REVEALED! 60,000 tractors, worth N600bn, wasting away!

…as FG plans fresh N960bn imports

Delay in tractors’ distribution resulting in diversion – Farmers

A Federal Government plan to import 80,000 tractors worth N960 billion, through a Chinese company, YTO China-Africa Machinery Corporation, may have ruffled feathers in the agricultural sector, as many see it as a conduit, to siphon money.
The concern, according to The Point’s investigations, stemmed from findings that over 60,000 tractors, worth N600 billion, are available in the country but have been abandoned across the states.
The proposed FG’s tractor importation exercise, it was learnt, is in concert with seven northern states and one eastern state.
The states to receive the new tractors are Sokoto, Zamfara, Adamawa, Kastina, Niger, Jigawa, Taraba, and Ebonyi; and curiously, all of them have over 40,000 abandoned tractors lying in waste at the respective premises of the Federal Ministry of Agriculture and some farms within the states, respectively.
Aside from the President Muhammadu Buhari-led administration’s deal with YTO China-Africa Machinery, the Federal Government is also partnering with the Kastina State Government to spend N1.6 billion to purchase 225 tractors for agriculture mechanisation in the state.
The scheme, according to the Federal Government, is to boost agricultural production, stimulate inclusive growth, and ensure job creation in the sector.
In line with its agenda to diversify the economy, focusing on agriculture and other major sectors, President Buhari, through the Minister of Agriculture, Chief Audu Ogbeh, declared, last year, that Equipment Hiring Centres would be set up across the nation to provide mechanised services to farmers all over the country.
However, findings revealed to The Point that aside from the fact that some of the tractors provided by previous and current administrations had been under-utilised with some lying fallow across several states of the federation, our correspondent also found that the EHC initiative had yet to commence operation, about two years after the Federal Government made the pronouncement.
For instance, in Ogun State, the full mechanisation plan of the FG might remain a mirage, as about 200 tractors were seen parked at the Federal Ministry of Agriculture situated along Abeokuta-Ibadan old road, Kotopo, Abeokuta, the state’s capital.
A source in the ministry told The Point that the tractors had been at the ministry for about two years and nobody knew who they were meant for.
He said, “Initially, we thought they were meant to be hired and we informed some farmers to come and hire them whenever they needed to, but I was shocked when one of our Directors said we should not touch them, that they were meant for special use.
“A few months later, I observed that some people would take them out all in the name of servicing and by the time they returned, you would see signs that the tractors had been used on undisclosed farms. The unfortunate thing is that by the time they were returned, the number of the tractors dropped by five and when I inquired, I was told to ask the same Director and since I was not ready to lose my job, I had to mind my business.”
A similar development occurred in Kano State, as over 20 tractors were seen lined up at the Federal Ministry of Agriculture situated along Kano State Hajj Camp Road.
Findings revealed that some tractors, which had been kept for over one year, were shared among unknown farmers in the state, as an official of the ministry disclosed that some of them were distributed to some people that had no farm in the state or outside it.
In Owerri, Imo State capital, while some of the tractors provided by the immediate past administration were distributed among some politicians, others allegedly disappeared from the ministry and were later spotted at some farms within the state, belonging to some top officials of the ministry.
Another source at the agriculture ministry’s headquarters in Abuja told The Point that most of the tractors abandoned at Sheda and other parts of the country were shrouded in controversy.
“The tractors as supplied by the manufacturers, did not meet the engineering specification required by the ministry but the company is reluctant to retrieve them. That is the reason some of them appeared abandoned. Others that met our specification were distributed to farmers across the country,” he said.

 

some of the tractors provided by previous and current administrations had been under-utilised with some lying fallow across several states of the federation

FARMERS TO GOVT: GIVE US TRACTORS DIRECTLY
Meanwhile, farmers across the nation have decried what they described as exploitation on the part of the intermediaries between them and the Federal Government.
The greatest challenge to farmers, according to the President, National Federation of Cowpea Farmers, Processors and Marketers Association of Nigeria, Mr. Kabiru Mohammed, is the lack of tractors.
He alleged that the development had made intermediaries frustrate farmers’ production, as the tractors, in most cases, spent years with the ministers before some of them were distributed.
“It is regrettable that the government does not give farm equipment directly to farmers. It should create the enabling environment for farmers by bringing in farm equipment, which should be given directly to the farmers and not through ministers, who will leave them until they are no longer good,” he said.
The Managing Partner, Pacific Farms Limited, Mr. Shina Taiwo, narrated his experience with the Federal Ministry of Agriculture, Abeokuta, which he described as frustrating, as he alleged that some officials of the ministry engaged in abuse of office.
According to him, some of the officials had asked him and some farmers to apply for the equipment shortly after the supplies were made but that it was all to no avail, as they were later informed that the tractors would be hired to farmers.
He said, “I was delighted when I was informed they would be hired out as it was supposed to be cheaper than buying a tractor, as each of them cost about N12 million. But I was shocked when I suddenly found that the number had dropped from about 200 to 10.
“When I asked my other colleagues (farmers) in the state capital, they expressed their disappointment too. We found that other farmers across the state could not access the machines also, and later heard that some of the top officials diverted some of the tractors for personal gains and sold others to their friends outside the state.”

WE’RE FIXING 50,000 GROUNDED TRACTORS – NIRSAL
However, the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending disclosed that it had signed an agricultural mechanisation management contract with the National Agency for Science and Engineering Infrastructure, and Machine and Equipment Consortium Africa, to fix an estimated 50,000 tractors grounded across the country.
The initiative, which will cover the entire 36 states of the federation and Abuja, will see NIRSAL provide 75 per cent credit guarantee to enable NASENI and MECA repair 10,000 grounded tractors across the country annually.
The Managing Director, NIRSAL, Mr. Aliyu Abdulhameed, said the partnership would guarantee maintenance for agricultural equipment in states and local governments, with about N120 billion.
He said, “For an average price of N12 million (the cost of a tractor), that will amount to about N120 billion worth of equipment that needs to be serviced annually.
“If Nigeria requires 10,000 tractors every year for the next 10 years in order to meet the global average for doing an average of three hectares per tractor a day, we will end up doing 3.6 million hectares. And that will translate to 1.2 million metric tons of grains, which translates to N3.2 trillion worth of grains to be produced within a year.”
According to him, the new scheme is to end the colossal waste of billions of naira, which was invested in acquiring agricultural equipment that is gathering dust all over the country, and deploy them to boost agricultural production.
He said, “It is estimated that there are about 50,000 disused tractors and other equipment in different parts of the country. According to the terms of the partnership, NIRSAL will provide credit risk guarantee and technical advisory support services, while NASENI and MECA will be responsible for financing, refurbishing and managing the equipment.
“Workshops are being retooled and upgraded to ensure that tractors that have broken down are repaired.”