FMARD/BOA Unveils Tractor Hiring Programme for farmers
The Federal Government has unveiled the distribution of tractors to farmers across the country as part of strategies to enhance mechanized agriculture and boost food production.
The Minister of Agriculture and Rural Development, Dr. Mohammad Abubakar, flagged-off the distribution exercise under the Federal Government Agricultural Tractorisation Programme at Bank of Agriculture, Head office, in Kaduna.
Speaking at the Ceremony, the Minister said “Being the key sector driving the economy, Agriculture needs to be reinvigorated through tractor acquisition to achieve food security”.
He said the Public Private Partnership (PPP) programme on tractorisation is aimed at providing affordable and accessible farm power to enable farmers carryout land preparation, planting, harvesting and other farm operations which raise and improve their productivity with a view to increase their income.
He added, that the Federal Government of Nigeria is committed to supporting the agricultural sector in order to realize its potential of driving and inclusive economic growth, achieving food and nutritional security and also creating job opportunities for the unemployed population.
Under the programme according to the Minister, “farmers are expected to make 40 per cent down payment while the balance of 60 per cent will be spread over a period of three years”.
Earlier, in his welcome address the Ag. Managing Director/CEO Bank of Agriculture Ltd, Alwan Ali Hassan said the Tractors/implements shall be loaned to managed service providers for onward hiring to farmers for increase cultivation of agricultural products for higher food production and realisation of the goal of increasing food supply, stabilising prices and food security for the country.
According to him, Food and Agriculture Organisation [FAO] recommends a mechanization rate of 1.5 horse power per hectare [1.5HP/HA] while Nigeria is currently operating a rate of 0.27 horse power per hectare [0.27hp/ha] which is greatly inadequate and cannot increase our production levels which indicates that the country is still highly dependent on manual labour for agricultural production.
Alwan Ali Hassan, further stated that the bank will subject all applications received to its Credit Bank Risk Procedures to ensure the selection of qualified managed service providers who will implement the project and the beneficiaries will insure all tractors and implements with Nigeria Agricultural Insurance Corporation [NAIC].
