Economy
Stakeholders Identify Reason for Local Wheat Production Shortage
By Modupe Gbadeyanka
Stakeholders in the wheat value chain have identified one of the reasons for the shortage of production of the commodity in Nigeria.
They said the inability of smallholder farmers to have access to high-yielding-seed varieties was making it difficult for producers to meet domestic demand for wheat in the country.
If this problem persists, they warned that Nigeria may not achieve self-sufficiency and drastically reduce the importation of wheat by 60 per cent over the next two years as targeted by the Central Bank of Nigeria (CBN).
There is a need for a concerted effort by the government and other critical stakeholders within the wheat value chain to galvanize and aggressively drive the wheat development programmes in the country, they submitted.
Wheat is used in producing staple foods such as semolina, bread, noodles and pasta, which form a regular part of meals in most urban and rural households in the country.
The importance of wheat foods to the national population, therefore, underscores the need to develop the domestic wheat value chain which currently is not delivering enough to meet the growing demand for wheat derivatives; hence, the need for interventions from the government at different levels and other stakeholders in the wheat value chain to address the challenges in promoting local wheat production in Nigeria.
As it stands, increasing the total yield per hectare of national farmlands is critical to reaching food sufficiency levels that will meet the needs of over 200 million Nigerians.
In deepening the impact of the wheat development programme, the Flour Milling Association of Nigeria to which Crown Flour Mill is a major contributor to is also working with the Lake Chad Research Institute (LCRI) in Maiduguri and the Institute for Agricultural Research (IAR) at the Ahmadu Bello University, to train local smallholder farmers on the latest agronomic practices.
The expanded wheat development efforts are yielding impressive results. Smallholder farmers that are participating in the FMAN wheat development programmes have shown remarkable technical improvement that is matched by impressive feedbacks and output.
A delegation from Olam, the parent company of CFM, travelled to Jigawa after participating in a wheat development webinar programme organized by the agribusiness conglomerate in Abuja, farmers attested to the impact of the high level of support provided by the millers’ association and its partners.
One of the wheat farmers remarked, “We were advised to plant at a particular time to get the best yield possible but I insisted on doing things my way. It nearly cost me the season, but I came back to the (FMAN) team for assistance and this time around, I heeded their advice and the result was unbelievable.”
Expatiating on CFM’s wheat development support drives, Ashish Pande, the Managing Director of the wheat milling firm said, “Our commitment to research and development is the key to why we’ve been successful as an organization over the years and have been able to consistently create better quality, safe, great-tasting and more reliable food produce/products which meet our customers’ needs and improve the livelihoods of our farmers.”
Despite having access to a large expanse of farming lands in places such as Borno, Bauchi, Yobe, Kano, Jigawa and Zamfara States, smallholder wheat farmers have not been able to meet domestic consumption demand for wheat.
It is apparent that without removing the seed-variety barrier, the acute shortage of locally produced wheat will persist. Whereas this would necessitate the continued reliance on wheat importation to bridge the widening domestic production-consumption gap, it does not portend well for national food security.
The economic and social costs of relying on wheat importation are enormous. While the foreign exchange is being sourced by local wheat millers to import the crop to meet national consumption demand, the exchange position of the local currency is affected and precious employment opportunities that could be generated by smallholder farmers if harvest reaches full capacity, are also lost.
Stressing the need to remove the seed variety barrier to improved domestic wheat production, Mohammed Salim, president of the Wheat Farmers Association of Nigeria (WFAN) said, “One of our challenges is getting quality seeds every two years. Wheat is an open-pollinated crop and the maximum you can do with a particular seed is four years or thereabout. So, if the government can finance the research institutes to come up with new varieties every two years, that will sustain production and keep the farmers in business.”
Going by this insight by Salim, providing sufficient finance to fund local research institutes to develop new seed varieties for local farmers biennially is key to bridging the domestic production-consumption gap in the wheat value chain.
