New Telegraph

Ukraine War: Nigeria orders N523bn wheat from U.S., Luthiana

Nigerian importers have ordered 1.63 million tonnes of wheat valued at N523 billion ($805.2 million) from United States, Lithuana, Canada, the Netherlands and Lativa as food crisis rages.

 

The wheat will be supplied by the countries between October and December 2022 following the closure of ports in the Black Sea as trade between Russia and Nigeria and other African countries has been heavily affected because of Russia- Ukraine war. Ukraine’s Ministry of Agriculture explained that grain exports had been down 46 per cent yearover- year at 2.65 million tonnes so far in the 2022/23 season.

Before the war, Nigeria had increased its wheat imports from $312 million in 2020 to $503.63 million in 2021 from United States. Also, it imported $400.05 million and $502 million wheat from Lithuania in 2021 and 2020 respectively. At Lagos ports this week are four ships laden with 124,739 tonnes of the grain valued at $40.4 million.

According to the Nigerian Ports Authority (NPA)’s Shipping Position, Doric Javelin will berth at Josepdam Terminal in Tincan Island Port with 25,600 tonnes, while Bold Voyager with 33,778 tonnes, Fortune Hero, 8,753 tonnes and Desert Harrier with 56,608 tonnes will arrive the Apapa Bulk Terminal Limited, Lagos Port Complex, as price of the grain hit $494 per tonne in United States as at Thursday last week. It would be recalled that in July, 2022, the Federal Government also approved imports of drought-resistant, genetically modified wheat developed by Argentina’s Bioceres as part of effort to halt wheat shortage in the country.

 

The permit issued by the National Biosafety Management Agency (NBMA) authorises the import of genetically modified wheat: IND- 00412-7 for food, animal feed and milling” and is valid through July 2025. It was revealed that Nigeria had joined Australia, New Zealand, Brazil and other countries, which have already authorised the importation of wheat made from Bioceres.

In 2020, genetically modified wheat was approved by the Argentine Government. However, earlier this year, it authorised the sale of seeds of the GMO wheat to farmers. Recently, the Federal Ministry of Agriculture and Rural Development (FMARD) and the African Development Bank (AfDB) declared plans to revolutionise Nigeria’s wheat value chain between 2022 and 2032.

The ministry explained that government was targeting six million metric tonnes of wheat production by using a roadmap contained in the national wheat strategy document for self-sufficiency. With support from AfDB, it was gathered that at least 250,000 hectares of wheat would be put under cultivation in clusters of 100 to 200 hectares during the 2022 dry season farming.

According to the Minister of Agriculture, Mohammad Abubakar, the National Wheat Strategy Document (NWSD) was developed to increase production, income earnings and competitiveness of local production for the smallholder farmers in the wheat sub sector. He said in Abuja that the decision was part of the Federal Government’s pledge to validate the national wheat strategy policy.

The minister noted that the country’s annual requirement of wheat was 5.7 million metric tonnes, while its domestic production is currently 420,000 metric tonnes. Abubakar said: “The Central Bank of Nigeria (CBN)’s statistical report 2020, showed that Nigeria imports $6 billion worth of wheat from 2016 to 2020.

The situation is worrisome and unsustainable for a crop that could be produced locally.”

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