Agricultural Master Plan

8/2/2019 Agricultural Master Plan

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Federal Ministry of Agriculture and Rural Development |

Presidential BriefAgricultural Transformation Agenda

We will grow Nigerias

agricultural sector

September 9th 2011

Presentation made by the Honorable Minister ofAgriculture to the Economic Management Team

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Agricultural Transformation AgendaDirectly building on Mr. Presidents Transformation Agenda

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Nigeria can no longer continue to be a sleeping giant; we haveto wake up and if we wake up, we must begin to do thingsdifferently

- His Excellency, President Goodluck E. Jonathan GCFR, President,Commander-in-Chief of the Armed forces of the Federal Republic ofNigeria

TheAgricultural

TransformationAgenda


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Federal Ministry of Agriculture and Rural Development | 2

Historical review

Our historical dominance in international agricultural tradeDoreo


4/92Federal Ministry of Agriculture and Rural Development |

Nigeria's lost glory in the world trade of groundnuts

Our former glory in the global trade ofgroundnut Circa 1961

Share of worlds shelled groundnut exports in 1961*

Measure: % of world trade

Others

Nigerias dominance was eclipsed by China, USA and Argentina

Nigeria

Nigerias export volumes compared to global export volumes for shelled groundnut

1961 2008*Measure: Thousands of metric tons

16%0%

Nigerias Exports Global Exports

Global market-share trend of shelled groundnut among key producers**Measure: Percent of global trade of shelled Groundnut

USA

Nigeria

China

Our competitors maintained theirdominance due to strong marketingorganizations that linked the farmers tomarkets and hence were able to meet

new strict sanitary and phytosanitaryrequirements, particularly for Aflatoxin,a serious food toxin.

New technologies, Aflasafe, have beendeveloped in Nigeria by IITA to enableNigeria meet the new strict sanitary andphytosanitary requirements.

Argentina

2008

3

*FAO ** Doreo Analysis, FAO



Nigeria's lost glory in the world trade of palm oil

Our former glory in global trade of palm oil Circa 1961

Share of worlds palm oil exports in 1961*


Others

Nigerias dominance was eclipsed by Indonesia and Malaysia

Nigeria

Nigerias export volumes compared to global export volumes 1961 2008**

Measure: Thousands of metric tons

4%9%

Nigerias Exports Global Exports

Global market-share trend of palm oil among key producers**Measure: Percent of global trade of palm oil

Malaysia

Nigeria

Indonesia

While Nigeria declined rapidly, theindustry grew even faster to over 33Million metric tons.

Our competitors at the time - Indonesiaand Malaysia, continued to invest in theiragricultural sector, with a particularemphasis on R&D to develop higheryielding varieties and remain competitive.

This investment translated into countriessuch as Malaysia today controlling 40%of the world trade of Oil Palm productsvalued at over US$18 Billion

2008

4

*FAO ** Doreo Analysis, FAO



Nigeria's stagnation in the world trade of cocoa

Our former glory in global trade of cocoaCirca 1961

Share of worlds cocoa exports in 1961*


Others

Nigerias dominance was eclipsed by Indonesia and Cote dIvoire

Nigeria

Nigerias export volumes 1961 2008*

Measure: Thousands of metric tons

0.4%

Nigerias exports

Global market-share trend of cocoa among key producers***Measure: Percent of global trade of cocoa

CotedIvoire

Nigeria

Ghana

While Nigerias production stagnated,the industry grew to over 2.7 Million MT.

Our competitors maintained theirdominance due to strong marketingorganizations that linked the farmers tomarkets and provided support in theform of improved planting material,fertilizer, credit and rural infrastructure.

Our stagnation has meant we havebeen unable to benefit fully from rapidlyrising global prices.

Indonesia

2008

*FAO ** Index Mundi *** Doreo Analysis, FAO

Cocoa Bean Price **

Measure : US$ per metric ton

20112005 20092001 2003 2007

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Nigeria lost a US$10 Billion (1.6 Trillion Naira) annual export opportunity fromfour agricultural commodities alone

CottonOil PalmCurrent exportrevenue

Potential annual export revenues assuming Nigeria maintained its 1961 market share*Measure: Millions of USD

Cocoa Groundnut Potential exportrevenue

Potential additional export revenues

* Doreo Analysis, FAO

Additional export revenues assuming 1961s market share applied to 2008s values for global trade of individualcommodities.

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Our inability to competeA review of Nigerias low agricultural productivityDore

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Nigerias low agricultural productivity Yield per hectare

Comparison of Nigerias yields across all crops versus

other leading agricultural countries

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Index of crop yields relative to Nigerias yields in 1961*Measure: Relative growth in crop yields

Malaysia

Thailand

Annual growth rates

1961 2008

3%

Nigeria

1961 20081980

Yield per Hectare is the driver of

agricultural competitiveness.

Nigeria's yield per hectare is 20% to50% of that obtained in similardeveloping countries.

In 1961, Indonesias yields were lower

than that of Nigeria. In 20 yearsIndonesia increased its yield 3 times.

Nigeria has one of the lowest usagerates of agric inputs.

Across the board, Nigeria ranks at thebottom on agric indices

Mechanization Intensity: 10 tractorsper 100 Ha compared to Indonesiawith 241 tractors per 100 Ha

Irrigation: 0.8% of arable landirrigated compared to Thailands 28%

of arable land irrigated

Key takeaways

Indonesia

Brazil

2%

2.3%

1.6%

1.2%

1990 20001970

Nigerias low fertilizer utilization**Measure: Kg per hectare

Nigerias low utilization of improved

seeds**Measure: Percent of farmers

* Doreos Analysis, FAO **IFDC

Indonesia lowest in 1961


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0.2%

10

*Doreos Analysis **IFPRI

Per capita agricultural growth in production*

Measure : Metric tons of production per person

Agricultural growth trends and government expenditureNigeria versus Asia

The Role of government expenditure in agricultural growth Asia versus Nigeria

1961 1990 20091970 20001980

2%

3.5%Malaysia

Thailand

Nigeria

Agriculture budget as a percentage of total government expenditure by region**Measure : % of total government expenditure

Malaysia, Thailand and China all

experienced significant growth inagricultural production per capita.

Conversely, Nigerias agricultural

production per capita has stagnated andhas been declining rapidly over thelast decade.

The driver of Asias growth was

significant government investment.

Asia invested up to 16% of theirnational budget in agriculture to lay thefoundation for broader economic growthand industrialization.

Nigeria's investment in exceptionallylow averaging approximately 2% ofgovernment expenditure.

