Project Reports

Digital Technology and Fertilizer Reforms in Nigeria

Over the years, several attempts have been made to boost farmers’ productivity, among which are supplying farm inputs (such as improved seeds, agrochemicals and fertilizers) at subsidized prices to the farmers. Various domestic and imported fertilizer production costs are subsidized to lower prices to farmers. A historical review of Nigerian fertilizer policies indicates an inconsistency of government fertilizer distribution and subsidy policy over the years. The fertilizer subsidy programs ranged from conventional subsidies to “market-friendly” subsidies. Conventional fertilizer subsidies include the following key features: government importation and distribution of fertilizer, the sale of fertilizer to subsidized pan-territorial prices via state-owned enterprises, and universal program availability to all categories of farmers. The key features of market-friendly subsidies are the use of a targeting mechanism such as input vouchers to target poor farmers, and delivery of the subsidized fertilizer via the private input distribution system.

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March 13, 2018 - 4:00 am
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