However, Crown Flour Mill Limited (CFM), a subsidiary of the Olam Group and makers of the Mama Gold flour brand, in collaboration with other members of the Flour Milling Association of Nigeria (FMAN), is leveraging its agro experience, extensive industry network and deep investment portfolio to aggressively support the domestic agro research institutes to drive innovation and make high-yielding seed varieties available to local wheat farmers. The investment and innovative approach form a bold new drive to raising local wheat production levels while keeping smallholder farmers in business, as suggested by Salim.
As part of the collaborative approach to making high yielding seed varieties available to local wheat farmers, CFM, alongside other contributors and partners at the milling association, under the Certified Seed Production Programme, have established a research farm to nurture the seed varieties it brought into the country from the International Maize and Wheat Improvement Centre (CIMMYT) in Sudan and Mexico. These efforts add to an ongoing partnership that the millers are implementing with various seed production companies comprising Rahama Seed, Greenspore and Premier seed.
In the coming months, the massive partnership network is expected to lead to the distribution of 150 tons of wheat seeds to around 3,000 smallholder farmers in Nigeria.
The deliberate wheat development programmes embarked upon by CFM and others under the auspices of the flour milling association, when fully optimized, will no doubt reduce the high dependence on imported wheat. It will also reduce the foreign exchange wheat import bill while boosting the national economic diversification agenda.
In the end, the Nigerian consumers are going to be the real beneficiaries of the increasing level of the various interventions and wheat development programmes undertaken by CFM and other leading millers. The consumers will continue to have access to their most cherished wheat foods such as semolina, pasta, noodles and bread at the right quality, quantity, nutritional value and most affordable shelf price.
Economy
FrieslandCampina Wamco, MRS Oil Buoy NASD Exchange by 0.91%
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange extended its gains by 0.91 per cent on Wednesday, June 3, spurred by three price gainers led by FrieslandCampina Wamco Nigeria Plc, which rose by N13.90 to sell N210.41 per share versus the previous day’s N196.51 per share. MRS Oil appreciated by N10 to N190.00 per unit from N180.00 per unit, and Food Concepts Plc added 5 Kobo to sell at N3.00 per share versus N2.95 per share.
As a result, the market capitalisation increased by N23.91 billion to N2.660 trillion from N2.636 trillion, and the NASD Unlisted Security Index (NSI) gained 39.97 points to finish at 4,446.27 points, in contrast to Tuesday’s 4,406.30 points.
The NASD exchange witnessed three price losers at midweek, led by Nipco Plc, which shrank by N21.30 to close at N325.97 per unit compared with the previous session’s N347.27 per unit, Nitrox Industrial Gases Plc went down by N1.20 to quote at N24.30 per share versus the preceding session’s N25.50 per share, and Central Securities Clearing System (CSCS) Plc weakened to by 69 Kobo to N75.41 per unit from N76.10 per unit.
The volume of trades yesterday significantly improved by 71.5 per cent to 527,221 units from Tuesday’s 307,363 units, as the value of transactions soared by 49.9 per cent to N64.2 million from the preceding session’s N49.9 million, and the number of deals surged by 9.5 per cent to 46 deals from 42 deals.
When trading activities ended for the day, Great Nigeria Insurance (GNI) Plc remained the most active stock by value on a year-to-date basis with 3.4 billion units valued at N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units worth N6.5 billion, and CSCS Plc with 64.6 million units exchanged for N4.4 billion.
GNI Plc also ended the session as the most traded stock by volume on a year-to-date basis with 3.4 billion units sold for N8.4 billion, followed by Infracredit Plc with 2.3 billion units traded for N6.5 billion, and Resourcery Plc with 1.1 billion units transacted for N415.7 million.
Economy
Naira Continues Positive Run, Official Market Rate Now N1,357/$1
By Adedapo Adesanya
The positive run of the Naira against the US Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEX) continued on Wednesday, June 3, with the former chalking up N3.79 or 0.28 per cent against the latter, closing at N1,357.26, in contrast to the preceding session’s N1,361.05/$1.
Similarly, the Nigerian currency gained N10.52 against the Pound Sterling in the official market during the session to close at N1,822.67/£1 compared with the previous rate of N1,833.19/£1, and appreciated against the Euro by N9.56 to N1,574.83/€1 from N1,584.39/€1.
