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Why Nigeria Is Yet To Be Food Secured – Varsity Don

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A University Lecturer with Agronomy Department, Faculty of Agriculture in Bayero University, Kano, BUK, Sani Miko has listed factors responsible for why Nigeria is yet to be food secured.

Miko who categorized the factors into Internal and external policy challenges undermining the nation’s food security, said they include inadequate funding for the agricultural sector, threat of climate change for sustainable agriculture, insecurity of agricultural land and investments, insufficient value addition and agro-industrial processing facilities and low agricultural export among others.

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The Varsity Don stated this while delivering a paper titled, “Policy Challenges To Food Security in Nigeria” during an annual Ramadan lecture organized by the Islamic Forum of Nigeria National Headquarters in Kano.

According to him, “Indeed, there are numerous challenges that prevented the Nigerian agricultural sector from attaining its full potential. They can be categorized into Internal and external policy challenges undermining food security in the country. The chief among them are as follows:

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“Inadequate funding for the agricultural sector. Funding is inadequate to drive agricultural development in Nigeria.

“Achieving agricultural transformation would require funding beyond what the current budgetary allocation would provide.

“Over the years, Agriculture receives low investment from both State and Federal Governments. Example, Federal Government made budgetary allocation of between 1.3% and 3.4% to Agriculture in annual budget from the year, 2000 to 2007.

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“In the year 2017, combined expenditure of the federal and state governments showed they spent only 1 .8 percent of their total annual budget to agriculture.

“Threat of Climate Change for Sustainable agriculture. This is negatively affecting the Nigerian agricultural sector while the policy response and the needed interventions to mitigate the impact has remained largely ad-hoc.

Another factor is insecurity of Agricultural land and investments which is currently posing greater risk to agricultural production, processing, marketing and delivery of essential services.

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“The menace of Boko Haram, Banditry and communal, farmers and pastoralists conflicts have devastated livelihoods and investments of hundreds of farming and pastoral communities.

“Low level of agricultural mechanization. The availability and accessibility of macro and micro mechanization equipment such as tractors, power tillers, planters, combine harvesters and others needed for land preparation and other agricultural activities is very low in the country.

“Another factor is inadequate rural Infrastructure. The capacity of the rural communities for massive agricultural production and on-farm processing has been constrained by inadequate road networks, power supply, irrigation infrastructure, storage and processing facilities.

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“Poor extension services delivery: With an average of 1:10,000 extensions to farmer ratio across the country, farmers receive limited guidance and training in technology adoption. Also, limited access to affordable credit is another factor where farmers grapple with limited access to finance and high interest rates even with the interventions by the CBN.

“Similarly, issue of ineffectual synergy which relates to ineffective policy formulation and implementation structures at intra and inter-federal Ministries, Department and Agencies (MDAs) and weak synergy between federal and states MDAs. This has led to persistent inter and intra-agency rivalry in the sector.

“However, given the interdependent nature of international economic relations, it is unlikely that a country like Nigeria would be able to achieve its food security goal using its internal dynamics alone. For any country to be able to achieve its food security goal, it would need to think and act both locally and globally.

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“This would need an adjustment of its relations with international, regional, and sub-regional institutions like the FAO, the European Union (EU), and Economic Community of West African States (ECOWAS).

“It would also require seeking the understanding and support of some countries, which may be negatively affected by some agricultural, food, and fiscal policies of Nigeria.

“Thus, the ban placed on the import of some agricultural products – like Rice and Wheat, frozen chicken, and meat – in order to encourage local production, hurts the exporting countries of these food items to Nigeria.

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“This can provoke retaliation against Nigeria’s export of cash crops.

“These countries need to be reassured that Nigeria’s import prohibition of food items was not aimed to rubbish their ingenuity to produce so much food for local consumption and export the surplus; while greater collaboration is also needed with FAO in order to keep technical and financial aids that regularly come from the organization flowing.

“In addition, it would be helpful for the Nigerian government to take a hard and more discerning look at the usual irritating and self-serving suggestion from the World Bank, IMF, and the developed countries against subsidies in agriculture in developing countries.

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“This is because it is now evident that the suggestion is at variance with the practice in the developed countries.

“The developed countries do subsidize agricultural products. It is the support and subsidies that have enabled greater agricultural production and cheaper food without depressing the income of the farmers, but generating surpluses that the developed countries dole out as food aid to the developing countries, where the food aid sometimes serves as a disincentive to local food production.

“The Nigerian government has made food security a top priority in its economic reform agenda. It has also formulated agricultural policies and adopted some strategies it believes will make the agricultural sector of the economy more viable to ensure food security but the goal of food security seems increasingly elusive because the formulation and implementation of agricultural policies alone are not yielding the desired results and even if it is conceded that they are yielding some results, such results are incredibly marginal to be noticed by the people.

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“This is so and likely to remain like that because of the lacuna in the whole agricultural development program, typified by the absence of a food policy, ineffective linkage between the local food system, international food production, and supply system; inadequate funding of science and technology, universally acknowledged as one of the pillars on which food security rests; and the inability of the government to tackle decisively the increasing level of poverty and insecurity, which reduces access of many Nigerians to food production, supply and consumption,” Miko stated.