Key takeaways

China 1.9%

1990 200520001980

AsiaAfrica

Nigeria

Annual growth rates1961 2009Nigeria No. 1 in

1961 Now

declining


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Our new glory The glory of food importsAs we do not produce... We must importDore

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Nigeria Imports over 1 Trillion Naira in wheat, rice, sugar and fish every year

Sugar

Fish

WheatWorlds largest importer

of US hard red andwhite winter Wheat

Nigerias top 4 food imports *

Measure: Annual food imports in billions of naira

Nigerias imports

Nigerias food import bill is exceptionally high. Thetop four imports consume over 1 trillion naira in

foreign exchange every year.

Nigerias food imports are growing at anunsustainable rate of 11% per annum.

Relying on the import of expensive food onglobal markets fuels domestic inflation.

Nigeria is importing what it can produce inabundance.

Import dependency is hurting Nigerian farmers,displacing local production and creating risingunemployment.

Import dependency is not acceptable, norsustainable fiscally, economically or politically.

Key takeaways

*CBN

Rice

Worlds #2 Importer


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The days of importing cheap food are over.

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Demand drivers: Significant increase in demand

4.4%

10%

The World food price index is at itshighest point in recorded history

Doreo

Doreo

Population growth: Cumulative growth in world population 1999 2009*Measure: Millions of people

Increase in standard of living: Per capita meat consumption in China**

Measure: kg per person

Increased biofuel demand: % of US corn production used for biofuels

Measure: % of US corn production

FAO world food price indexMeasure: Index of price of food globally

1990 20112000 20051995

* Doreos Analysis, World bank ** FAO *** Earth Policy Institute

Food exporters have demonstrated awillingness to ban exports to ensuretheir countries food security e.g.

Thailand, Russia, India, Vietnam etc.

Export bansjeopardize Nigerias foodsecurity.

Any shock in global markets will putNigerias national security at risk

e.g. North African riots.


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Importing food | Importing inflation | Driving povertyIf we do not succeed the situation will likely only get worse

Doreo


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Nigerias unemployment challengeNigerias unemployment rate is spiraling upwards, growing at 11% per year. The youth of the nation are the mostimpacted, with a youth unemployment rate that is over 50%.

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Unemployment breakdown youth& region

*Nigerias National Bureau of Statistics ** Nigeria s Ministry of Education, World Bank

Spiraling general unemployment rategrowing at 16% per year*Measure : %

11%

Nigerias spiraling unemployment

YouthUnderemployed

Youth unemployment 3X Generalunemployment**Measure: % Youth

Unemployment

YouthEmployed

Doreo

Unemployment among our youthis one of our biggest challenges.The time has come to create jobsand lay a new foundation forNigerias economic growth

-His Excellency, PresidentGoodluck E. Jonathan GCFR,President, Commander-in-Chief of the Armed forces ofthe Federal Republic ofNigeria

Regional unemployment rates*Measure : %

Our unemployment rate is spiraling, drivenby the wave of 4 Million young peopleentering the workforce every year withonly a small fraction able to find formalemployment.

Agriculture has demonstrated an ability to

solve this challenge, as can be seen bythe fact that the breadbasket region i.e.North Central, has the lowest

unemployment rate in the country.

Key takeaways


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Nigeria must learn from successful experiencesHow other countries developed their agriculture sectors, fedthemselves and drove economic growth with jobs

Doreo


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Agricultural transformation across the globe has led to dramatic reductions in poverty

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Relative growth in the agricultural sector (Base 1981)*

Measure: Relative growth in the value of the agricultural sector

China

Vietnam

2.6%

1981 1990

China, Vietnam, Brazil and

Thailand have seen dramaticgrowth in their agricultural sectorsover the last three decades.

Over the same period they saw aneven more dramatic decline intheir level of poverty.

Vietnam and China took 40% oftheir population out of povertyin 10 years, led by aggressiveinvestment and growth of theiragricultural sector.

Investing in the agricultural sector

also developed the ruralcommunities that inturnsignificantly reduced rural-urban migration

Key takeaways

Brazil

Thailand

2%

1.8%

1.4%2000 2008

Decrease in % of population under the poverty line ($1.25)*Measure: Percent of population under the poverty line

China[1995 -2005]

Vietnam[1995 2005]

# lifted out of povertyin 10 years

(Millions of people)

440

1981 1990

Brazil[1985 -1995]

Thailand[1985 1995]2000 2008

Annual growth rate

24

14

8* Doreos Analysis, World Bank


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Agriculture transformation is not only about food It is also about the economy

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Goal

Anindustrialized,high-growth,diversifiedeconomy,creating jobs,creating wealthand providing

food securityfor our people

Import substitution agricultural development

Agricultural development with a focus on self-sufficiency via import substitution,lowers the cost of food, increases real wages and drives down inflation.

1

Export-oriented agricultural sector

A rapid transition to an export-oriented agricultural economy, diversifies theeconomy thereby increasing foreign exchange reserves, stabilizing the exchangerate.

This coupled with reduced inflation, drives macro-economic stability.

Macro-economic stability will in turn significantly increase the level of foreigndirect investment (FDI)

2

Grow value added agro-processing sector

Leverage the foreign direct investment (FDI) andthe economies of scale derived from an export-oriented large/efficient agricultural sector toprovide inexpensive raw materials to stimulateinvestment in the agro-processing Industry

3

Backward integrate into higher value addedmanufacturing

With growth in agro-processing industry, backward integrate

into higher value added services and manufacturing ofindustrial equipment and products for the burgeoning industry.

4

* Team Analysis / DoreoAnalysis

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Thailand's agricultural development enables it to have one of thelowest unemployment rates in the world at 1.2%

Leveraged agriculture to backward integrate into highervalue-added manufacturing

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Growth in the agricultural and manufacturing sectors*Measure: Billions of USD

Manufacturing

Agriculture

4.5%

1981 1990

Significant investment by the Thaigovernment in the development ofthe agricultural sector catalyzedunprecedented growth in themanufacturing sector.

This economic growth has enabled

Thailand to have one of thelowest unemployment rates inthe world today at 1.2%

Key takeaways

1.4%

2000 2008

Annualgrowth rate

*World Bank

** Thai Government

Thailand exceptionally low unemployment rate**Measure: Unemployment rate

One of the lowest

unemployment ratesin the World


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Rapid Agricultural Transformation in Africa: Malawi

Malawi became self-sufficient in food production within oneyear by focusing on an agricultural transformation

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Key drivers of success

Malawi achieved and exceeded its maize requirements in three years*

Measure: Maize production, millions of MT

1

2

3

1983 20071985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005

0.5

1.5

2.5

3.5

Enough is enough, I am not going to go on my knees to beg for food. Let usgrow the food ourselves.