Further, at the black market, the Naira improved its value against the greenback at midweek by N5 to trade at N1,375/$1 compared with the N1,380/$1 it was traded a day earlier, and at the GTBank FX counter, it gained N6 to sell for N1,372/$1 versus N1,378/$1.
The boost came as the country’s external reserves continued to gain momentum. A look at the updated data from the Central Bank of Nigeria (CBN) showed that foreign reserves continue to increase with two consecutive inflows in June 2026, settling at $49.876 billion as of Tuesday.
Foreign portfolio investors, exporters and non-bank corporates continue to keep the supply side strong, with the less aggressive FX interventions by the CBN at the official window in recent times helping to ease worries about capital flight.
The apex bank reported that interbank FX turnover declined to $133.731 million across 136 deals, from $169.822 million the previous day.
Meanwhile, the cryptocurrency market remained bearish due to sell-offs triggered by geopolitical uncertainties and the US stock market rally.
Cardano (ADA) dipped by 5.5 per cent to $0.2046, Binance Coin (BNB) slumped by 4.8 per cent to $627.56, Solana (SOL) shrank by 3.9 per cent to $72.99, Ethereum (ETH) depreciated by 2.9 per cent to $1,844.53, and Bitcoin (BTC) slipped by 2.7 per cent to $65,675.87.
Further, Dogecoin (DOGE) depleted by 1.4 per cent to $0.0928, Ripple (XRP) declined by 0.7 per cent to $1.21, and TRON (TRX) lost 0.4 per cent to sell at $0.3336, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) gained 0.01 each to settle at $0.9986 and $0.9997, respectively.
Economy
Customs Street Bleeds 1.44% as Lafarge Africa Leads Losers’ Chart
By Dipo Olowookere
Nigeria’s stock market further depleted by 1.44 per cent on Wednesday following panic sell-offs by investors, who are cutting down their exposure to local equities.
Business Post observed that profit-taking dominated Customs Street at midweek, with all the key sectors of the Nigerian Exchange (NGX) Limited closing in red.
The insurance space shed 2.76 per cent, the industrial goods index lost 1.55 per cent, the banking counter declined by 1.53 per cent, the consumer goods segment shrank by 0.28 per cent, and the energy sector weakened by 0.05 per cent.
As a result, the All-Share Index (ASI) contracted by 3,554.05 points to 243,132.61 points from 246,686.66 points, and the market capitalisation moderated by N2.279 trillion to N155.940 trillion from N158.219 trillion.
Lafarge Africa led the losers’ chart yesterday after it gave up 9.97 per cent to trade at N307.90, Zichis lost 9.82 per cent to close at N29.20, Learn Africa depreciated by 9.80 per cent to N11.50, John Holt crashed by 9.80 per cent to N13.80, and Consolidated Hallmark dipped by 8.84 per cent to N6.19.
On the flip side, Abbey Mortgage Bank topped the gainers’ log after it grew by 9.93 per cent to N7.75, International Energy Insurance appreciated by 9.89 per cent to N6.00, Tripple G gained 9.80 per cent to sell for N4.37, Universal Insurance expanded by 8.91 per cent to N1.10, and Royal Exchange improved by 7.14 per cent to N1.50.
A total of 17 stocks gained weight yesterday, while 43 stocks lost weight, indicating a negative market breadth index and weak investor sentiment. This has been the mood of the market since the beginning of this week.
Market participants transacted 923.0 million shares worth N42.3 billion in 69,332 deals on Wednesday, in contrast to the 718.8 million shares valued at N29.3 billion traded in 71,683 deals on Tuesday, representing a drop in the number of deals by 3.28 per cent, and a rise in the trading volume and value by 28.41 per cent and 44.37 per cent, respectively.
Sterling Holdings led the activity chart with 264.6 million units valued at N2.1 billion, Access Holdings traded 76.7 million units worth N1.8 billion, Linkage Assurance exchanged 55.1 million units for N99.2 million, VFD Group sold 35.5 million units worth N378.8 million, and Ellah Lakes transacted 33.1 million units valued at N334.3 million.
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