Nigeria says floods in the Northeast part of the country have affected and displaced millions as humanitarian aid begins to provide relief for affected victims. David Stevenson, the Nigeria Country Director at the World Food Programme joins CNBC Africa to discuss ongoing discussions with private sector players to mitigate the impact on the country’s macro challenges.
Nigeria says floods in the Northeastern part of the country have affected and displaced millions as humanitarian aid begins to provide relief for affected victims. David Stevenson, the Nigeria Country Director at the World Food Programme joins me now to discuss ongoing discussions with private sector players to mitigate the impact on the country’s macro challenges. Thanks a lot for joining us on the show today, David. My pleasure. Now climate impact remains centre stage at the global scale at this point in time. Conversations are hinged on how do we accelerate and scale the sort of solutions we see here, be it adaptation and a whole lot more. But right now in Nigeria, like other African countries, we are recording increased floods. Let's talk about some of the feelings you've gotten, the catastrophic impact this has had, especially around the nation's food belts. Thanks David. So yes, climate change, increasing global temperatures, but mainly the impact of droughts, floods and storms. Here in Nigeria, we've got both. We've got some drought in some states, but more importantly affecting the country is floods. Up to 500,000 hectares have been wiped out of production. That's about a million tonnes of production has been wiped out due to flooding. The heart of the challenge is in Mataguri, in Borno State, where we had an overflowing of a dam due to excessive rainfall and the tragic consequences displacing about 400,000 people in Mataguri who were already displaced, not on their farms in Borno State due to the conflict-related challenges there. So they're being hit again and again and it's really tragic. Our operation is working around the clock to assist those people under the leadership of the government. President Tanubu has given a strong statement of support. Governor Zulum of Borno State has been on the front lines leading the relief efforts and we're working everything we can to meet the needs. We've already started hot meals for 50,000 people in Mataguri. Our helicopters have been running, United Nations World Food Program helicopters to get supplies out to inaccessible people that are trapped and that operation is going to continue for at least two weeks, a month, until the floodwaters recede and then we'll be back into the solutions agenda, which is so desperately needed to stabilise the region and put an end to the humanitarian needs. And talking about solutions now, you've also talked about the possibility of the waters receding earlier and then let's talk about coming out of the conflict-related issues as well. What's the World Food Program also doing within this regard? Well we're doing two things. We're meeting the needs of almost 2 million people, 1.4 million people, 1.5 million people in the Bay States, Borno, Adirondack, Yobe, and now working in the north-western part of the country, which is conflict-related, not Boko Haram and Iswa, but farmer-herder conflict-related issues, clashes, causing displacement and loss of farmland. So that continues to be a challenge, but more and more we're working on a solutions agenda, out of conflict into solutions. So we're working with the government and with partners to find ways to get farmers back on their farms, producing, and to become self-reliant, which is what they want themselves, a return to the dignity of production and jobs and self-reliance, and of course, which is what we're all looking for, to have a stable northern part of the region with a return to farming. Interesting thing is the opportunity is there. That part of northern Nigeria used to be the breadbasket for the country, even exporting food to neighboring Sahelian countries before the conflict displaced so many farmers. So the potential is there to return to production. The technology now exists. We need the stability for investment, and I'm confident that we will get there. But there needs to be peace and production, so the conditions first need to be there to really be able to encourage investment and advance that solutions agenda. Yes, I'm talking about advancing the solution agenda now. Let's talk about the engagement with the private sector here in the country. A whole lot of conversations have also centered around having the financial architecture work for key sectors of the economy here now. What are some of the feelings you've gotten, and how has this sparked new conversation lines in terms of action plans, timelines here? Well I'm in Lagos today, David, stopping by your studio, but really to attend a CEO conference of agro-producers, of course the hub of economic activity in Nigeria being in Lagos, so so many CEOs are based in Nigeria, producers and processors. So we've had a really good discussion guided by the NESG, the economic support group of the country, looking at how the private sector can be more dynamic and more involved on solutions, on policy and solutions, centered around data, the need for the country to have a vibrant data system so the private sector understands what are the consumption patterns of people, but what are the production opportunities of people, so that input and supply chains can be improved upon. So I think the private sector has a huge role to play, not only in the usual agro-business activities, but also more policy-related and helping the government lead policy, but do it with real-time information coming from the private sector. I like the fact that you've also introduced into the mix the angle of the policy thrust of this administration now, when we're talking about strengthening our supply chains now, this definitely speaks to some of the measures we've seen from the government. We have the 150-day free window for food imports, we also have some measures being taken to reduce the cost of fertiliser. What are the measures, recommendations, would you say the government should be looking towards right now to help cartelise the sort of recovery we should see within the agri-space across the different value chains? So the World Food Programme, and I myself as the representative, have a bit of a unique role in Nigeria, and we're a bit of a unique United Nations agency, because we're at the intersection between the private and public sector. In a good year, World Food Programme purchases about $100 million of food in Nigeria for Nigerians and for export, and we do that through the private sector, signing contracts with food suppliers, transporters and so on, and another $100 million into the agricultural economy through cash transfers and vouchers, where people themselves go to the market with the assistance we give them. So we learn a lot about the functioning of the agro-system, and we work both with the public sector and the private sector in lessons learned. So I've been very attentive to what's been happening in the last year, year and a half, in the agricultural economy. 