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Sat, Nov

GHC207m for Fertilizer Subsidy Programme

Business & Economy

The Akufo-Addo-led NPP government has earmarked a total of GHC 207 million for this year’s National Fertilizer Subsidy Programme, as part of efforts to enhance agricultural productivity and bring relief to farmers.

The Akufo-Addo-led NPP government has earmarked a total of GHC 207 million for this year’s National Fertilizer Subsidy Programme, as part of efforts to enhance agricultural productivity and bring relief to farmers.

 

This year's subsidy represents a significant increase of about 50%, compared to prices offered to farmers last year, meaning beneficiary farmers are getting a 50% price cut for both organic and inorganic fertilizers.

In 2016, farmers paid GHC85.00 and GHC80.00 per 50kgs of Compound Fertilizer (NPK) and Urea respectively.

Owusu Afriyie Akoto, Minister of Food and Agriculture, announced this at a press conference organized Friday to officially launch the programme.

According to Dr Afriyie Akoto, the huge subsidy demonstrates the commitment of the Akufo-Addo government towards its campaign promise of stimulating agricultural productivity, and  improving the living conditions of farmers.

The minister explained that the package was different from the one to be rolled out under the ‘Planting for Food and Jobs’ programme.

The programme, expected to be launched at Goaso in the Brong-Ahafo Region on April 19, 2017, will see the distribution of 150,00 metric tonnes of fertilizers to about 200,000 selected farmers.

A total of 180,000 metric tonnes of fertilizers, including NPK, Urea and a sizeable quantities of inorganic fertilizers, would be distributed to farmers across the country.

This would represent about 3.6million bags of the product expected to cost government a total of GHC207 million.

 “I am happy to announce that because of the keenness of government to encourage farmers to apply fertilizers to improve their productivity, the prices that they are paying this year have been reduced,” the minister stated.

These amounts have, however, been slashed significantly to GHC57.50 and GHC47.50 respectively whilst that of organic (ACARP) remains unchanged at GHC15.00.

“We hope that this huge reduction in price for the farmer would encourage more farmers to apply fertilizes so that we can raise the productivity on the farms this year,” he said.

In all, 13 companies were awarded contracts for the supply of the products under the Public Procurement Act which requires Ministries, Departments and Agencies to engage in open tendering selection processes.

The companies include Yara Ghana Limited, Chemico Limited, Afcot Ghana Limited, AMG, Omni Energy Ghana Ltd, Louis Dreyfus Commodities, Iddisal Company Ltd, ETC Ghana Ltd and Centroid Supplies and Logistics Ltd.

The rest are RMG Ghana Ltd, Ganorma Agro-Chemicals, Yayra Glover Organic Inputs Ltd and Accra Compost and Recycling Plants.

According to the Minister, government has put in place the necessary measures to ensure that farmers have access to the products on time so that they can utilize them to increase productivity.

 

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