Fuel Subsidy Removal Killing Poultry Subsector In Nigeria, PAN Raises Alarm 

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*Wants FG, CBN to rescue subsector from imminent collapse 

*Laments maize scarcity 

By; BAYO AKAMO, Ibadan

The Poultry Association of Nigeria, (PAN) over the weekend, alerted that the removal of fuel subsidy is seriously threatening the survival of poultry subsector in Nigeria .

PAN South West Zone Chairman, Reverend Gideon Oluleye raised the alarm in Ibadan, while speaking on the plight of poultry farmers in the country

He declared that there is the need for the Federal Government to rescue the poultry subsector in the country from total collapse as the removal of fuel subsidy has caused a galloping increase in the cost of input in the subsector, which has made it worse for farmers in the country to operate.

In rescuing the poultry sub sector, PAN charged President Bola Tinubu, the Central Bank of Nigeria (CBN) and the Governors from the Southwest to wade in and save the poultry subsector as the challenges facing the body are enormous considering that the issue of naira redesign dealt a major blow to the viability of the sector that farmers have not recovered from.

 “Recently some maize were allocated to farmers by CBN and the commodity exchange, as part of intervention to bring down the soaring prices of maize in the market. About 40,000 metric tonnes was allocated at N220,000 and N225,000 per tonne to farmers, while the farmers officials were still trying to negotiate a reduction in the price per tonnage which we farmers felt is too high for an intervention programme, that the commodity exchange gave a deadline of two weeks payment to access the maize”, he said.

The PAN South West zone Chairman added, “Only few farmers and stakeholders could meet the deadline and the commodity exchange and C.B.N cancelled and withdrew the allocation immediately at the expiration of the deadline”. 

According to Rev Oluleye, ” A few states like Oyo, Ekiti and others paid at the brink of the deadline, and yet the commodity exchange went ahead to cancel the allocation”, adding, ” All efforts to convince the commodity exchange to renew the allocation at the initial price given, proved abortive”.

He noted that the marketing strategy to hoard the maize had caused unnecessary scarcity in the market and had led to increase in the high cost of maize in the open market, and that ” the cost of maize in the South West  is about N400,000 – N430,000 per ton which is not affordable to farmers, as the price of maize which was formerly sold at N225,000 – N230,000 in the South West, now cost about N400,000 – N430,000 as a result of hoarding the item by the commodity exchange.

Calling for reduction in the price of soybeans for poultry and livestock sector of the country, Rev Oluleye charged the Federal government and the CBN to subsidize and grant a short importation for maize and soya beans in order to bridge the short fall currently been experienced to preserve the sector from collapsing.

“We are appealing to the Federal Government to grant access to capital through the C.B.N for long term lending and grants to the sector and create structures that will facilitate sales of our products.

The Federal Government should use our products in feeding the inmates at our correctional, IDP Centres and government hospitals and appoint two officials of poultry Association of Nigeria (PAN) as members of the committee managing the strategic grain reserve”. 

Oyo State PAN Chairman,  Elder Oyekunle Omidokun while speaking urged the FG to intervene and save the sector from imminent collapse, saying. the Agric sector has contributed an average of 24% to the National GDP, which has provided job opportunities for millions of Nigerians.

Elder Omidokun said the high cost of Diesel, Petroleum Motor Spirit (PMS) and foreign exchange scarcity has affected the cost of vaccines, veterinary drugs and that  Federal Government should release 20,000 metric tonnes of maize to PAN at discounted rate in order to mitigate the challenges facing the industry.  

He stressed further that the Central Bank of Nigeria (CBN) and Nigeria Commodity Exchange (NCX) to urgently release the maize allocated to the poultry industry and provide enabling support schemes for the revival of the industry.

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