Merchants and farmers in Katsina State have described the market price of maize as unpredictable this year considering the various factors bedeviling its production compared to last year.
Even though there is no central data on production, statistics from the Maize Association of Nigeria show that current production is over 15 million tons annually.
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In Nigeria, Funtua is adjudged to be the second largest producer of maize after Lere in Kaduna State with an average annual growth rate of 7.29%, according to Knoema.com agricultural data.
However, the COVID-19 crisis and banditry have led to shortages in the production of the grain, widening the demand gap, which affected many poultry farmers and triggered price hike last year.
Many merchants, who stored maize last year made good money, a situation that made many to store more this year.
Daily Trus on Sunday gathered that last year, merchants hoarded maize in large quantity to maximize profit but the chances now appear bleak as the price has crashed in the markets.
Aminu Ibrahim, an agent of the merchants at Funtua, Sheme, Giwa and Bakori markets, said maize merchants were full of uncertainties as last year’s produce were still piled up in stores.
“We bought maize in large quantity last harvest season because our forecast was that the produce could be sold at N30,000 per 100kg by now; unfortunately, the price crashed to N19,000 leaving us with the stock in our stores. The unfortunate thing is that we purchased each bag at between N20,000 and N23,000,” he explained.
He added that they also paid extra cost on labourers, agent fees and store rents.
Aminu Ibrahim further said beside animal feeds and other food companies in Nigeria, Mali, Chad and Niger constitute a huge market for their produce in Katsina State, but the recent policy of Niger Republic where government imported assorted food items at subsidized rate contributed in crashing the price of their local maize.
“Market demand of maize from Niger Republic has drastically reduced in the last five months and there are no company agents now in the market. Because there is need for space to keep new produce in the stores some merchants had no choice than to sell at a loss,” said Aminu Ibrahim.
Danladi Sani Dandume, a maize merchant, said the recent report that flood threatened maize production across the country has been a source of relief to them.
“Our dilemma is that old maize that we purchased at N23,000 is now being sold at N19,000 and the new one that started coming to the market is sold at not more than N15,000. We had no hope until recently when we heard that maize across the country is threatened by flood. This signifies that its price may appreciate in no distant time.”
Danladi added that most merchants will abandon maize for rice this year because it has more prospects.
“From all indications, the prospect this year is in rice and soybeans unless something unforeseen happens along the line. A bag of new paddy rice is N20,000 and its demand is higher than that of maize courtesy of the numerous rice milling factories established across the country. Our concern now is how we can do away with the maize stock-pilled in our stores so that we can have enough space for other produce,” said Danladi Sani.
Auwal Musa, a maize farmer in Funtua, said farmers were also worried over the crash of maize price considering high cost of fertilizer and labour this year.
“We bought fertilizer at the rate of N20,000 and N30,000 for Urea and NPK varieties and costs of herbicide have double, not to talk of labour. If you go round farms, you will realize that many maize farms turned yellow indicating lack of fertilizer. Those who insert beans in the farms may get profit as the market price of maize is so far discouraging,” he said.
He added that those who produce soybeans and rice will smile to the bank, especially that the rainfall was in abundance this year for the crops to give ample yields.
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