CPPE Urges Nigerian Government to Establish National Farm Price Stabilization Framework

The Centre for Promoting Private Enterprise (CPPE) in Nigeria, led by Dr. Muda Yusuf, has called on the federal government to implement a national farm price stabilization framework to shield Nigerian farmers from income volatility caused by price fluctuations.

CPPE highlights the absence of a structured price stabilization mechanism, leaving farmers vulnerable to price crashes during harvest seasons, leading to distress sales and impacting their livelihoods. The proposed framework aims to prevent sharp price collapses, ensure stable supply conditions for processors and consumers, and protect farmers' incomes.

CPPE emphasizes the importance of designing a long-term structural reform rather than temporary crisis responses to strengthen the agricultural value chain. The organization also warns about the risks of acute food insecurity in Nigeria, exacerbated by food inflation, currency instability, rising input costs, and limited access to agricultural finance, affecting smallholder farmers significantly.

The Food and Agriculture Organization (FAO) projects a high risk of food insecurity for over 34.7 million people in Nigeria, emphasizing the urgent need for market-friendly systems to protect farmers and enhance food security.