--Bingu wa Mutharika, President of Malawi

In 2004, Malawi had its worst

harvest in a decade

In 2005, the governmentimplemented one of the mostambitious and successful assaultson hunger in African history

The transformation was led bythe Malawian President

Launched a national inputsupport program targeted atsmall holder farmers

Maize production doubled in2006 and tripled in 2007, enablingMalawi to export:

400,000 to Zimbabwe 10,000 metric tons of food aid


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02

+16% p.a.

0807060504030100

00

+7% p.a.

08070605

SOURCE: FAO Stats, UN Com Trade

Rapid Agricultural Transformation in Africa: Kenya

Horticulture value growth

Measure: Billions of Kenyan Shillings

Floriculture export growthMeasure: Thousands of metric tons

Private sector driven marketing institutions drove Kenyato the #1 position in the global horticulture market. Lessons for Nigeria

1. Need for Value chain co-ordinator

Horticulture development authority (HCDA)tasked with setting and enforcing grades andstandards for the national production

2. Infrastructure investments Supported development of roads and irrigation;

new flights to target export zones

3. Private sector leadership Key value chain participants took ownership of

articulating and executing growth agenda foragriculture

Sector controlled by private sector, with nogovernment interference except inregulation and certification

4. Supportive fiscal policies Lower taxes on inputs, equipment etc Lower duties

5. Market information systems available forfarmers


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8 Million Jobs In Just One Agricultural Sub Sector, Horticulture

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A Sea of Jobs8 Million jobs created by the Kenyan Horticultural sector, a single sub sector of agriculture

Image from recent field trip to Kenyan Green Bean processing plant by the Honourable Minister of Agricultureand Rural Development Aug 2011


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Our transformation strategyGrowing the Nigerian agricultural sectorDore

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Our Vision: We will grow Nigerias agricultural sector

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Achieve a hunger-free Nigeria through an agricultural sector that drives income growth,

accelerates achievement of food and nutritional security, generates employment and

transforms Nigeria into a leading player in global food markets to grow wealth for millions offarmers

What we will stop doing

1. End the era of treating agriculture as a development project

2. No more isolated projects without a strategic focus to drive agricultural growth and foodsecurity in a clear and measurable way.

3. No more big government crowding out the private sector


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Our Vision: We will grow Nigerias agricultural sector

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What we will start doing!

1. Execute an agricultural transformation agenda to support Mr. PresidentsTransformation Agenda

2. Focus on agriculture as a business

3. Utilize the transformation of the agricultural sector to create jobs, create wealth and

ensure food security

4. Focus on value chains where Nigeria has comparative advantage

5. Develop strategic partnerships to stimulate investments to drive a market-ledagricultural transformation

State and local governments Inter-ministerial collaboration Private sector Farmer groups and civil society

6. Sharp focus on youth and women


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Transformation policiesChange the way we work in agriculture

Fix fertilizer Fix marketing institutions Fix financial value chains Fix agricultural investment framework

Doreo


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Our fertilizer strategyStimulate a thriving private sector fertilizer industry, with

government getting out of fertilizer procurement anddistribution, supporting farmers through GrowthEnhancement Support systems

Doreo

Structure of Government distribution system versus private sector voucher


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Structure of Government distribution system versus private sector voucherdistribution system

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Government Distributed

Private SectorFertilizerSupplier

FederalGovernment

StateGovernment

All Farmers

Private SectorFertilizerSupplier

TargetedFarmers

Federal&

State Govt.

Manufacturer/Suppliergets order from FG

FG has manufacturerdeliver to states perindent from state at25% subsidy.

State distributesfertilizer to farmersoccasionally adding

their own subsidy.

Only 11% of fertilizerreaches the intendedfarmers

States and FGcoordinate todistribute fertilizervouchers to targetedfarmers.

94% of actual farmersreceive thesubsidized fertilizerunder the voucherprogram.

Private sector sellsfertilizer to farmers atmarket price minusthe fertilizer voucherdiscount provided bygovernment.

Government distributed fertilizer supportprogram

Private Sector Distributed

Private sector distributed fertilizersupport system, utilizing Input Vouchers

Key takeaways

Government distribution

system is inefficient andwastes governmentresources.

Government distributionchannels subsidizecorruption.

This is a major issueand government mustget out of fertilizerdistribution.

All import anddistribution should bedone by the privatesector.

Overview of the fertilizer voucher program


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Overview of the fertilizer voucher programA proven efficient, effective and sustainable way to deliver government subsidies.

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Key benefits of voucher system

Taraba States Experience:Government Distribution vs.Private Sector Voucher Program

Private Sector Voucher program reaches 8 times morefarmers

Voucher program reaches 94% of farmers, while existinggovernment system reaches an estimated 11% of farmers.

Private Sector Voucher program costs less than 50% toadminister

Due to cost sharing with private sector program costs lessthan 50% to run.

In addition, in the voucher system farmers receive fertilizer10% cheaper due to more efficient private sector distributionsystems

Private Sector Voucher program develops Agro-dealernetworks

As opposed to the Government Distribution system thatcrowds out the private sector, the voucher programencourages the development of a strong private sector

Reach of respective programs to intendedbeneficiariesMeasure: % of farmers reached

Government Cost to deliverMeasure: Thousands of Naira per metric tonof fertilizer

Agro-dealer developmentMeasure: Number of dealers

Role of targeted Growth Enhancement Support (GES) to migrate


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Incom

e

Time

Highestpoverty level /

Subsistencefarming

Marketedsurplus /Marketorientation

Commercializedsystems Trade Competitiveness

Fiscal Savings /Greater return on

investment Targeting highest

poverty level Exit strategy

Role of targeted Growth Enhancement Support (GES) to migratefarmers from subsistence farming to commercialized systems

4 years

4 10 years

GE

S

Growth Enhancement Support Investment will be targeted at Twenty Million


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Growth Enhancement Support Investment will be targeted at Twenty MillionFarmers by 2020. Investment will generate 5X to 10X returns in increasedproduction.

4 Years of Support

Group 15 Million Tgt.

Farmers

2012 2013 2014 2015 2016 2017 2018 2019 2020

4 Years of Support

4 Years of Support

4 Years of Support

Phased approach with supportto farmers reducing over 4years.

