The Federal Government is counting the gains of its investments in the reactivation of fertilizer blending plants that were hitherto moribund. The revitalisation of plants had saved the country over $200 million dollars annually in foreign exchange.
Vice President Osinbajo, who broke in his keynote address at the 17th Joint Planning Board and National Council on Development Panning meeting in Abeokuta, said the reactivation of the plants had also saved the government over N60 billion in budgetary provisions for fertiliser subsidies.
Prof Osinbajo was represented by Budget & National Planning Minister Udo Udoma Udoma at the meeting organised by the Federal Ministry of Budget & National Planning in conjunction with the Ogun State government.
The programme has as its theme: “Accelerating the implementation of the Economic Recovery and Growth Plan (ERGP): The role of stakeholders.”
Osinbajo noted that the administration, under President Muhammadu Buhari’s watch, was proud of the successes recorded in the agricultural sector.
The Federal Government is relying on the agriculture and solid mineral sectors to diversify the economy from oil.
According to the vice president, the development made it possible for the purchase of fertiliser at prices up to 30 per cent cheaper.
Besides, the country import less rice than it did few years ago, he said.
The vice president described the ERGP as a departure from other plans introduced by previous administrations, because it contained clearly defined objectives, priorities and targets.
He said: “Indeed, I am glad to note the partnerships that some states like Kebbi and Lagos have entered into in a bid to support the agricultural development and food security objective of the ERGP.
“I am aware that the National Committee on Export Promotion is implementing a plan to enhance export promotion and economic diversification in line with the Zero Oil Plan (ZOP) initiative.
“We have equally budgeted N44.2 billion in the 2018 Budget for the establishment of Special Economic Zones in the country six geo-political zones to drive local manufacturing and exports.
“We are also paying close attention to the Mining sector by reinforcing the Mining Regulatory Agency. About N644 million has been voted for this in the 2018 Budget.
“We are ready to set up a National Gold Purchase Scheme. The Centre Bank of Nigeria (CBN) is also advancing discussions on the modalities for gold purchase toward enhancing liquidity in the sector.”
Osinbajo reiterated the present administration’s resolve to continue to promote good governance, saying that it was an important enabler of economic growth and development.
The vice president noted that the government was institutionalising reforms that focused on intensifying efforts to detect diversion of public resources to private wealth, and punishing culpable institutions and individuals.
His words: “In addition to recovery of huge sums looted by unpatriotic Nigerians and properties acquired with ill-gotten monies, over N3 trillion has been brought into the Treasury Single Account (TSA) since June 2015.
“The accounts of revenue generating agencies are being audited to ensure full compliance with statutory and legal provisions on the generation and remittance of revenues to government.”
Commending the programme organisers, Governor Ibikunle Amosun said the initiative would go a long way in boosting the economy.
He lauded the President for his timely restructuring of the economy.
“Amosun said: “The ERGP, launched in 2017 to chart a course for the Nigerian economy is a laudable initiative that must be sustained and built upon. We must continue to deepen the conversation on development across all tiers of government.”
There is a target by three players in fertiliser production to hit 4.9 metric tons production capacity before the end of the year. The three players are: Notore Chemical Industries Plc, Dangote Fertiliser Ltd and Indorama Eleme Fertilizer & Chemicals Limited (IEFCL).
The Notore plant, with capacity to produce 0.5 metric tons per annum (mtpa) is located in Onne, Rivers State; Dangote Fertiliser Ltd, located within the Lekki Free Trade Zone (LFTZ) in Lagos, has three mtpa capacity and Indorama Eleme Fertiliser & Chemicals Limited, based in Eleme, Port Harcourt, Rivers State, has 1.4mtpa.
