The Lagos Chamber of Commerce and Industry has urged the government to intensify efforts to strengthen agricultural value chains so as to reduce post-harvest losses by farmers and subsequently enhance food security in Nigeria.
This was contained in a statement on rising inflation, signed by its Director General, Dr. Chinyere Almona, on Wednesday.
LCCI pointed out that the approach includes the establishment of more storage facilities and the promotion of agro-processing industries.
Almona said the Chamber was optimistic that if the government harmonises its fiscal and monetary instruments to tackle the cost of agricultural production, enhance food processing and sustain the fight against insecurity, inflationary pressures may soon begin to abate, and other economic variables can begin to record positive indicators.
“By implementing targeted interventions and fostering a conducive policy environment, Nigeria can overcome the current inflationary challenges and chart a path towards inclusive growth and prosperity for all,” Almona reiterated.
LCCI further advised the government to: “Utilise information and communication technologies (ICTs) to disseminate agricultural advisory services, market information and weather forecasts to farmers.
“Empower farmer cooperatives and associations to play a central role in the distribution and management of subsidised inputs and access to finance.
“Urgent measures are needed to improve transportation infrastructure, including road networks, to reduce the cost of transportation and mitigate inflationary pressures across various sectors of the economy.”
Similarly, the Chamber urged the government to prioritise smallholder farmers and vulnerable groups, including women and youth, for targeted assistance.
It stressed that there should be strong collaboration among the Central Bank of Nigeria, Federal Ministry of Agriculture and Food Security, State Ministries of Agriculture, agricultural extension services, research institutions and farmer cooperatives.
The statement tasked the government to: “Allocate resources for agricultural extension services to provide technical assistance and training to farmers through their cooperatives on optimal fertiliser application techniques and to promote the adoption of climate-smart agricultural practices to enhance resilience to environmental challenges.
“Promote the integration of fertiliser distribution with other agricultural value chain interventions, such as improved seeds, irrigation, and post-harvest management.
“Support further expansion of local fertiliser production capacity to reduce dependency on imports and enhance long-term sustainability.”
Almona said LCCI is gravely concerned about the persistent rise in inflationary pressures in the Nigerian economy, recalling that recent data released by the National Bureau of Statistics indicated a worrisome trend, with the headline inflation rate reaching 31.70 percent in February 2024, marking a significant increase from the previous month’s rate of 29.90 percent.
It indicated that the seemingly ineffective interventions by the government in curbing the rising trend of headline inflation are disturbing to the business community, lamenting that the unabated inflationary pressures have continued to distort the workings of the economy and making business and investment planning a huge challenge.
LCCI stated that the inflationary surge, particularly in food prices, poses a significant challenge to the economic well-being of Nigerians, adding that in February 2024, food inflation soared to 37.92 percent year-on-year, driven notably by increases in prices of essential commodities such as bread, cereals, potatoes, yam, fish, oil, meat, fruits, coffee, tea, and cocoa.
“Such inflationary pressures exacerbate the already precarious living conditions for millions of Nigerians, amplifying social and economic vulnerabilities,” LCCI stressed.
Also Read:
- CSO faults US Mission’s position on Edo governorship poll
- Abia governor condemns attack on Chinese miners
- APC seeks security agencies’ intervention in Osun LG crisis
- Assassination allegation: Group gives Akpoti-Uduaghan seven days to produce evidence
- ACF to FG: Act now on Plateau killings
The Chamber however lauded the step taken by the CBN regarding fertiliser access to farmers across the country through the Federal Ministry of Agriculture and Food Security to reduce the burden of high cost of fertilisers to them.
It emphasised that more direct and targeted interventions should be focused on agricultural mechanisation, listing the adoption of lower import duty exchange rates used for the import of agricultural input, and the establishment of more agro-industrial hubs across the country.
Follow The Eagle Online Channel on WhatsApp
