To monitor the implementation of a memo on the “Promotion of Agri-Business in Nigeria through Right Farm Gate Pricing and Ban of Foreigners from Purchasing Agricultural Commodities at the Farm Gates,” the federal government has established an inter-ministerial standing committee.
According to the government, this will enhance the commodity sub-sector and the memo specifically aims to address issues impeding the development of the agricultural commodity subsector of the economy, curtail unfair trade practises and the exploitation of Nigerian farmers by foreigners, promote competitive premium pricing as the impetus for increased productivity in the commodity subsector, among other things, according to Mr. Adeniyi Adebayo, minister of industry, trade, and investment, who inaugurated the committee yesterday.
He claimed that because middlemen typically scoop up farm supplies at the source, artificial scarcity caused by hoarding of agricultural items, which in turn raised food costs, was a major driver of rising food inflation.
Due to the fact that foreigners buy up supplies at the farm gates instead of export points and deprive the industries of necessary stockpiles, it has impacted the production capacity of local factories.
The committee is supposed to make sure that a number of actions have been identified for implementation carried out for the expansion and development of our economy, according to the minister.
Additionally, it will coordinate with state governments to build commodity gathering hubs for export in a few key national sites and conduct routine evaluations (quarterly) of the implementation.