Connect with us

Agriculture

African Farmers Stories: Oke-Aro Pig Settlement Faces Losses From Disease

Published

on

The African Farmers’ Stories, powered by Support4AfricanSMEs, in collaboration with Business Day Nigeria, Big Dutchman, Clarke Energy and other partners brings stories from farmers in Africa so that their challenges can be understood and long-term sustainable solutions can be sought.

As we continue to tell these stories, today we highlight the situation at Oke-Aro Agege, bordering Lagos and Ogun States where African Swine Fever has ravaged the Oke-Aro pig farm settlement, resulting in the loss of billions of naira worth of pigs and investments. African Swine Fever (ASF), a highly contagious viral haemorrhagic disease of wild and domesticated pigs is a known contributor to severe economic and production loss in pig farms. It was retrospectively first identified in Kenya in 1907 and can be spread via direct or indirect contact with infected pigs but is not a health risk to humans. Unfortunately, it has no vaccine or cure and must be controlled during an outbreak with classic sanitation measures, cleansing and disinfection, zoning control, surveillance and strict biosecurity measures.

The Oke-Aro piggery estate is located in in Giwa/Oke-Aro; it occupies overs 30 hectares of land with about 5000 pens, making it the largest pig farm in West Africa. It was established about twenty years ago by the Lagos State Ministry of Agriculture but is located in Ogun State and is powered by the National Directorate of Employment. The Oke-Aro Piggery Farmers Association has about 3,000 active members with each operating their own independent piggery within the settlement. The outbreak of such a deadly disease in the settlement is indeed alarming, and an indictment on the years of neglect from poor hygiene, absence of extension officers and poor supervision.

According to the President of the Association, It is estimated that the outbreak has resulted to over two hundred and fifty thousand pigs death worth and resulted in cumulative losses worth over 4.9 billions of naira. Many farmers have lost their entire stock and the lockdown has unfortunately worsened the situation as some tried to quickly sell of their pigs to avoid total loss but could not easily access buyers due to inter-state travel restrictions.

Unfortunately, this tragedy has severely affected the farmers of Oke-Aro pig settlement, as four farmers have been confirmed dead while another thirty are currently hospitalised from shock and high blood pressure brought on by the inability to repay the millions of naira worth of loans taken out to support their farms. Most of these farmers have no insurance premiums, and many are watching their investments, some of which are backed by borrowed funds from development and commercial banks, go down the drain. They are calling for assistance to revive the sector and preserve human lives.

Also Read: Black Mamba- Changing the world one chilli at a time

The situation has not gone unnoticed, with farmers taking to social media to lament the challenges the disease has brought about. Many fear the high mortality rates and complain that pigs are being sold at drastic losses for fear of death and to avoid total loss. Fully bred pigs weighing over 70kg are in some cases selling for as low as ₦1500.Other farmers joined in to cite their losses in other areas of livestock farming with Newcastle disease that affects poultry and can also result in total loss of investment.

The Oke-Aro tragedy highlights the importance of the African Farmers’ Stories campaign – to tell the important stories to attract investors and policy makers into the agricultural sector. Indeed, the time to support the African farmer and other entrepreneurs is now, as jobs and livelihoods are being lost. There is an urgent need for investors to address areas such as the recycling sector to recycle the waste from piggeries and to contribute to value addition to the pigs, extension services to support and educate farmers, and policy makers to ensure constant supervision of the standard of hygiene within the settlement.

Article By: Victoria Madedor of Support4AfricanSMEs

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Agriculture

World Poultry Foundation (WPF) launches video series to help Africa’s farmers improve poultry production

Published

on

With poultry increasingly a focus for emerging farmers across Africa, the US-based World Poultry Foundation (WPF) has released a series of training videos to help farmers reduce waste and optimise profits.

Feed accounts for up to 70% of the costs of raising poultry, so proper feeding techniques enable farmers to reduce waste, cut production costs and raise healthier birds, says WPF. Water is equally important in poultry farming, with proper water management crucial for healthy birds.

WPF’s training series, with four videos dedicated to production, explains how farmers should store feed, proper feeding of poultry and how to prepare and manage zones of comfort to encourage proper brooding for chicks. The videos also explain the importance of litter in helping to prevent common diseases to improve production and returns.

World Poultry Foundation CEO Randall Ennis says the video series has been developed to address the most common challenges faced by emerging poultry farmers across Africa. “By applying best practice poultry farming methods, farmers can significantly increase their production, their incomes, and the nutrition available to their families and communities,” he says.

The training videos, as well as free checklists and worksheets, are available here

 

Download BAO E-MAGAZINE

Continue Reading

Agriculture

AFEX Raises $50Million for Agri-SMEs, Africa’s First Warehouse Receipt Backed Commercial Paper

Published

on

AFEX CEO, Ayodeji Balogun (Source: AFEX)

AFEX Commodities Exchange Limited (AFEX), Nigeria’s leading private commodities exchange company, has announced the first Warehouse Receipt Backed Commercial Paper in Africa, with tech-enabled operations and a 24-hour fast cash turnaround for borrowers. With over $50 million raised for Agri-SMEs, this bridges the funding gap between lenders and borrowers in the Nigerian agricultural sector with a commodity-backed instrument – for the first time.

The AFEX financing deal will help eradicate the high cost of procurement incurred by processors by deploying a discounted value of a warehouse receipt distributed among five leading players in the Food and Beverage, Trading Poultry and Animal Feed segments in Nigeria. The receiving companies are top 10 players in their respective segments. They have now been enabled access to a tool for managing price volatility, enabling up to 30% direct savings on prices.

