100,000 farmers to get support to improve on wheat production

The Lagos Commodities and Futures Exchange (LCFE) has partnered with Heritage Bank to support over 100,000 farmers in wheat production.

This was disclosed by Akin Akeredolu-Ale, the Managing Director, LCFE while addressing commodity ecosystem operators in Lagos, according to the News Agency of Nigeria.

He stated that the partnership is part of the Central Bank of Nigeria’s ongoing intervention to address the perennial imbalances in wheat production through accredited Anchor Borrowers.

What they are saying

According to Akeredolu-Ale, the development aligns with the primary function of the exchange which is targeted towards creating a structured platform for fungible tradable instruments that are de-risked through commodities products in agriculture, mineral resources as well as oil and gas where issuers can also write an array of contracts.

Committing to partnering with the bank to develop the wheat value chains by aggregating farmers, their commodities, and data for the overall development of the wheat value chain, he said, “The Exchange would continue to provide the necessary support to Heritage Bank through the alignment of various stakeholders and partners,”

Oluwasina Olabanji, the former Executive Director, Lake Chad Institute of Research, lamented the huge amount spent annually to import wheat as a result of lack of sufficient commercial quantities and poor quality of primary input.

He, however, noted that the CBN’s intervention would address the challenges facing wheat production, boost investment opportunities in agriculture, enhance foreign exchange earnings and provide jobs for the country’s teeming unemployed youths.

Olugbenga Awe, Heritage Bank’s Divisional Head, Agribusiness, Natural Resources and Project Management, also expressed pleasure to work with the CBN and other stakeholders to support farmers in wheat production.

“We are glad to work with the LCFE to ensure its sustainability and deepen investment opportunities in agricultural commodities, solid minerals and energy space,” Awe said.

What you should know

• The Anchor Borrowers’ Programme is an intervention by the CBN to create economic linkages between smallholder farmers (SHFs) and reputable companies (anchors) involved in the production and processing of key agricultural commodities.
• Godwin Emefiele, the CBN Governor, recently announced the apex bank’s N41.2 billion intervention in wheat production in Nigeria for commodity associations and anchor companies.
• He also said the bank has disbursed the sum of N1.08 trillion under the Anchor Borrowers Scheme.