Mr Olatunde Amolegbe, the Managing Director/Chief Executive Officer, Arthur Steven Asset Management Ltd., has called for a national plan for provision of storage facilities for farmers to address food inflation.
Amolegbe made the call in an interview with the News Agency of Nigeria (NAN) on Friday in Lagos.
He said both the federal and state governments must pursue the plan and provide various levels of storage capacity for farmers based on the sizes of their farms.
The managing director added that the facilities should be provided at subsidised rate.
“The governments can help with a well- coordinated post harvest storage system that ensures supplies can last beyond the harvest season,” he said.
He lauded efforts being made by AFEX in providing post harvest storage facilities in various parts of the country.
Amolegbe, however, said that the efforts of AFEX would need to be supported on a massive scale by both the federal and state governments.
He identified post-harvest waste as one of the main reasons for persistent food inflation in the country.
“There has to be a national plan to provide various levels of storage capacity to farmers based on the sizes of their farms and at subsidised rates,” he said.
According to Amolegbe, food inflation remains the main contributor to core inflation as it leads the Consumer Price Index basket monthly.
“This has been attributed to insecurity that has prevented farmers from going to the market and lack of effective post-harvest storage as well as transportation cost from farms to markets.
“Clearly, the nation is blessed with all the required human and natural resources to be counted among the agricultural powerhouses in the world as we were in the past.
“However, these resources need to be harnessed and utilised in a way that the inherent potential leads to increased productivity,” he said.
Amolegbe also stressed the need for more support of farmers at sub-national and local government levels to boost food security.
He said that supply of machineries must be crucial as well as provision of funding for fertilisers.
“The solution, therefore, will be to tackle each of these issues head on.
“Improving security is sacrosanct, while the sub-national governments can do more in improving farm infrastructure as well as supporting farmers regarding transportation of their produce to markets,” he said.
Amolegbe said the Nigerian agricultural sector remained a crucial component of the nation’s economic framework.
He said the sector was crucial to the growth of the country’s gross domestic product and employment.
Amolegbe urged that policymakers should pay attention to the sector in order to harness its full potential.