Estimated cost per farmer peryear is 5,000 Naira (US$30)

Expected benefit of program isup to 80,000 Naira per farmer(US$500)

Total cost of program is

approximately 400 Billion Naira(US$2.5 Billion)

Total benefit of program is6,800 Billion Naira (US$40Billion) a 16 fold benefit versuscost

GES will leverage Mobiletechnology to achieve scalee.g. MPESA

Key takeaways

Group 2

5 Million Tgt.Farmers


Farmers


Farmers


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Improving investment frameworks for agricultureAttract private sector to invest in the sectorDore

o

Development of Staple Crop Processing Zones (SCPZ)


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Development of Staple Crop Processing Zones (SCPZ)

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Sample Agro Processing Plant Focus on attracting private sector agribusinesses to set upprocessing plants in zones of high food production, to process

commodities into food products. The government will enable this by putting in place appropriate

fiscal, investment and infrastructure policies for staple cropprocessing zones:

Tax breaks on import of agricultural processing equipment Tax holidays for food processors that locate in these zones Supportive infrastructure, especially complimentary investment by the

government in roads, logistics, storage facilit ies and power.

Infrastructure would focus on power, irrigation, flood control,roads, rail, air etc.

Staple Crop Processing Zones will link farmers in clusters to foodmanufacturing plants.

Develop Agricultural Investment Code, in partnership withMinistry of Finance and Ministry of Trade and Investment andCBN

The location of Staple Crop Processing Zones will be dependenton a combination of State government support and an analysis ofthe comparative advantage of the region to produce the identifiedcommodity.

Key takeaways


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Strengthen the markets: Role of marketingcorporationsSupport the development of private sector driven marketingorganizations to grow the agricultural sector

Doreo

Support development of private sector driven, public sector enabled


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pp p p , pmarketing corporations

Leading global examples of marketing corporations

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Key drivers of success

Leading global examples of marketingcorporations

The scrapping of marketing boards during structural

adjustment, without any institutions to replace them or playtheir functions, has left millions of farmers in a precarioussituation: market access is a challenge, price uncertaintiesand volatility which leave them at the mercy of middle men.

No developed country has such institutional abandonmentof farmers. We will revamp the functions performed by themarketing boards, but be careful to ensure that we do notbuild non-viable or over-bureaucratic institutions that tax

farmers like the old marketing boards.

They must be owned by agricultural value chains, run asprivate sector led (but government enabled) institutionsand empower farmers and the value chain actors andgenerate value.

These new institutions will be called marketing

corporations and will coordinate the production and/orexport of target commodities. In addition, they willencourage investment into the sector from R&D toinfrastructure and processing. Finally, they will stimulatethe development of tailored financial services to grow thesector.


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Our Agricultural finance strategy In Partnership

with CBNDe-risk target value chains and stimulate $3 billion inagricultural lending with NIRSAL (Nigerian Incentive-basedRisk Sharing for Agricultural Lending)

Doreo

To revolutionize Nigerias agriculture, NIRSAL integrates


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Central Bank of Nigeria

Ministry of Agriculture and Rural Development

Agricultural value chain

FarmersAgro-dealers

Inputproducers

Agro-processors

Industrialmanufacturers

Tradeand exports

Agricultural financing value chain

Loanproduct1

Devt

Loan

originationDistribution

Credit

assessment

Managingand pricingfor risk

Loan

disburse-ment

1 Includes working capital loans, fixed asset finance, trade finance

Enablers

Infrastructure Credit bureau Policies Extension services Price guarantee boards

agricultural value chains with agricultural financing

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How we will work with the state GovernmentsStimulate co-investment by the statesDore

o

How we will work with the state


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How we will work with the state

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Engagement with the State Governments

Develop investment framework with states

Incentivize states to invest in agricultural development with co-investments from federalgovernment.

Partnership will be operated under four key principles:

1. Subsidiarity: Working from the State level up

2. Partnership: Working with states, private sector and civil society.

3. Investment: Utilize investment methodology and framework.

4. Accountability: There will be full transparency and accountability within the system.


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How we will drive changeThe Agricultural Transformation Implementation CouncilDore

o

The Agricultural Transformation Implementation Council [ATIC]


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Invest in InfrastructureMinistry of Aviation, Power,

Transport, Water and Works,working together to stimulateprivate sector investment throughincreased public sector investmentin infrastructure along strategicvalue chains.

Stimulate Investment inAgriculturalPublic sector (Ministry ofAgriculture, Finance, Trade andInvestment) and private sector(Investors) working together tocreate a conducive environment tostimulate private sector investmentalong strategic value chains.

g p [ ]

41

President/Vice President

HMA

Agricultural Value ChainTransformation Implementation Grp.

[Value Chain ATIG]

Agricultural InvestmentTransformation Implementation

Group [Inv. ATIG]

Agricultural InfrastructureTransformation Implementation

Group [Infra ATIG]

NIRSAL Agricultural TransformationImplementation Group

[NIRSAL ATIG]

Eminent Persons Advisory Group [EPAG]

Increase agriculturalproductivity, value addition andlinkages to markets.

Unlock $3 Billion in Agricultural FinancingExecution of partnership between CBN andMinistry of Agriculture to unlock $3 Billion inAgricultural Financing.

Coordinating Minister for the Economy

Strategic State Governors/CBN Governor Minister of National Planning


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Value chain approachTarget value chains Dore

o

Target commodity value chains by geopolitical zones


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g y y g p

43

Cotton, Onion, Tomato andSorghum+ Rice & Cassava+ Livestock & Fisheries

Maize and Soybean

+ Rice & Cassava+ Livestock & Fisheries

Oil Palm and Cocoa+ Rice & Cassava+ Livestock & Fisheries

NorthEast

NorthCentral

SouthSouth

Cotton, Onion, Tomato and

Sorghum+ Rice & Cassava+ Livestock & Fisheries

NorthWest

Oil Palm and Cocoa

+ Rice & Cassava+ Livestock & Fisheries

SouthWest

Oil Palm and Cocoa

+ Rice & Cassava+ Livestock & FisheriesSouthEast


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First wave: Priority commodity value chainsRice, cassava, sorghum, cocoa and cotton agricultural value

chain transformation

Doreo


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Rice Transformation PlanNigeria will be self sufficient in four yearsDore

o

We must become self sufficient in rice in a manner that grows the agriculturesector and creates jobs


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sector and creates jobs

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Drivers

Nigerias population*Measure: Millions of people

Rice as a percent of a Nigerians diet**Measure : %

Growing demand for Rice

Projected consumption in Nigeria***Measure: Millions of metric tons

2.8%

7%

5.1%

Limited options for import withhigh volatility in global markets

Excess production of major producersMeasure: Millions of metric tons

Thailand Vietnam India China

Nigeria: Projected to be 36M MTtons market by 2050

Nigeria is the worlds No. 2importer, importing 2 Million MT ofrice.