2023 was a really good year for production, relatively stable prices, we had a vibrant purchasing market. President Tanubu, in inauguration, announced the end of the fuel subsidy, efforts to balance the exchange rate. Everybody that I talk to in the international community, and I think economists in country, generally support that policy thrust of the government, but we all knew it was going to be an adjustment. Just wrapping up the conversation, there are fresh price shocks at this point in time. Do you think Nigeria can beat the odds when it comes to stemming down of food inflation? Well, one of the drivers has been fuel price and pressure on the exchange rate. Fuel prices have gone up again, and there is continued pressure on the exchange rate. So that's going to take some time. I think it's going to take another 6 to 12 months to stabilize those macroeconomic factors. But the biggest solution has to be food production, and that's going to require getting the inputs, the seeds and fertilizers, out to the right farmers in the right place, a really vibrant and effective food supply, input supply, getting to the right farmers. Right now we're coming out of the wet season, we were expecting a relatively good harvest, now it's being affected by the floods, could be as much as a million tons of food, over 500,000 hectares lost to the floods. So I'm afraid we're not going to have the deflationary effect that we were hoping with this new harvest, but prices are starting to go down, 20-30% for some commodities in the last week, other commodities staying stable, so we're starting to see a decline in some prices. Prices are still up 100-200% though over where they were last year at this time. So production is the key, in order to have production we need the right supply chain, getting the inputs to the right farmers, and it needs to be also in the dry season, irrigated farming, so the policy of the government is rightly to have all year farming, the wet season now, the main season, but increasingly benefiting from irrigated, dry season farming for wheat, for rice, under irrigation. And really now we also have to look at how some nationals are positioning, especially when we are talking about the traditional food zones, and then what the new picture would look like for the new food zones. Thank you so much for your time on the show today David, it's been a pleasure speaking with you. That was David Stevenson, Nigeria Country Director at the World Food Programme.
Theme: Nigeria's battle against a food crisis exacerbated by floods and conflict, requiring concerted efforts from stakeholders to restore stability and enhance food security.
Nigeria is facing a dire situation as floods in the northeastern part of the country have impacted and displaced millions of people, creating a significant food crisis. David Stevenson, the Nigeria Country Director at the World Food Programme, has highlighted the catastrophic effects of the floods on the nation's food belts. The flooding has destroyed up to 500,000 hectares of agricultural land, resulting in the loss of about a million tonnes of food production. The situation is particularly severe in Mataguri, Borno State, where a dam overflow due to excessive rainfall has displaced approximately 400,000 people who were already affected by conflict-related challenges. The World Food Programme is working tirelessly to provide assistance to those in need, with President Tanubu and Governor Zulum actively supporting relief efforts. The organization has commenced hot meal distribution for 50,000 individuals in Mataguri and is utilizing helicopters to reach inaccessible areas with essential supplies. Despite these efforts, the road to recovery remains arduous, with a focus on restoring stability, peace, and food security in the region. The World Food Programme is also addressing the impact of conflict-related issues in the northwestern part of the country, working towards reestablishing farming activities and promoting self-reliance among communities. By collaborating with the government and various partners, efforts are being made to revive the agricultural sector and ensure a sustainable food production system. The influx of private sector engagement is seen as crucial in addressing the country's macroeconomic challenges and enhancing policy formulations. Discussions with CEOs of agro-producers in Lagos have underscored the need for real-time data and active private sector involvement in shaping solutions and policies. The World Food Programme views its unique position at the intersection of public and private sectors as instrumental in fostering economic growth and stability. Additionally, the organization's significant investments in food procurement within Nigeria have provided valuable insights into the country's agricultural landscape. While commendable efforts have been made by the government in stabilizing the economy, challenges such as fuel price fluctuations and exchange rate pressures continue to impact food inflation. The path to reducing inflation rates lies in boosting food production and ensuring efficient supply chain management. Although recent floods have disrupted agricultural activities, a concerted effort to provide support to farmers and promote irrigation-based farming for year-round production is essential. While price fluctuations remain a concern, signs of stabilization are emerging, indicating a potential decline in food prices. Nigeria's focus on enhancing agricultural productivity and establishing new food zones will be vital in overcoming the current challenges and securing a sustainable future for the nation's food security.
"Prices are still up 100-200% though over where they were last year at this time. So production is the key, in order to have production we need the right supply chain, getting the inputs to the right farmers, and it needs to be also in the dry season, irrigated farming, so the policy of the government is rightly to have all year farming, the wet season now, the main season, but increasingly benefiting from irrigated, dry season farming for wheat, for rice, under irrigation."
Nigeria, floods, humanitarian intervention, World Food Programme, agriculture, food crisis, private sector, economic challenges, food production, inflation