Fertilizer dealers disccuss fertilizer subsidy policy
Mr William Kotey, President of Crop Life Ghana, an umbrella group of importers and distributors of fertilizer in Ghana, has called on the Government to review the current policy guidelines on fertilizer subsidy to ensure its sustainability.
He said there should be a comprehensive plan to address pertinent issues concerning logistics and adequate transportation fees to transport fertilizers to farmers in the remotest communities.
Mr Kotey said this at a round table discussion in Accra on Tuesday to review the fertilizer subsidy policy for fertilizer importers and distributors on implementation guidelines. It was also find out their perceptions, challenges and contribution towards the sustainability of the programme.
Mr Kotey advocated the establishment of an agricultural fund to address some of the challenges faced in the sector.
The event was organised by the Peasant Farmers Association of Ghana and Ghana Federation of Agricultural Producers with sponsorship from STAR-Ghana, a civil society organization.
It brought together importers, supplier and distributors including: Yayra, Crop life Ghana, Golden Stock, GAIDA and Dizengoff.
Mr Justice Amoah, Director of Agric Extension Service, explained that the programme was targeted at all categories of crop farmers, including small, medium and large scale farmers.
He said the government had subsidised GH¢69.8 million worth of fertilizer for the 2011 farming season, which include Nitrogen Phosphorous and Potassium fertilizer (NPK) Urea and Sulphate of Ammonia.
He said fertilizer application in the country is one of the lowest in the world.
Mr Amoah said the strategy for the fertilizer subsidy included private companies selling the commodity through a competitive bidding process, with the Ministry of Food and Agriculture’s (MOFA) district offices serving as distribution points.
“The target is to increase fertilizer use rate to at least 50kg/ha as recommended in the medium-term agricultural sector investment of MOFA,” he added.
On monitoring and supervision, he said, district and regional directors in collaboration with the security agencies would make periodic visits to ascertain sales and stock levels, while regular checks would also be carried out by the Fertilizer Desk Officers.
Mr Amoah said the greatest challenge facing the programme was the smuggling of the fertilizer to neighbouring countries and urged the Government to encourage banks to provide credit facilities to the private companies involved in fertilizer distribution.
He called for more distribution channels to be set up in the remotest areas to increase fertilizer accessibility to farmers.
He said plans were advanced for the establishment of a fertilizer production plant at Shama in the Western Region to take advantage of the by-product from Ghana’s crude oil production.
Source: GNA