Rice export trade market is verythin

Rice prices highly volatile, Thaigovt. positioned to significantlyincrease price of rice by over 50%.

Rice grows all across Nigeria,hence, self sufficiency willpositively impact all geo politicalzones.

Highly volatile rice prices due to thintrading volumesMeasure : US$ per metric ton

1981 1990 2000 2011

Focus on two key value chains


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Parboiled

Rice

MilledRice

Parboiling is a process of precooking the rice during the manufacturing process.

Requires significantly more equipment and energy costs as heat is used for precookingand drying rice after precooking.

Rice is harvested with high moisture levels, dried in processing plant to optimal moisturelevels and milled.

Processing is much simpler and cheaper.

Demand Side TargetsConsumer shift to high quality lower cost milled rice vs. parboiled rice


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g q y p

48

Annual Projected Demand for High Quality Parboiled Rice inNigeriaMeasure: Millions Metric Tons

Parboiled Rice Demand Side Targets Milled Rice Demand Side Targets

Annual Projected Demand for High Quality Milled Rice in NigeriaMeasure: Millions Metric Tons

Our expectation is that with the advent of high qualitylower cost milled rice, a significant portion of demandin the domestic rice market will shift from parboiledrice to milled rice.

Milled rice production will occur in well organizedirrigated farm clusters.

The level of organization will increase the quality andreduce the production costs enabling the new productto have a cost and quality advantage over parboiledrice.

This cost and quality advantage will enable theproduct to rapidly gain market share in the domesticmarket.

Promote Nigerian rice at state functions and in media.

Supply Side Targets Parboiled RiceTarget aggregation of supply from less organized small holder farmers


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g gg g pp y g

49

Annual Brown Rice Supply Options Import vs. Domestic SupplyMeasure: Millions Metric Tons

Import Substitution of Parboiled (PB) BrownRice For Local Processors

Import Substitution of Parboiled (PB) FinishedRice With Local Production Facilities

Imported PBbrown rice

Domestically

produced PBbrown rice

Annual Finished Rice Supply Options Import vs. Domestic SupplyMeasure: Millions Metric Tons

ImportedPB Rice

DomesticallyProduced PBRice

Replace imported brown rice with locally producedbrown rice by 2013.

Incentivize the private sector to invest in largeparboiling and dehusking facilities in regions ofhigh current production e.g. Niger State, CrossRiver State etc.

Partially finance incentives through increasedimport levy on brown rice.

Imports of finished rice will be substituted bystimulating private sector to invest in riceprocessing facilities in areas of current high

production. Incentive can be partially financed throughincreased import levy on finished rice.

Target locations will be in lowland rice growingregions

Supply Side Targets Milled RiceTarget aggregation of supply from well organized small holder farmers with in Nucleus Farm model


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Target aggregation of supply from well organized small holder farmers with in Nucleus Farm model

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Annual Milled Rice Supply Options LargeClusters vs. Medium Nucleus FarmsMeasure: Millions Metric Tons

Import Substitution of Parboiled Rice For LocallyProduced Milled Rice

LargeNucleusFarms:10,000 ha to20,000 ha

irrigated farmclusters.

MediumNucleusFarms: 1,000ha to 2,000

ha irrigatedfarm clusters.

Key Steps

Step 1: Rehabilitate Target Irrigation Programs Utilizing labor intensive methods to rehabilitate

target irrigation schemes that have existingreservoir systems and require only irrigation canals

and drainage canals to be developed.

Step 2: Incentivize Investors to Invest in NucleusFarms

Leveraging investment in rehabilitating irrigationschemes, incentivize investors to develop nucleusfarm estates.

Already sent high level team to meet with potentialinvestors in Kenya and Ghana.

Step 3: Replicate Nucleus Farm Model on MediumScale

Replicate model to rapidly target community levelproduction and processing.

Inputs Required to Achieve Rice Production TargetsLand | Improved Seed | Fertilizer


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Seeds

Annual Required Volume of ImprovedSeeds

Measure: Thousands of Metric Tons

Land

Annual Land CultivatedMeasure: Thousands of Hectares

Fertilizer

Annual Required Volume of FertilizerMeasure: Thousands of Metric Tons

Milled rice production will befocused on well organizednucleus farms with small holderout grower farmers, in irrigatedareas.

Parboiled rice production will befocused on aggregating supplyfrom small holder outgrowerfarmers producing in lowlandareas.

Lowland

Irrigated

Leverage the ECOWAS seedtreaty that enables private sectorseed companies to import seedfrom the West African region.

Importation will bepreferentially provided to

companies that aredemonstrating significantinvestments in localproduction of improved seedvarieties.

For each of the targeted regionsfor rice production analysis willbe conducted and tailoredfertilizer blends for the identifiedrice varieties will be developed.

Nigeria currently has enoughinstalled capacity to produce therequired volume of fertilizer forthe investment.

Rice Job Creation Targets 1 Million by 2015Primary Production | Plantation Establishment | Value Chain


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Irrigated Land Preparation

Annual Job Targets Irrigated LandPreparation

Measure: Thousands of Jobs

Primary Production

Annual Job Targets Primary ProductionMeasure: Thousands of Jobs

Value Chain

Annual Job TargetsMeasure: Thousands of Jobs

High labor requirement in riceestimated at 200 man days perhectare.

Irrigated areas cropped twiceper year increase the labor

requirement

The preparation of theirrigated area, including landclearing, irrigation, canal anddrainage development requiresignificant amounts of labor.

Approach will integrate

effective labor intensivemethodologies to stimulateemployment.

Estimate of 150 man days perhectare.

The rice value chain isrelatively labor intensive.

Estimate that for every 5 jobscreated in primary production1 job will be created within thevalue chain.

The value chain includes,input supply, service delivery,aggregation of output andprocessing.

Summary of actions to date

Sample of Actions Taken


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Unlocking the Agricultural Potential of TarabaTraveled with delegation of investors to scope out the agricultural potential of Tarabastate particularly in cassava and rice. Investor expressed significant interest inreplicating $40 Million USD rice and aquaculture investment in Taraba.


