Yunus Abdulhamid
10 July 2008
Abuja — The Acting Executive Director of the Nigeria Export Promotion Council (NEPC), Aliu Mohammed Lawal has blamed the dwindling fortune of the Nigerian agricultural sector on the continued use of old fashioned methods and implements in farming in the country, saying even the country remains very uncompetitive in the agricultural produce it exports.
He said despite the fact that Nigeria is the highest producer of garri, 90% of it is consumed locally, leaving little for export.
"Our farming system is still rudimentary. If you look at maize production where people are using GMO, and we are using just normal fertilizers and our yield are very low. Like cassava, an average farmer takes 12 tonnes per hectare while in other countries; a farmer can have 60 tones per hectare" he said.
Lawal spoke to Daily Trust at the second meeting of members of the Nigerian Egypt Business Council held in Abuja Tuesday.
According to him, the non-oil sector has however recorded tremendous improvement in the last three years following the introduction of incentives to exporters by the NEPC.
Said he: "The reason is that the Nigerian Export Promotion Council now provides export incentives. And for you to enjoy that you need to repatriate your foreign exchange to your bank and your bank must report to the Central Bank. And the CBN must confirm to us before you could asses the incentives. The prices of most of these export commodities went high and there has been increased production of Agricultural products due to increased sensitisation on the need to embark on agriculture. Mark you, agriculture still dominates the non oil sector and it is about 60%. And people now are recording and reporting their business export. Before now, they did not. "
In 2006, he said, the non oil sector recorded about $957million and in 2007, it rose to $1.4 billion. He predicted that the 2008 would surpass the previous records as the first quarter's results showed the sector yielded $500 million as against $300million last year.
Speaking on why the prices of food remain high despite increased activities in agriculture, he said too much pressure was being put on food crops as occasioned in their use for alternative energy source.
"The diversification of alternative source of fuel from crude oil to bio fuel is putting too much pressure on food items like maize, millet and so many others. That is why the prices of food are on the increase. But Nigeria is concentrating on Jatropha seed which is not consumed by any body. So, that would put less pressure on grains. Jatropha seed can grow very well in an arid zone like the northern part of the country without much rain. And the seeds can be crushed for bio diesel. I believe the Federal Ministry of Commerce and Industry is championing it because a committee has been set up to see to how people can be sensitised on producing it"
The President of the Nigerian Egypt Business Council, Muhammed Lere told newsmen after the meeting that every effort was being made by member to register with the appropriate government agency before the end of July before rolling out their programmes to the benefit of the two countries.
He said: "We are looking forward to partnering with the Egyptian government through the activities of the council on irrigation because they are good in irrigation. Then, we disseminate same here. Our job is to encourage the Nigeria people and any opportunity we have in terms of equipment, material and information, we will provide it. There is an existing bilateral agreement between the two countries and what we only need to do is to make it work."
The NEBC was formed in May this year by a group of prominent Nigerian and Egyptian businessmen to facilitate business activities between the two countries. The chairman of First Bank Plc, Alhaji Umar Mutalab is the grand patron of the council.
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