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Will Tinubu Look Beyond Oil to Save Nigeria’s Collapsed Agricultural Sector?

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By Sebastian Eshiomogie

“The war against hunger is truly mankind’s war of liberation.— John F. Kennedy.

I was about to start writing this piece the moment the idea was conceived but, I took a moment to scan the day’s newspaper headlines, a daily ritual that helps me stay attune to current events and sparks new ideas. Then, I came across a report that caught my attention – former President Obasanjo’s urgent call for the government to rebalance its priorities by investing more in the agricultural sector than relying more on quick oil money. This report only added to my motivation and inspiration to dedicate more attention to writing a compelling piece that highlights the importance of this critical sector to our economy, especially now that the country is hit with severe food crisis.

The past week has laid bare the stark reality of the desperation and hunger gripping Nigerians. The last decade of Nigeria has been marked by unrelenting hardship, with the last one year under President Bola Ahmed Tinubu’s leadership being the worst. The pangs of hunger and high cost of living are unforgiving, and a person driven by desperation can be pushed to extremes at this time. This is why Nigerians have been forced to the street calling for a change of government.

Regardless of the government’s attempts to rationalize why citizens should refrain from protesting, the demonstrators’ actions are entirely justified. Hardship has been their reality for far too long, and now hunger looms large, when they witness daily the luxurous lifestyles of their leaders and their children. This is not a situation any self-respecting government should attempt to downplay or justify. Rather, it is a strong statement, showing the state’s failure to provide for its people and a stark reminder of its inability to fulfill its most basic obligations, which is the true essence of its existence.

As I reflected on the plight of Nigerians, I couldn’t shake off the feeling of despair. Daily, my phone rings repeatedly, with pleas for financial help pouring in from individuals struggling to feed their families. These were once self-sufficient citizens, now reduced to seeking aid due to the country’s harsh economic climate. Job losses and business closures have become commonplace, courtesy of the hostile business environment laced with multiple taxation.

As a writer, I believe that my voice can be a catalyst for change. Through my words, I hope to bring attention to the urgent need for the government to prioritize critical sectors like agriculture, ensuring effective monitoring and implementation, to at least make food available for all. This is the least Nigerians expect from this government. The status quo is unsustainable, and the future of the nation hangs in the balance.

The developments in the country in the past weeks have clearly revealed how the elites have systematically dismantled the foundations of our economic sustainability, abandoning agriculture, our primary source of prosperity, in favour of an oil-dependent economy controlled by a privileged few: government officials, the wealthy elite, and a cartel of smugglers, including some traditional rulers. This triumvirate has crippled the economy, leaving the majority to suffer the consequences. This is indeed a sad narrative to be told.

A striking example is the case of Dangote’s fertilizer and urea production. For nearly a decade, the company has been manufacturing these essential agricultural inputs, but the majority of its output is exported to other countries in exchange for dollars, while only a tiny fraction of these products is made available to Nigerian farmers, who are forced to pay exorbitant prices. No one has summoned the courage to ask why. Not an eyelid is raised.

This raises a critical question: why has the government failed to regulate Dangote’s operations, despite the company’s significant benefits from tax breaks, loans, and favourable currency exchange rates? This has a devastating ripple effect, exacerbating the already high cost of production and further entrenching the country’s agricultural sector in crisis. Yet, no one has raised eyebrow over this practice, not even those who have stakes in the agricultural sector.

But the recent controversy surrounding Dangote’s refinery didn’t wait for a day before it sparked a firestorm of debate, as rumours of a monopoly in the petroleum sector by Dangote was brought to the public. The media frenzy was palpable, with Dangote himself making the rounds on major TV stations. Government officials jumped into the fray, justifying why Dangote’s operations were untenable, while the National Assembly hastily set up committee upon committee to investigate the drama of interest. Today, members of this committee are divided, not for any reason; they are more interested in what gain from the government, Dangote, and other players in the oil sector, not how to make the country better or to reform the sector. This was an elitist war that involves only players in an industry that encourages corruption and massive exploitation.

Imagine what would happen if the agricultural sector received even a fraction of this attention. Nigeria would likely be a global food powerhouse, exporting surplus produce to the world. Instead, the focus remains on the oil industry, with its attendant drama and corruption.

Regrettably, President Tinubu’s economic priorities seem to echo those of previous administrations, where agriculture was relegated to the periphery. This approach has perpetuated the country’s food security crisis, fostering a reliance on imports and further weakening the naira’s value. This practice has created a significant gap in domestic food production, leaving Nigeria vulnerable to external market fluctuations and currency devaluation.

A closer examination of the proposed 2024 budget reveals that Nigeria has once again missed a critical chance to tackle its escalating food crisis. Unless swift and decisive action is taken, accompanied by rigorous monitoring and implementation, the country will continue to grapple with this pressing issue. The 2024 proposed agriculture budget falls woefully short of addressing the country’s food crisis, particularly when considering the alarming number of citizens living in extreme poverty – approximately 70 million as of December 2023. The majority (89%) of these individuals reside in rural areas, where access to basic necessities like food, clean water, shelter, education, and healthcare is severely limited.

A thorough examination of the proposed budget reveals several concerning trends:

The agriculture sector’s allocation has stagnated between 1-2% of the overall budget over the past seven years, failing to demonstrate a commitment to meaningful growth. The 2024 allocation of 1.32% is particularly underwhelming.

The Federal Ministry of Agriculture and Food Security’s (FMAFS) budget distribution between capital and recurrent expenditures has been inconsistent, hindering effective planning and resource allocation.

Inflation’s erosive effect on the budget’s purchasing power threatens to undermine the capital budget’s impact, compromising the sector’s development potential.

The lack of detailed information in budgetary documentation obscures essential specifics, impeding transparent monitoring and accountability.

To address these shortcomings, I recommend adopting a more comprehensive and transparent budget framework, ensuring accountability and effective resource utilization to drive meaningful progress in Nigeria’s agriculture sector.

The agricultural sector in Nigeria is facing a multitude of challenges, including its near-total dependence on rainfall for crop farming. The presence of inactive farming clusters, dilapidated irrigation infrastructure, and ineffectual extension services further constrains the sector’s potential. Moreover, the lack of mechanization and unaffordable agricultural inputs further worsen the situation. Therefore, it is crucial that the agriculture budget focuses on initiatives that will drive economic growth and development.

I call on the relevant National Assembly committees on Agriculture to probe these issues and take immediate corrective action. Given the sector’s critical role in job creation, it is essential that the budget allocation and planned initiatives reflect a genuine commitment to developing agriculture and achieving its assigned objectives.

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