Publication Type: Other
Countries: Nigeria
Authors: SOAS-ACE
Publication date: June 2019
Keywords: Agriculture, Fertilizers
Will removing or changing subsidies adequately tackle corruption in Nigeria’s fertiliser distribution?
Research Question
Successive Nigerian governments have struggled to design and implement a fertiliser subsidy regime which increases farmer uptake and productivity, but is affordable for the government and does not become subject to corruption. This ACE project will analyse the changing dynamics of corruption in response to changes in government policy and suggest approaches to limit the negative impact of corruption and fertiliser smuggling on policy implementation.
Key Findings
Initial engagement with the sector through stakeholder groups such as Fertilisers Producers and Suppliers Association of Nigeria (FEPSAN) and the All Farmers Associations of Nigeria (AFAN) has been positive. Using a comparative approach evaluating two distribution and subsidy mechanisms adopted by the Nigerian government, we will identify a strategy to engage stakeholders to minimise fertiliser smuggling and corruption.
Implications
Our initial research suggests that the earlier Growth Enhancement Support (GES) scheme was successful in increasing access to fertilisers for farmers through prioritising a distribution network but suffered due to leakages. The current PFI scheme has been remarkably successful for increasing domestic urea production and restarting domestic blending but farmer uptake seems to be relatively low. The solution might lie in involving dealers but with stricter oversight than during the GES.
