In 2020, the coronavirus
pandemic forced economies across the world, including Nigeria, to totally shut down
commercial and social activities. A consequence of that was financial losses for
businesses, which cascaded to the workforce, with many losing jobs or income. Local
households’ income levels expectedly tumbled. Providing consistent, adequate
nourishment for the family during that period also became a big struggle for
many homes.
Amid the anxiety
by breadwinners on how to cater for their homes, one of the top statements
searched for on Google, a top search engine, was ‘how to bake bread’. That much
was confirmed in a recent editorial published by a leading Nigerian newspaper.
Why the desire
to learn bread making, a food derived from wheat, by households? The answer is
simple. People had to get creative and innovative in their thinking and
approach to catering to and meeting their household’s dietary needs. Foodstuff
witnessed a steep price increase as a result of the impact of the pandemic on
food production and the impact was far-reaching.
A recent survey
conducted by Olam to evaluate the impact of the outbreak on the African farming
communities, smallholder farmers on the continent showed vulnerabilities to the
shocks and aftereffects of the global disruptions on agricultural value chains.
The survey report revealed that 68 per cent of smallholder farmers reported a sharp
reduction in their income as compared to before Covid.
The survey was
carried out across 19 countries among 3,432 farmers globally, among whom 1,663
were smallholder farmers located in 7 African countries. More importantly, most
of these farmers were into the production of food crops.
According to
the report, 55 per cent of farmers surveyed said they had produced less on
their farms in the past season; 47 per cent said farm inputs like seeds and
fertilisers, were less available in the local market; 42 per cent said it was
harder to find labourers; and 55 per cent said they had less money to afford
farm inputs or hired labour.
Taking Nigeria
as a case study, over the last decade the country has witnessed a steady
increase in the consumption of wheat staples. However, the country’s current
local wheat production level stands at 60,000 metric tons. This already low cultivation
level was also impacted by COVID shocks which impacted crops like Corn so badly
that there was a massive shortage of supply in the country. This increased the
gap between supply and demand to over 4.9 million metric tons. With a current
consumer demand of about 5 million metric tons (Figure 1), this gap is a
cause of deep concerns for the country’s food security needs. It puts local consumers at
the mercy of uncertain global events, like global wheat price and international
shipping price inflation.
A group of
Nigerian farmers were recently quoted as saying that there are around 650,000
hectares of farmland available for the cultivation of wheat and that human resources
are also not lacking. The reality, however, is that the total land area devoted
to wheat farming in Nigeria is small. In 2011, when Nigeria recorded peak
production levels at 165,000 tons, the harvested land area was 128,992 hectares.
(Figure 2)
The major challenges
confronting the wheat production sector is the dearth of improved and high-yielding
seed varieties, farmers’ limited understanding of the available seed varieties,
insufficient funding systems, lack of an overarching strategy for wheat development,
and the poor state of farming infrastructures such as irrigation facilities,
land preparation equipment, and sprayers.
Figure
2
A major intervention
is critical to address the continuous slide in the local wheat production value
chain. The Central Bank of Nigeria (CBN) and the Federal Ministry of Agriculture
and Rural Development (FMARD) continue to push for the release of improved seed
varieties to smallholder wheat farmers and an upgrade of farming infrastructure
The CBN and
FMARD wheat value chain intervention programmes are commendable. Encouraging a
deeper partner collaboration and further investment in research will no doubt
address persisting problems in the value chain and enhance the efforts of the
government agencies. This strategic
direction is being pursued by some public agencies and private firms. One private
firm that is leading that charge is Olam, an agribusiness conglomerate.
The firm,
earlier this month, announced a N300 million, 10-year community-based seed
enterprise to stimulate new growth in the wheat milling value chain. The
agribusiness firm is set to hold its second Green Land webinar on November 24, 2021,
to generate fresh discourse around the wheat value chain development programme.
The webinar is expected to provide interesting insights into the firm’s approach
to identifying the best bet seed varieties and seed multiplication strategy in
its “Seeds for the Future Project”.
Figure
3
The aspiration
of all stakeholders is growth for the value chain and efforts are currently geared
towards this sole objective. In March 2021, Olam hosted the inaugural edition of
its Green Land Webinar series where it convened key stakeholders to have useful
conversations around improving local wheat production.
Olam is however
not alone in this pursuit to address
the existing challenges in the country’s wheat value chain, the CBN organised the wheat conference and stakeholder engagement that was held
in Abuja, in October 2021.
The second
edition of the Olam webinar is expected to, among other objectives, provide an
interesting insight into the prospect of attaining national wheat production self-sufficiency,
and the hopes of the millions of households that keep searching for better ways
to feed members, as the viral search for ‘how to bake bread’ in May 2020 suggests.
The theme of the
stakeholders’ consultations is “Re-thinking Wheat Farming in Nigeria – Seeds
I Research I Partnerships”. If the outcomes of the last Olam webinar are
anything to go by, then the second edition should engender more useful conversations
and interactions aimed at moving the sector forward, ultimately.
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