governors and the president.
The Special Advisor on Information and Strategy to the President, Bayo Onanuga, made a statement in which Tinubu encouraged the governors to pay all salary arrears to state employees and gratuities to pensioners in order to contribute funds to the hands of the people since states are now getting more monthly federal allocations.
The President allegedly told the state helmsmen, "Spend the money, don't spend the people."
In a post on his X handle, Onanuga explained that the increasing cost of food, insecurity, and late or non-payment of salaries and gratuity were the reasons behind the meeting.
He clarified that there was consensus among the attendees to address some of the issues the nation was facing, namely the escalating cost of food and insecurity.
"The President and governors decided to collaborate in order to address the issues and alleviate the financial strain that the people are experiencing," Onanuga stated after lengthy discussions.
Speaking about the insecurity that also affects agriculture and food production, he clarified that President Tinubu has declared that more police officers will be hired in order to bolster the force.
"The President advised against the idea of food importation and price control when local food producers should be encouraged to produce more food," he said. "The President advised the governors to follow the example of Kano State in dealing with the hoarding of food for profiteering by commodities merchants." Additionally, in a statement released on Thursday, Ajuri Ngelale, the President's Special Adviser on Media and Publicity, disclosed additional details of Tinubu's meeting with the 36 state governors, saying that "there must be zero tolerance for incompetence; support local farmers to boost food production and remove rent seekers." The statement further stated that Tinubu had stated at the meeting.
The document claims that Tinubu declared during the meeting that he would not form a board to control the nation's skyrocketing food commodity prices.
"Creating a price control board is something I will not do. Tinubu was cited as saying, "I will not also approve the importation of food," during the meeting.
Days prior, Vice President Kashim Shettima had alluded to intentions to create a national commodities board in an effort to reduce Nigeria's rapidly rising food prices.
In a statement titled "NACCIMA's position on food security and measures to reinforce local agricultural productivity," Dele Oye, the National President of the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture, backed the Federal Government and the governors.
He declared, "Instead of turning to food importation and price control, we applaud the President's directive to state and federal government agencies to enhance collaboration in bolstering local food production." This strategy is in line with NACCIMA's main goals of promoting the agricultural value chain and helping regional farmers. It is an essential step towards economic resiliency and self-sufficiency.
On the other hand, we think there are several facets to the problem of growing food prices. Even while local production capacity is important, the Naira's declining value has a big influence that we can't ignore.
Overall food prices are impacted by the present exchange rate's inflationary pressure on input costs. In response, a strong economic strategy designed to protect the Naira and bring it down to a respectable exchange rate of 750 was implemented A stable currency will not only make agricultural inputs more affordable but will also bolster consumer purchasing power.”
Oye pointed out that in order to increase incentives for local production, the government should make it easier for farmers to obtain loans and subsidies with low interest rates.
He asserts that financial assistance is essential for enabling farmers to increase output and implement contemporary farming techniques.
"Moreover, we call for the improvement of infrastructure and security in farming communities," he continued. By taking these steps, farmers' risks will be lessened, production bottlenecks will be eliminated, and efficiency will rise across the whole agricultural value chain.
"We agree with the President's appeal for caution against hoarding tactics that take advantage of customers and skew the dynamics of the market. In order to promote competitive pricing without jeopardising the wellbeing of our regional farmers and customers, NACCIMA supports fair trade practices that encourage competitive pricing without compromising the welfare of our local producers and consumers.”
The head of NACCIMA asked state governments to be proactive in raising poult