 

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JUST IN: Dangote Refinery Hikes Petrol Ex-depot Price

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Nigerians may soon pay more for petrol as the Dangote Petroleum Refinery on Friday increased its ex-depot price for Premium Motor Spirit to N880 per litre, raising fresh concerns over fuel affordability and price volatility in the downstream sector.

Checks on petroleumprice.ng, a platform tracking daily product prices, and a Pro Forma Invoice seen by The PUNCH confirmed the hike, representing a N55 increase from the previous rate of N825 per litre.

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The increment would ripple across the entire fuel distribution chain, likely pushing pump prices above N900/litre in some parts of the country, especially in areas far from the distribution hubs.

The hike comes despite global crude prices falling. Brent crude dipped by 3.02% to $76.47, WTI fell to $74.93, and Murban dropped to $76.97 on Friday. The decline in benchmarks offers little relief due to persistent fears of sudden supply disruptions.

READ ALSO: JUST IN: Dangote Refinery Sashes Petrol Gantry Price

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The refinery has increased its reliance on imported U.S. crude and operational costs amid exchange rate instability, which adds to its pricing pressure.

On Thursday, the President of the Dangote Group, Aliko Dangote, said his 650,000-barrel capacity refinery is “increasingly” relying on the United States for crude oil.

This came as findings showed that the Dangote Petroleum Refinery is projected to import a total of 17.65 million barrels of crude oil between April and July 2025, beginning with about 3.65 million barrels already delivered in the past two months, amid ongoing allocations under the Federal Government’s naira-for-crude policy.

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Dangote informed the Technical Committee of the One-Stop Shop for the sale of crude and refined products in naira initiative that the refinery was still battling crude shortages, which had led it to resort to imports from the United States.

READ ALSO:Dangote Stops Petrol Sale In Naira, Gives Condition For Resumption

On Monday, the president of the Petroleum and Natural Gas Senior Staff Association of Nigeria, Festus Osifo, accused oil marketers of exploiting Nigerians through inflated petrol prices, insisting that the current pump price of PMS should range between N700 and N750 per litre.

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He criticised the disparity between falling global crude oil prices and the stagnant retail price of petrol in Nigeria.

“If you go online and check the PLAT cost per cubic metre of PMS, convert that to litres and then to our Naira, you will see that with crude at around $60 per barrel, petrol should be retailing between N700 and N750 per litre.”

He asserted that if Nigerians bear the brunt of higher fuel costs, they should be allowed to enjoy the benefit of low pricing.

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His forecast of increased costs now appears spot on, considering the latest developments.

Marketers are already adjusting. Depot owners and fuel distributors in Lagos and other cities anticipate a domino effect, with new price bands expected to follow Dangote’s lead.

Many had held back pricing decisions since Tuesday, when the refinery halted sales and withheld fresh PFIs. The delay fueled speculation, allowing opportunistic price hikes across various depots.

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Naira Appreciates At Official Market

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The Naira, which has seen steady appreciation against the Dollar all week, closed stronger on Friday, trading at ₦1,580.44 in the official forex market.

Data from the Central Bank of Nigeria’s website show the Naira gained ₦4.51k against the Dollar on Friday alone.

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This marks a 0.28 per cent appreciation from Thursday’s closing rate of ₦1,584.95 in the official foreign exchange window.

The local currency maintained consistent strength throughout the week, recording gains daily.

READ ALSO: Naira Appreciates Against Dollar At Foreign Exchange Market

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On Monday, May 19, it traded at ₦1,598.68; on Tuesday, at ₦1,590.45; and on Wednesday, at ₦1,584.49.

These gains suggest increased investor confidence and improved forex supply, contributing to the naira’s performance.

Meanwhile, the CBN, at its 300th Monetary Policy Committee meeting held Monday and Tuesday, retained the Monetary Policy Rate at 27.5 per cent.

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BREAKING: Again, Dangote Refinery Cuts Petrol Price

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The Dangote Petroleum Refinery has announced a nationwide reduction in the pump price of Premium Motor Spirit (PMS), commonly known as petrol, with new prices now ranging between ₦875 and ₦905 per litre, depending on location.

The ₦15 per litre cut applies across all regions and partner fuel stations, and was confirmed via an official announcement posted on Dangote Refinery’s social media channels on Thursday.

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Major marketers participating in the new pricing regime include MRS, Ardova, Heyden, Optima Energy, Techno Oil, and Hyde Energy — partners in the distribution of Dangote-refined products.

READ ALSO: JUST IN: Dangote Refinery Sashes Petrol Gantry Price

Under the previous pricing structure, Lagos residents paid ₦890 per litre, while prices reached ₦920 in the North-East and South-South regions. With the latest adjustment, Lagos now pays ₦875 per litre, while the North-East and South-South will see prices drop to ₦905.

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A regional breakdown of the revised prices is as follows: Lagos: ₦875, South-West: ₦885, North-West & Central: ₦895, North-East & South-South: ₦905 and South-East: ₦905.

In its announcement, Dangote Refinery encouraged consumers to purchase fuel only from authorised partner stations and urged the public to report any cases of non-compliance via its official hotlines: +234 707 470 2099 and +234 707 470 2100.

“Our quality petrol and diesel are refined for better engine performance and are environmentally friendly,” the company said.

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