…Farmers to repay loans within nine months

 

 

The Bank of Agriculture (BOA), in partnership with WACOT Limited, has commenced the distribution of farm inputs to smallholder farmers in Jigawa State at a single-digit interest rate.

The farmers who received input packages comprising improved seeds, two to three bags of fertiliser and about 20 litres of agrochemicals, are expected to repay the loans within nine months.

The Managing Director of BOA, Ayo Sotinrin, during the flag-off of the farm input distribution, disclosed that each input package is valued at about N500,000, while farmers are projected to earn about N1.5 million at the end of the farming season.

He explained that the loans were disbursed through accredited farmer aggregation companies such as WACOT Limited rather than directly to individual farmers.

The programme, implemented under the Federal Government’s Renewed Hope Smallholder Farmer Support and Value Chain Programme, is aimed at enhancing food security, increasing crop yields and improving farmers’ incomes.

Sotinrin, who was represented by the Executive Director, Operations and Technology of the Bank of Agriculture, Mr. Tosin Salami, described the initiative as a new model for agricultural financing driven by collaboration among government, financial institutions and the private sector.

He said the programme goes beyond the distribution of farm inputs, noting that it integrates financing, extension services, agronomic support and market access to guarantee improved productivity and profitability for farmers.

According to him, the initiative is being implemented in partnership with WACOT to ensure that beneficiaries receive quality seeds, fertilisers, agrochemicals, technical support and guaranteed off-take opportunities.

Salami disclosed that nationwide, the intervention is expected to support over two million smallholder farmers through the supply of more than 10 million bags of fertiliser, improved seeds and structured financing across more than 20 states, with over one-third of the beneficiaries being women.

He explained that about 200,000 farmers would benefit during the current farming season, while the target is expected to rise to 500,000 by the dry season.

“Our goal is not only to provide inputs but also to double and even triple farmers’ yields. Many farmers currently harvest between one and one-and-a-half tonnes per hectare. With hybrid seeds, proper agronomic support and quality inputs, we expect yields to increase to between three and five tonnes per hectare,” he said.

The BOA executive added that the bank also plans to expand irrigation support to encourage year-round farming, enabling farmers to cultivate up to three or four times annually instead of relying on a single rainy season.

He urged beneficiaries to repay the loans promptly, stressing that repayment would sustain the revolving fund and enable more farmers to benefit in subsequent farming seasons.

Salami commended the administration of Governor Umar Namadi for prioritising agricultural development through investments in extension services, irrigation and climate-smart agriculture, saying the bank was committed to supporting the state’s agricultural transformation agenda.

In his remarks, the Managing Director of WACOT Limited, Mr. Naveen Chaurasia, said the company remained committed to supporting farmers through quality farm inputs, improved agronomic practices and structured out-grower schemes covering sesame, rice and soybean production.

He noted that poor-quality inputs and inadequate farming practices have remained major challenges confronting agricultural productivity.

“Our objective is to provide quality inputs and ensure farmers use them correctly. We believe that with improved farming practices and proper application of inputs, farmers’ yields and incomes will increase significantly,” he said.

Chaurasia advised beneficiaries to avoid compromising on the quality of farm inputs and to embrace modern agricultural practices to maximise productivity.

Also speaking, a representative of the Gumel Emirate Council, Alhaji Musa Ayuba, described the programme as a major boost to the predominantly agrarian communities in the emirate.

He said Gumel had a long history of farming, particularly sesame production, and expressed confidence that the intervention would strengthen the local economy and enhance Nigeria’s foreign exchange earnings through increased sesame exports.

The traditional council appealed to the Bank of Agriculture to sustain the provision of affordable credit and consider expanding agricultural insurance to cushion farmers against losses arising from natural disasters.

The council also pledged to mobilise farmers across the emirate to embrace the programme, repay the loans and consolidate Gumel’s position as one of Nigeria’s leading sesame-producing areas.