Summary of actions to date



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Examining Best Practices Next Door in GhanaMeeting with potential investors and identifying best practices for unlocking Nigerias

rice potential

Sa p e o ct o s a e

Examining Best Practices in KenyaMeeting with investors and examining best practices


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Doreo

Cassava Transformation PlanDriving Economic Development through Value Addition

Cassava Value Chains

High Quality Cassava Flour (HQCF)


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HQCF

High Quality Cassava Flour (HQCF) Principal marketreplacement of up to 35% wheat flour in bread; others food industry,

adhesive industry, dextrins.

Starch

Native and modified starchesWe have two functional starch mills in Nigeria with a combined capacity of 20,000 tons

(although they currently operate below capacity). Demand is currently met by corn starch imports.

Chips

Dried Chips Principal market to meet internal and external demand of cassava for industrial use.

Chinas demand is expected to exceed 12 mill tons by 2015/16 due to their large ethanolproduction.

HFCS

Sweeteners - High Fructose Cassava Syrup (HFCS) The total sugar requirement for soft drink bottlers and juice manufacturers in Nigeria is

estimated at 200,000 tons of sugar p/a. A replacement of half of this by HFCS fromcassava, would create a 100,000 ton demand.

Ethanol

Fuel Ethanol (E10) Nigeria has adopted the policy of blending gasoline with 10% ethanol, the E-10 policy.

This represents a potential one billion liter per year market of fuel ethanol and, assuming50% of feedstock comes from cassava, a raw material requirement of 1.7million tons ofdried chips is required.

Demand and Supply Side Targets High Quality Cassava Flour


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HQCF Demand Side Targets HQCF Supply Side Targets

We expect that demand for HQCF will be driven by a

combination of increased demand for bread wheatflour, currently at 1.1 Million MT and a gradualincrease in the amount of cassava flour blended inwith wheat flour, moving from 5% in 2012 to 20% in2015.

Due to the high water content of cassava the

conversion rate is approximately 25%.

This low conversation rate leads to a very highvolume of cassava required as input.

5%Substitution

10%Substitution

15%Substitution

20%Substitution

Annual Projected Demand for HQCFMeasure: Thousands of Metric Tons

Annual Projected Supply of Tubers for HQCFMeasure: Thousands of Metric Tons

Demand and Supply Side Targets Starch


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Annual Projected Demand for StarchMeasure: Thousands of Metric Tons

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Starch Demand Side Targets Starch Supply Side Targets

Annual Projected Supply of Tubers For StarchMeasure: Thousands of Metric Tons

Nigeria already has very strong demand for starch

that is being met primarily through importation ofcorn starch.

Our expectation is to be self sufficient in starchproduction by 2015.

Due to the high water content of cassava the

conversion rate is approximately 20%.


SelfSufficiency

Demand and Supply Side Targets Chips


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Annual Projected Exports of ChipsMeasure: Thousands of Metric Tons

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Chips Demand Side Targets Chips Supply Side Targets

Annual Projected Supply of Tubers For ChipsMeasure: Thousands of Metric Tons

The world market for Cassava chips is growing veryfast at over 20% per annum.

This growth is driven by strong demand from Chinafor ethanol production.

Nigeria expects to tap into this growing demand while

simultaneously developing local productioncapabilities to feed our own projected ethanolproduction.

Due to the high water content of cassava theconversion rate is approximately 25%.


Demand and Supply Side Targets High Fructose Cassava Syrup(HFCS)


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HFCS Demand Side Targets HFCS Supply Side Targets

HFCS is targeted towards the soft drink and juicemarkets.

The demand for HFCS assumes a 50% substitution ofcurrent sweeteners in the soft drink and juice markets.

Our expectation is to be able to meet 100% ofprojected demand by 2015.

Due to the high water content of cassava theconversion rate is approximately 20%.


Annual Projected Demand for HFCSMeasure: Thousands of Metric Tons

Annual Projected Supply of Tubers For HFCSMeasure: Thousands of Metric Tons

SelfSufficiency

Demand and Supply Side Targets Ethanol


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Ethanol Demand Side Targets Ethanol Supply Side Targets

Annual Projected Supply of Tubers For EthanolMeasure: Thousands of Metric Tons

Nigeria is a 1 Billion liter ethanol market. For this potential to be harnessed, Nigeria will need to

implement and enforce strong legislation coupledwith the stimulation of local blending capabilities.

The team will need to work to stimulate significantproduction capabilities domestically.

Our expectation is to be self sufficient in ethanolproduction by 2015.

Due to the high water content of cassava theconversion rate is approximately 590 Liters of Ethanolper MT of Cassava.


Annual Projected Demand for EthanolMeasure: Billions of Liters

SelfSufficiency

Inputs Required to Achieve Cassava Production TargetsLand | Improved Seed | Fertilizer


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Stems

Annual Required Volume of Improved StemsMeasure: Millions of Stems

Land


Fertilizer


Despite Cassavas relatively high

yields of 25MT per Ha, significantvolumes of land will be required tobe brought into production.

Cassava can be grown across thecountry and specific areas that

have a particular competitiveadvantage will be targeted.

A significant volume of improvedplanting materials will be requiredto meet the needs of the highgrowth industry.

We will work to develop strategiesin partnership with R&D centers

and the private sector to ensureavailability of these improvedplanting materials.

To attain best practice yieldsCassava requires high levels offertilizer application, over 200kgper Ha.

Cassava Job Creation Targets 1.2 Million Jobs by 2015Primary Production | Value Chain


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Annual Projected Number of Jobs in Primary ProductionMeasure: Thousands of Jobs

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Primary Production Jobs Value Chain Jobs

Annual Projected Number of Jobs in the Value ChainMeasure: Thousands of Jobs

Cassava has a relatively high labor contentrequirement of over 300 man days per Ha.

This high requirement translates into almost a quartermillion jobs in primary production alone.

The value chain is relatively labor intensive.

Estimate that for every 1 jobs created in primaryproduction 1 job will be created within the valuechain.

The value chain includes, input supply, service

delivery, aggregation of output and processing.


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Sorghum Transformation PlanDriving economic development in theNorth East and North West

Doreo

Sorghum Value Chains

Sorgh m can be tili ed to prod ce n tritio s fortified foods t picall


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FortifiedFoods

Beverage

Sorghum can be utilized to produce nutritious fortified foods, typicallyblended with soybeans.Key markets for these fortified foods are Home Grown School

Feeding programs (HGSF) and the World Food Program (WFP) foodaid to our neighbors i.e. Chad, Niger, Mali etc.

Sorghum can be used in producing malt for use in the beverageindustry NOT for beer but for Maltina, Ovaltine, Milo etc.

