The 19 northern states of Nigeria have jointly established a commodity marketing company to cater for some agric commodities produced by farmers in the region.
At inception, the company is expected to focus on maize, cowpea, groundnut, cassava, soya beans, sesame seed, ginger and shear nuts.
The new commodity company was established under the auspices of New Nigeria Development Company (NNDC), a regional development finance institution owned by the 19 northern states.
A statement by the NNDC said the new company, which commenced operations yesterday, was incorporated on July 31, 2016 as a limited liability company and has its headquarters in Kano.
According to the release, the company will operate on a private-public partnership structure with the private sector and institutional investors having the controlling shareholding of 65 percent.
“The procurement process of the company will involve appointed Local Buying Agents (LBA) and the establishment of assembling/collecting points. Quality grading will be based on standards developed for each crop.
“Already warehouses have been identified for the purchased products,’’ the statement said.
It said the company has put in place a model to ensure that farmers get value for their products, adding that the prizing model will include farmers’ cooperatives and other stakeholders.
By Hussein Yahaya
Daily Trust News
