.Says Nigeria will become less dependent on imported goods
By Baron Ike
President Muhammadu Buhari on Wednesday, December 14 presented the 2017 Appropriation Bill to the National Assembly assuring Nigerians that his administration was determined to see a departure from dependence on imported goods to locally made products.
The president gave the assurance before a joint session of the National Assembly in Abuja.
He said he would ensure a new era where Nigerians consumed locally made products, and depended less on imported items.
Buhari said: “For many years we depended on oil for foreign exchange revenues. In the days of high oil prices, we did not save, we squandered.
“We wasted our large foreign exchange reserves to import nearly everything we consume.
“Our food, our clothing, our manufacturing inputs, our fuel and much more. In the past 18 months when we experienced low oil prices, we saw our foreign exchange earnings cut by about 60 per cent.
“Also, our reserves eroded and our consumption declined as we could not import to meet our needs.
“By importing nearly everything, we provide jobs for young men and women in the countries that produce what we import, while our own young people wander around jobless.
“By preferring imported goods, we ensure steady jobs for the nationals of other countries while our own farmers, manufacturers, engineers and marketers remain jobless.
“We will CHANGE our habits and we will CHANGE Nigeria.”
Overall, Buhar proposed a N7.28 trillion federal government budget for 2017 tagged “Budget of Recovery and Growth”.
The 2017 proposed budget was higher than the N6.07 trillion 2016 Appropriation by about 19.95 per cent.
Details of the proposed budget showed that it was based on crude oil benchmark price of $42.5 per barrel, against the benchmark price of $38 per barrel used in the 2016 budget.
Daily crude oil production estimate was put at about 2.2 million barrels per day, same as the figure in last year’s budget, while the exchange rate was put at N305 to the dollar as against N197 to the dollar in 2016.
Other details of the proposed budget indicated that government plans to spend about N2.243 trillion on capital projects and N2.9 trillion as recurrent expenditure.
In the 2017 Appropriation, proposed capital and recurrent expenditures were higher than the N1.8 trillion and N2.65 trillion respectively provided in the 2016 Appropriation, representing about 15.44 and 9.43 per cent respectively.
About N1.66 trillion has been allocated for servicing of domestic debts, with N1.3 trillion earmarked in the 2016 budget, and foreign debt expected to take about N175.9 billion as against N54.5 billion last year.
Buhari said his administration will work on growing, processing local food as well as refining petroleum products locally.
He promised that small scale business men and women would be encouraged by creating enabling environment for their products to be patronised.
His words: “We will patronise local entrepreneurs. We will promote the manufacturing powerhouses in Aba, Calabar, Kaduna, Kano, Lagos, Nnewi, Onitsha and Ota.
“From light manufacturing to cement production and petrochemicals, our objective is to make Nigeria a new manufacturing hub.
“Today, the demand of the urban consumer has presented an opportunity for the rural producer.
“Across the country, our farmers, traders and transporters are seeing a shift in their fortunes.
“Nigerians who preferred imported products are now consuming made in Nigeria products.
“From Argungu in Kebbi to Abakalaki in Ebonyi, rice farmers and millers are seeing their products move. We must replicate such success in other staples like wheat, sugar, soya, tomato and dairy products.”
The President stressed that the Ministry of Agriculture and Rural Development, the Central Bank of Nigeria (CBN), the Organised Private Sector (OPS) and a handful of Nigerian commercial banks, had embarked on an ambitious private sector-led N600 billion programme.
Buhari said the essence of the programme was to ensure self-sufficiency within three years, and called on all state governors to make land available to potential farmers for the programme.
Hear him: “To achieve self-sufficiency in food and other products, a lot of work needs to be done across the various value chains.
“For agriculture, inputs must be available and affordable. In the past, basic inputs like the NPK fertiliser, were imported although key ingredients like urea and limestone are readily available locally.
“Our local blending plants have been abandoned. Jobs lost and families destroyed.
“I am pleased to announce today that on 2nd December 2016, Morocco and Nigeria signed an ambitious collaboration agreement to revive the abandoned Nigerian fertiliser blending plants.
“The agreement focuses on optimising local materials while only importing items that are not available locally.
“This programme has already commenced and we expect that in the first quarter of 2017, it will create thousands of jobs and save Nigeria 200 million dollars of foreign exchange and over N60 billion in subsidy.”
Buhari said the true drivers of the country’s economic future were farmers, small and medium sized manufacturers, agro-allied businesses, dressmakers, entertainers and technology start-ups, noting that they are the engine of imminent economic recovery.