Agriculture
NACCIMA Worries Over Ailing Firms
The Nigerian Association of Chambers of Commerce and Industry Mines and Agriculture (NACCIMA) has classified over 50 per cent of manufacturing companies operating in the country as “ailing industries” and are not getting the needed life support.
National President of NACCIMA, Dr. Herbert Ajayi disclosed this to The Tide Source during a paper presentation at a zonal workshop on economic diversification organised by the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) titled “Reviving the manufacturing Industry in Nigeria”.
According to Ajayi, manufacturing activities have declined in Nigeria due to the global economic meltdown which led to the closure of some industries, particularly those which depend on importation to survive and had to spend foreign currency on imported raw materials and spare parts.
He put the capacity utilisation of industries at between 30 per cent and 45 per cent with an average of 100 per cent overhead costs.
He also blamed the declined on political and economic factors, citing poor infrastructure factors, citing poor infrastructure and epileptic power supply as key impediments to the sector’s growth.
The NACCIMA boss disclosed that the manufacturing industry as a whole operates on more than 70 per cent of the energy it generates.
“Using generators greatly increase the cost of manufacturing goods,” he said.
The industrialist listed other reasons for the woes in the sector to include incessant increase in the price of petroleum products used by industries, multiple taxation, unabated smuggling and inadequate access to finance, both locally and abroad.
According to him, widespread insecurity and the inability of government agencies in the ports to meet its 24-hour targets for cargo clearance was also a contributing factor to the dwindling fortunes in the manufacturing sector.
He said current government policies to reviving the manufacturing industry was inadequate.
“For instance, in May 2010, the government announced a $1.3 billion fund to help banks extend credit to the sector following the decline in available finance after the global economic crisis set in.
“Notwithstanding this, positive development arising from the reform process, the Nigerian economy, especially the manufacturing sector is still confronted by serious challenges,” he said.
He said the current government policies targeted at the real sector were also inadequate and prevented the manufacturing industry from flourishing.
On the way forward, Ajayi stressed the need for the organised private sector to support government’s efforts aimed at revitalising the sector through the much canvassed public private partnership, PPP.
Federal Government and the Ogun State Government, on Wednesday, distributed farm inputs to farmers as part of effort to address food security challenge.
The State Director, Federal Ministry of Agriculture and Food Security, Dr. Toyin Ayo-Ajayi, during the flag-off ceremony of Inputs Redemption Under The National Agricultural Growth Scheme-Agro Pocket (NAGS-AP), in Ogun State, disclosed that beneficiaries of the gesture were primarily rice, maize and cassava farmers across the State.
Ayo-Ajayi commended the Ogun State Government for partnering with the government at the centre for the effort in supporting farmers with inputs that would bring about yieldings for local consumption and likely exportation.
She noted that government is supporting rice, cassava and maize farmers with inputs worth N212,000; N189,000 and N186,000 respectively.
The Permanent Secretary in the State Ministry of Agriculture, Mrs Kehinde Jokotoye, who represented the Commissioner in the Ministry, Bolu Owotomo, stated that traditional farmers are critical in food production, hence the need to encourage and support them with inputs that would bring about desired results during harvesting.
Owotomo said: “Let us make good use of this opportunity, so that the success of this phase will make farmers benefit more from the state and federal governments of Nigeria.”
Earlier, State Coordinator, Federal Ministry of Agriculture and Food Security, Dr. Oluwatoyin Ayo-Ajayi, appreciated the present administration for partnering with the federal government for the initiative, adding that the programme is designed to support farmers at the grassroots level in cassava, rice and maize with inputs such as, seeds, pesticides, herbicides and fertilizers, to boost their production and enhance their livelihood.
The Niger State Government has mapped out 10,000 hectares of farmland in Gbapo Community of Katcha Local Government Area of the State for smallholder farmers to benefit from the state government’s agricultural intervention programme.
Two thousand out of the 10,000 holders of the farmlands have already received inputs.
At a flag-off ceremony in Yinti Village, the facilitator of the programme, Shinkafan Nupe, Malam Idris Usman Makanta, assured the farmers of increased distributions to the mapped-out ten thousand (10,000) farmlands if farmers respond positively.
He explained that the commencement of the two thousand is to measure the positive response of farmers before obtaining full-scale support.
Malam Makanta stated that this initiative aligns with the farmers’ initial commitment through Niger Foods, whose mission is primarily geared towards establishing efficient and profitable agricultural businesses to support the present administration of Governor Mohammed Umaru Bago’s quest to boost agricultural productivity in the state.
He also commended Niger Foods for their steadfastness and resilience in the effective implementation of the input financing scheme.
Makanta reiterated the commitment of the State Governor in making judicious use of the arable land in the state.
Shinkafan Nupe, therefore, urged the farmers to support the Governor by using the inputs wisely so that the dream can be actualised.
The Gombe State Government has empowered a total of 573,429 farmers and entrepreneurs under the 4th phase of the GO-CARES programme.
The programme was officially flagged off by Governor Inuwa Yahaya in another major step towards alleviating poverty and supporting the state’s vulnerable populations.
The Governor, while inaugurating the disbursement in Akko Community of Akko Local Government Area, restated his administration’s commitment to the welfare of vulnerable citizens in the state.
He was represented by the Commissioner for Budget and Economic Planning, Salihu Baba Alkali, who is also the Chairman of the Steering Committee on GO- CARES implementation.
“The 4th phase of GO-CARES will directly and indirectly impact a total of 573,429 citizens across the state. Of these, 152,429 individuals will benefit directly through cash transfers, livelihood grants, agricultural inputs, and operational grants to small businesses”, he stated.
The Governor added that, “421,000 people will be indirect beneficiaries through infrastructural projects such as classroom blocks, healthcare facilities, WASH services, and rural infrastructure projects like culverts and drainages”.
Yahaya, reaffirmed his commitment to ensuring that the state’s most vulnerable citizens are not left behind in the state’s development.
According to him, “Earlier this year, on June 25, 2024, we flagged off the distribution of improved seedlings, fertilizers, and herbicides to less privileged farmers in Malam Sidi, Kwami Local Government Area, signaling the commencement of the 4th phase implementation of GO-CARES under Result Area 2”.
The Governor reiterated that these initiatives have had a significant impact on the livelihoods of beneficiaries and the overall agricultural sector.
He explained that, “Today’s ceremony marked the simultaneous launch of activities under all three GO-CARES Result Areas for the 4th phase. These areas include: State Cash Transfer Grants: 2,500 direct beneficiaries; Labour Intensive Public Works: 2,700 direct beneficiaries; Livelihood Grants: 10,000 direct beneficiaries; and Basic Services: 405,000 indirect beneficiaries”.