Demand Side Targets Fortified Foods

Home Grown School Feeding Program (HGSF)


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Annual Projected Demand for Sorghum Component of FortifiedFoods for HGSF Program


67

g g ( )Demand Side Targets World Food Program (WFP) Demand Side Targets

Annual Projected Demand for Sorghum Component of FortifiedFoods for WFP


Program will need to be closely developed inpartnership with Ministries of Education, Health,Finance, Trade and Investment and StateGovernments

Demand assumes we target 50% of Nigerian childrenin public school by 2015, roughly 12.5 millionchildren.

Each child will eat approximately 150g of processedfortified foods daily of which sorghum constitutesapproximately 75% of the content.

We assume program runs 9 months of the year.

The World Food Program has historically providedsignificant volumes of food aid to our neighbors.

World Food Program provided over 140,000 metrictons of food aid to Niger alone in 2010.

World Food Program provides fortified foods that

include a soya and maize blend in which the maizecould be substituted for sorghum.

Supply Side Targets Fortified Foods

Home Grown School Feeding Program (HGSF) Supply


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Annual Projected Supply for Sorghum Component of FortifiedFoods for HGSF Program


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Side Targets World Food Program (WFP) Supply Side Targets

Annual Projected Supply for Sorghum Component of FortifiedFoods for WFP


Demand will be met by ramping up production andprocessing capacity in the North East and North West.

5-10% of the grains are lost during processing



Demand and Supply Side Targets Malt

Malt Demand Side Targets


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Annual Projected Demand for Sorghum For Malt PlantsMeasure: Thousands of Metric Tons

69

Malt Demand Side Targets Malt Supply Side Targets

Annual Projected Supply of Sorghum Grains For Malt PlantsMeasure: Thousands of Metric Tons

In Nigeria today we have approximately 200,000 metrictons of processing capacity for malt, however onlyapproximately 70,000 metric tons is utilized.

Our strategy will be in the short term to ensure thatexcess capacity is appropriately utilized bydeveloping output markets for malt and linkingprocessors to areas of production.

The team will begin to work with potential investors tobring on stream in 2013, 2014 and 2015 additionalcapacity for malt production.



Inputs Required to Achieve Sorghum Production TargetsLand | Improved Seed | Fertilizer

SeedsLand Fertilizer


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Seeds

Annual Required Volume of Improved SeedsMeasure: Thousands of Metric Tons

Land


Fertilizer


Due to Sorghums relatively lowyields a significant volume of landwill be required to be brought intoproduction.

Due to Sorghums unique droughttolerance, it perfectly suited for theNorth East and North West.

The decline in land requirement in2015 is due to the rapidimprovement in productivity due toaccess to improved varieties andpractices.

Sorghum requires a relatively lowvolume of improved seeds perhectare, approximately 10kg /ha.

For this reason despite the largearea being brought undercultivation we require only a smallvolume of seeds to meet this newdemand.

Sorghum, as most cereals, requirea significant volume of fertilizer toattain best practice yields of 2.5 kgper Ha.

Estimated fertilizer requirementsper hectare are as high as450kg/ha.

Sorghum Job Creation Targets 150,000 Jobs by 2015Primary Production | Value Chain

Primary Production Jobs V l Ch i J b


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Despite the relatively low labor requirements ofsorghum of 88 man days per Ha, we can expect over130,000 jobs to be created in primary production

The sorghum value chain is relatively labor intensive.


The value chain includes, input supply, servicedelivery, aggregation of output and processing.


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Cocoa Transformation PlanDriving economic development in the SouthSouth, South East and South West

Doreo

Demand and Supply Side Targets CocoaDouble Production in Four Years

Cocoa Supply Side Targets Key Take Aways


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Annual Projected Increase of Supply of Cocoa BeansMeasure: Thousands of Metric Tons

73

Cocoa Supply Side Targets

Globally there is strong and growing demand for

Cocoa, particularly in Eastern Europe and LatinAmerica.

Our strategy is to rapidly grow Nigeriasproduction of cocoa beans through a combinedstrategy of increased productivity and plantingnew hectarage.

Key Take Aways

Inputs Required to Achieve Cocoa Production TargetsLand | Improved Seedlings | Fertilizer

SeedlingsLand Fertilizer


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g

Annual Required Volume of ImprovedSeedlingsMeasure: Millions of Seedlings

Annual New PlantationMeasure: Thousands of Hectares


Expand existing 800,000 ha ofCocoa plantations byapproximately 30% to over 1 MillionHa.

Generate significant employmentthrough land clearing andplantation establishment.

Utilize Cocoa Development Fund tofinance increased hectarage.

Plan would require rapidmultiplication of millions ofseedlings to provide the plantingmaterial for establishment of newplantations.

Seedling production will providesignificant employment

opportunities for the youth,particularly women.

Development of tailored cocoafertilizer blends will be required toform the foundation of rapid yieldimprovements from 300kg per Hato 600kg per ha.

Cocoa Job Creation Targets 390,000 Jobs by 2015Primary Production | Plantation Establishment | Value Chain

Plantation EstablishmentPrimary Production Value Chain


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Annual Job Targets Plantation EstablishmentMeasure: Thousands of Jobs

y

Annual Job Targets Primary ProductionMeasure: Thousands of Jobs

Annual Job Targets Value ChainMeasure: Thousands of Jobs

Cocoa is one of the most laborintensive planation crops with anestimate 150 man days per hectareper year.

One of the more labor intensiveaspects of Cocoa is in theharvesting process, hence we canexpect with increased yields adramatic increase in laborrequirement not only for newplantation but existing plantations.

Plantation establishment is a verylabor intensive process thatincludes seedling development,land clearing, cover cropestablishment and planting.

We estimate we can create one jobfor every two hectares of land to be

cleared.

We estimate that for every 5 jobscreated in primary production 1 jobwill be created within the valuechain.

The value chain includes, inputsupply, service delivery,aggregation of output and

processing.


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Cotton Transformation PlanReviving our lost glory

Doreo

Demand and Supply Side Targets CottonRegain our leading position in West Africa.

Cotton Supply Side Targets Key Take Away


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Annual Projected Increase of Supply of Cotton LintMeasure: Thousands of Metric Tons

77

Cotton Supply Side Targets

Goal is to regain Nigerias position as the

number one producer of cotton in West Africa.

This growth will form the foundation for athriving domestic textile industry.

The cotton sector at one point employed over600,000 people with 175 mills in operation.

Today there are less than 24 mills left and thesector employs less than 28,000 people.

