Commodity Associations to reposition, ask for annual funding

A white paper will soon be presented to the Minister, Federal Ministry of Industry, Trade and Investment (FMITI), Otunba Adeniyi Adebayo on how the agricultural commodity associations are to run more effectively through a well thought out constitution that enhances performance free of  constant crisis cum other related challenges.

 

The document being put together by a five man committee set up by the FMITI is also  suggesting  that Federal Government (FG) should as matter of necessity include annual budget funding for  commodity associations so as to checkmate many abnormities often occasioned by  few individuals running the affairs of the associations as many others are not committed financial members.  Draft copy of the constitution was last week Thursday presented to the national presidents of commodity associations for validation with injection of their inputs to produce a more robust document of operations especially for upcoming associations.

Secretary to the committee, Dr. Okoroji  Nma Okechukwu  explained that the rate of crisis among the commodity associations has called for the need to reposition saying ‘’ setting up the constitution drafting committee is to review the commodity associations’ constitution drafting process, procedures and guidelines in order to recommend appropriate strategic frame work and interventions by the FMITI and Federation of Agricultural Commodity Associations (FACAN) with a view to reducing the commodity associations’ constitutional crisis. Also, to ensure stability as well as deepening their contributions to the development of the agricultural commodity sub-sector along the value chains for sustainable economic growth and development’’

Speaking,  the Chairman, draft committee, also the president, Banana, Plantain Growers, Processors Association of Nigeria, Mr. Adjarho J. Oghenekaro asked other commodity associations’  presidents to freely make  contributions for a final document that will be presented to the repositioning of the daily challenges confronting commodity associations with several litigation cases, adding that the present economic dynamism  has required the need to effect the changes towards a better agricultural associations in line to achieving food security and commercialization in Nigeria.

 Oghenekaro said that ‘’ the constitutions  of most commodity associations give room to a lot of problems in terms of officers’ tenure in office,  especially for those who did not follow proper procedure of registration at the Corporate Affairs Committee, and this has necessitated his committee by the FMITI, Permanent Secretary (PS), Dr./ Mrs. Ngige , adding that  we are mandated to come up with more proactive guidelines for the administration of the associations under the supervision of FACAN who will be charged with more responsibilities of being an Independent Electoral Commissions (INEC) and at the same time a mediator during crisis’’

He stressed the need to reposition most of these associations to meet the present economic  dynamics of efficient running toward increasing the nation’s economy in terms of contribution to the national domestic production as more members are being attracted to join the associations, pointed that many leaders managed the affairs of these associations as their personal  belonging.

Speaking on funding, all stakeholders agreed on government’s intervention through budgetary allocations no matter how little the amount might be annually,  saying this would go a long way in solving some basic routine activities that are  always shouldered by one or few people in an association of many members without financial commitment.

The President, National Yam farmers, Processors and Exporters Association, Prof. Simon Irtwange suggested among many other things that FG should make the N50 billion export expansion grants annually sustainable, through inclusion in the funding budget as being suggested recently in a meeting on export survival at Transcorp Hilton, Abuja, adding that each association can also be supported by government to be involved in revenue collections at states and local governments’ markets to prevent some illegal ones that is often rampart in these commodities.

FACAN  National Deputy President, Alhaji Sherif Balogun who supported the idea of government budgetary allocation for commodity associations annually, however differed in the involvement of associations in revenue collections at the grassroots, saying those markets are under the local governments’ portfolios, and they can hardly share any proceeds from there with any other body.

 Balogun pointed that the crisis presently rocking many associations could be traced to the Central Bank of Nigeria (CBN) anchor borrower programme that is giving financial loan support to agricultural commodity associations without thorough verification of membership, saying ‘’ anchor is creating problem in our associations, most people forming association are not professionals or practitioners. We forming an association we must get people of vested interest in the sector with passion as many of the Board of trustee Members (BOT) are appointed in error’’

Also the view of the  president, National Mushroom Association of Nigeria, Chief Micheal Awunor  flowed in line with earlier speakers who suggested the need for annual budget inclusion for effective running of the associations as he stressed how burdensome it could be to be solely financing an association when people refused to be financial members, but only just waiting for dividend time to cause problem.

 Chief Awunor wanted the issue of members without financial commitment to be dispassionately discussed , saying that  ‘’ let a certain statutory allocation of fund by the FMITI or grant of export promotion council be given to commodity Associations with stringent condition of accountability. Let us agree as a matter of principle that such funding should be included in the budget allocation every year. Also the issue of members without financial commitment must also be discussed because it is a big challenge ’’

Earlier in his remark, the President, Federation of Agricultural Commodity Associations (FACAN) Dr. Victor Iyama said the new guideline should be able to tackle crisis and conflict that are being experienced in many of the associations with recourse to apex body whenever the need arose.

 The National Secretary, Alhaji Dogodaji Nuhu who represented  his President said the constant court cases among commodity associations has called for this constitutional review and guidelines on how to better run all the associations for the economic development of our entire nation.