Fertiliser Subsidy Administration in Nigeria: Challenges and Prospects

Abstract

Fertiliser subsidy is one of the policy instruments that the Nigerian government is using to make  fertiliser available and affordable to farmers. However, in spite of the huge resources committed to the  programme over the years, the desired results have not been achieved. This paper examines the efforts of  the stakeholders and the challenges encountered. The review established that policy inconsistency, lack  of political will on the part of implementers of the programme and restricted role of the private sector  are the major factors responsible for the near-failure of the programme. The on-going Growth
Enhancement Support Scheme (GESS) of the Agricultural Transformation Agenda (ATA) presents some  hope in the light of the pilot scheme outcomes. It is thus recommended that government should adopt  hands-off approach and allow the private sector to take over the procurement and distribution of  fertilisers so that government can face its facilitating roles of infrastructural development, programme  supervision and quality control. It should also create the right policy environment for sustainable private  sector participation.