Key challenges Varietal mix

Use of Polypropylene bags versus jute bags Quality challenges Absence of institutional support No BT cotton varieties

Key Take Away

Inputs Required to Achieve Cotton Production TargetsLand | Improved Seed | Fertilizer

Improved SeedsLand Fertilizer


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Federal Ministry of Agriculture and Rural Development|

78

Annual Required Volume of Improved SeedsMeasure: Thousands of Metric Tons



Due to cottons relatively low

yields, 300kg to 500kg per Ha, asignificant quantum of land will berequired to be brought intoproduction.

As the NW and NE are particularlywell suited for cotton productionand will be the region of focus.

The decline in land requirement in2015 is due to the rapidimprovement in productivity due toa combination of access toimproved varieties and practices.

To attain rapid productivity growthin the cotton sector improvedvarieties are critical.

In particular Nigeria has yet torelease a BT Cotton variety that hasrevolutionized cotton productionacross the globe.

Our strategy will fast track the

release of BT Cotton in Nigeriaenabling farmers to double or tripletheir yields in a short period oftime.

Cotton requires a specific blend offertilizer that currently is notavailable in Nigeria and will likelyneed to be imported.

Cotton Job Creation Targets 125,000 Jobs by 2015Primary Production | Value Chain



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Cotton is one of the more labor intensive crops withan estimate 150 man days per hectare per year.

One of the more labor intensive aspects of Cotton isin the harvesting process, hence we can expect withincreased yields a dramatic increase in laborrequirement not only for new farms but existing farmsas well.

The cotton value chain is relatively labor intensive dueto the bulky nature of the product and intermediateprocessing requirements.


The value chain includes, input supply, servicedelivery, aggregation of output and processing.


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Summary of key policies and legislation requiredfor transformationFoundation for a sustainable transformation

Doreo

Reducing downside risks: Key policies for success

Agricultural Policies


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g

1. Liberalize foundation seed policy to allow private sector tocommercialize seeds

2. Eliminate government distribution of fertilizers and replace with privatesector distribution

3. Move away from a flat fertilizer price subsidy to targeted support tosmall holder farmers

4. Incentives to engage young commercial farmers for farming as abusiness


Agricultural Policies


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1. Create institutions to support the agricultural transformation agenda

Marketing Corporations, to replace marketing boards

Transform the Agricultural Research Council (ARCN) to a NationalAgricultural Transformation Agency like EMPRAPA that

transformed Brazilian agriculture

2. Guaranteed minimum price for food crops

3. Revise the Land Use Actto enable easier access to land for investorsin agriculture

4. Rapid expansion in irrigation facilities and revamping of existing ones


Financial Service Policies


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1. Incentives for access of farmers to weather index insurance to adapt to climate

change

2. Remove the current monopoly on agricultural insurance by the NationalAgricultural Insurance Company and liberalize to allow private sector insurancecompanies

Industrial Policies

Move gradually away from fertilizer consumption subsidies to support for localfertilizer manufacturing leveraging the gas industrialization policy (e.g., Nagajuna1.4 mil MT plant)

Market Development (Enabling Legislative Acts)

1. 10% Cassava Flour substitution for bread wheat flour

2. Blending 10% ethanol with petrol.


Fiscal Policies


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1. Zero tariffs (custom, excise and value added) for import of agriculturalequipment and agro-processing equipment

2. Tax holidays for investors putting processing plants in staple cropprocessing zones

3. Increase levy on any commodities that Nigeria can produce (starch,sugar and wheat)

4. Current policy on import levy of 5% for brown rice and 30% forpolished milled rice, and 5% on raw sugar and 10% on starches shouldbe increased and revenue used to support domestic production

5. Supportive incentives for investors establishing blending plants forethanol


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Estimated Initial ImpactWhat Mr. President can claim in four yearsDore

o

What Mr. President can claim in four yearsMuch more to come.

J bOver 3.5 Million jobs within 5 value chain rice, cassava, sorghum, cocoa


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Jobsj g

and cotton, with many more jobs to come

WealthOver 300 Billion Naira (US$2 Billion) in additional income in the hands of

Nigerian farmers

Over 350 Billion Naira (US$2.2 Billion) injected into the economy fromrice self sufficiency

Over 60 Billion Naira (US$380 Million) injected into the economy fromsubstituting 20% of bread wheat flour with cassava flour

Food

Security

Enabled Nigeria to be food secure by increasing production of key foodstaples by 20 Million metric tons.

Rice: 2 Million metric tonCassava: 17 Million metric tonSorghum: 1 Million metric tons

High Level Key Performance Indicators (KPIs)

Rice

2010 2015

Paddy

High Quality

3.4 Million MT 7.4 Million MT

N li ibl 2 5 Milli MT


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Rice High QualityProcessed Rice

Jobs

Negligible 2.5 Million MT

1 Million

Cassava

Cassava Tubers

Yield

Jobs

34 Million MT 51 Million MT

12.5 MT/Ha 25 MT/Ha

1.2 Million

Sorghum

Sorghum Grain

Yield

Jobs

9.3 Million MT 10.3 Million MT

0.75 MT/Ha 2.5 MT/Ha

150,000

CocoaCocoa Beans

Yield

Jobs

250,000 MT 500,000 MT

300 Kg/Ha 500 Kg/Ha

360,000

High Level Key Performance Indicators (KPIs) Continued

2010 2015

Cotton Lint 20,000 MT 140,000 MT


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Cotton Yield

Jobs

150 Kg/Ha 400 Kg/Ha

125,000

FertilizerNumber of

FarmersReached

550,000 20,000,000

Assumes 500,000 metric tons of fertilizer is targeted at 5 million farmers (100kg i.e. 2 bags per farmer), only reaching 11% oftargeted farmers.


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Support required from the PresidentCritical support required in three areasDore

o

What We Require from the President to Succeed

1. Chair the Agricultural TransformationImplementation Council and be the Face of Change

D t th l iti i l d i i lt l


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Due to the complexities involved in an agriculturaltransformation, no agricultural transformation has

succeeded without the President being the face ofchange, e.g. Malawi, Thailand, India, Tanzania, Rwanda,Ghana etc.

2. Utilize your influenceLeverage influence to generate support from otherMDAs, legislature and state governments to support new

policies and align investments.

3. Enable rapid changeProvide special facilities and dispensations for rapiddecision making and execution of transformation

[Nigeria] You have trusted

me with your mandate, and Iwill never, never let youdown" -His Excellency, President Goodluck E. Jonathan GCFR,

President, Commander-in-Chief of the Armed Forces of theFederal Republic of Nigeria

Our future is bright


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Documents

Agricultural Master Plan