5 Reasons Food Prices May Shoot 2021 By Femi Owoyele

There are few reasons for a potential food crisis in 2021, here are the five I choose to share as an active observer;

1. SCARCITY OF FARM INPUTS –
Farm inputs which include raw materials, seeds and other tools and machines used in the Agric space have been scarce with attendants price hike where available. The shutdown of the borders to importation was a major factor too. One of the quiet reasons for this scarcity is also government’s weak policy direction to salvage the situation.

2. REALITIES OF COVID 19 ON FARMERS –
Despite putting food and food produce in the essential goods category that should be allowed movement during the lockdown period, a lot of farmers still lost their harvest as there was breakdown of general logistics, cost of harvesting and processing was high, and the usual structure of market supply was no more active. In addition, funds for such were now conserved for food and preservation of their families, especially as the fear of uncertainty was heightened.

3. CLIMATE CHANGE –
As you would have observed, the rain has decided to ‘calm down’ unusually this year, despite being in its season. There are so many cases of lost harvest, stunted produce, and high cost of creating alternatives for rain (irrigation system) where achievable. Plantains ought to have been out in large quantity, the markets are supposed to be flooded with yam now. Unfortunately, these issues may not be easily reversed until another season.

4. LESSFARM ACTIVITIES –
Due to some of the reasons enumerated above, a reasonable number of farmers who should have expanded their production capacity this year, have either depleted it or even suspended such till next year.

5. OURARMED AND UNARMED FORCES –
One of the not-so-loud but very real reasons food prices keep rising is the unfair and illegal charges paid at different checkpoints by drivers and farmers as they try to get their produce to the market. Food prices at the real market increase to the extent of the porosity of checkpoints and increase in charges. Imagine a driver budgeting about N3000 ‘owo olopa and road safety’ (police and road safety officers money). Though these vehicles usually contravene the law (overload, incomplete or expired papers, etc.), some who even fulfil all righteousness would still have to cooperate. The overall effects of these illicit transactions come on the innocent Nigerians.

Having stated these reasons above, there seems to be no better time to still come into the agribusiness space than now. If you can stretch your sacrifice and patience curve and if you can see farther, then you can start considering taking that bold step.

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N.B: Transporting these cassava stems to Farm costs 200 percent of the cost of purchase.