“With our vision to reach a cumulative total of over $5 Billion in investment to the agriculture sector over the next five years, this financing deal is right on track to achieve this goal’’ – said Ayodeji Balogun, CEO, AFEX Commodities Exchange. “As we move towards building a derivatives market in Africa, we want to be able to reduce exposure to price risk for stakeholders, by enabling them to hedge their positions and trade in commodity derivatives.”

The warehouse receipts, which can then be transferred from commodities to a financial asset and listed under the borrower’s portfolio on the AFEX trading platform, will create a sustainable funding structure and address underfunding in the Nigerian agricultural sector. With the warehouse receipt system linked to financiers, the system allows financiers value and marks the commodities’ price to market on a real-time basis.

“Our mission is to provide low-risk working capital facility for stakeholders in the Agro sector, in a way that is transparent and has a very high viable investment return’’ – said Akinyinka Akintunde, VP Financial Markets at AFEX. “As a licensed commodities exchange and warehouse receipt system operator, we deploy a warehouse receipt system and collateral management infrastructure to increase market confidence for both lenders and borrower.”With AFEX’s goal to support Africa’s food security while promoting a fair exchange of value among players in commodity value chains, this deal’s social impact is delivered through market access for farmers and reduced post-harvest losses. AFEX continues to contribute to the United Nations Sustainable Development Goals 1, 2, 5 and 8; no
poverty, zero hunger, gender equality, decent work, and economic growth.

Also Read Cocoa Pricing: Why Public-Private Sector Partnerships are Key to Sustaining the Livelihood of Smallholders Farmers in Africa

Download BAO E-MAGAZINE

Continue Reading

Agriculture

SunCulture secures $11m debt facility from SunFunder syndicate to expand solar irrigation in Africa

Published

on

SunCulture CEO and co-Founder, Samir Ibrahim (Source: YouTube)

SunCulture, a solar irrigation company headquartered in Nairobi, Kenya, today received the first disbursement from a new $11m syndicated debt facility to expand its operations in sub-Saharan Africa.

The new loan is groundbreaking for the “productive use” solar sector due to its size and its innovative combination of working capital and end-user financing.

Arranged by SunFunder, the co-investors in the facility are Nordic Development Fund; Triodos Investment Management, through its Hivos-Triodos Fund; SunFunder through its Solar Energy Transformation Fund; AlphaMundi through both its SocialAlpha and AlphaJiri Investment Funds; and the AfDB’s FEI OGEF managed by Lion’s Head.

This will enable SunCulture to scale up renewable energy installations at smallholder farms and households that will mitigate over 20,000 tons of CO2 annually – as farmers replace diesel pumps with solar ones – whilst facilitating income growth and job opportunities in rural communities.

SunCulture has pioneered a “Pay-As-You-Grow” business model to make solar-powered irrigation affordable for smallholder farmers in sub-Saharan Africa, combining end-user finance, value-added services, modern climate technology, and access to improve productivity. A recent report developed by Dalberg Research shows that irrigation systems and solar-powered water pumps can increase farmers’ production between 2 and 4 times, and their income between 2 and 6 times.

Samir Ibrahim, Chief Executive Officer at SunCulture, said, “The past year was devastating for the millions of smallholder farmers in Kenya; 87% are in a worse financial position due to the pandemic. 81% of SunCulture farmers, however, were able to increase their revenue from farming in 2020. Solar irrigation helps create food security and sovereignty, and it also helps lift people out of poverty. This facility further enables our efforts to support farmers by
providing them with more of our solar solutions, and faster.”

Jemimah Kwakye-Fosu, Investment Officer, who led the transaction for SunFunder, said: “We are delighted to have led this syndicate of proactive lenders who worked well together for a common goal: to help SunCulture reach many more farmers. It shows how working capital can be combined with end user financing, which is essential for making productive use technologies affordable.”

Surabhi Mathur Visser, Head of Investments at SunFunder, said: “This is a pioneering transaction that demonstrates how productive use technologies like solar irrigation can be scaled up. SunFunder arranged this facility with a similar-minded group of lenders to support an innovative product and business model. We look forward to seeing SunCulture grow in Kenya and new markets.”

Karin Isaksson, Managing Director at NDF, said: “This loan to SunCulture is the second e[tended to a company graduating from the EEP Trust Fund managed by NDF. It is a clear demonstration that we can deliver on the new NDF Strategy and its commitment to provide flexible and scalable financing as well as catalytic impact. It has all the ingredients that define NDF’s added value in the climate financing landscape. It demonstrates our capability to convene and mobilise additional financing, as well as our unique mix of financing instruments to match the needs of our partners, public or private. We are proud to be standing with our partners and supporting the emergence of a greener economy, precisely at this time of COVID-19.”

“Since our first investment in 2019, SunCulture has made huge strides to unlock the potential of smallholder agriculture through innovative products and consumer credit. FEI-OGEF is happy to be able to refinance our inventory loan into this new working capital facility and continue that growth alongside a committed and constructive group of lenders,´ noted Harry Guinness from Lion’s Head.

Judith Santbergen, Senior Investment Manager at AlphaMundi, said: “Since 2018, AlphaMundi has successively provided support to SunCulture through a combination of technical assistance and debt investment. We are e[cited to continue and increase our investment in the company via this new, innovative working capital facility.”

Sjoerd Melsert, Senior Investment Manager at Triodos Investment Management, said: “SunCulture is a great e[ample of an innovative company that is active on the nexus of renewable energy and agriculture, using solar energy to increase farmers’ incomes. Our facility supports the further growth of SunCulture’s pay-as-you-go solar portfolio, leading to a more sustainable and higher production for smallholder farmers, which is fully aligned with the
mission, ambition and activities of Hivos-Triodos Fund.”

SunCulture

Download BAO E-MAGAZINE

 

Continue Reading

Ads

Most Viewed