The Nation Newspaper

Category: Special Report

  • Nigeria’s long road to cash-less economy

    The use of Automated Teller Machines (ATMs), Point of Sale (PoS) terminals, web payment, online transfers and mobile phones for transactions are fast getting popular in Nigeria after years of reliance on cash payment writes COLLINS NWEZE

     

    THE Central Bank of Nigeria (CBN) introduced the cash-less payment policy seven years ago. This has promoted the use of Automated Teller Machines (ATMs), Point of Sale (PoS) terminals, web payment, online transfers and mobile phone transactions.

    Without this policy, Nigeria cannot be integrated into the world’s financial system.

    While pushing for the full use of the online payment system, CBN Governor Godwin Emefiele said for Nigeria to actively play at the world stage, “our payment system must be successfully benchmarked against the global best practices, as in most developed nations of the world.”

    The cash-less policy provides safe and efficient mechanisms for making and receiving payments with minimum risks to the CBN, payment service providers and end-users.

    The cash-less payment is catching on to the extent that even the lowly members of the society now do transactions online.

    There are even incentives to discourage the use of cash.

    The Nigeria Interbank Settlement System (NIBSS), collaborating with the CBN Committee of E-Banking Industry Heads (CEBIH) and banks in ensuring that bank customers that use their e-payment cards to pay for goods and services on PoS terminals and web platforms are rewarded with a cashback of 50 kobo for every N100 spent.

    This scheme allows cashback rewards to cardholders for using their cards to make payments on alternate channels.

    The benefits of shifting transactions to web-based platforms are clear. For customers, web-based platforms offer convenience, 24 / 7 access, and freedom of location. For Nigeria’s banks, the shift promises the opportunity to improve service delivery and achieve a lower cost-to-serve.

    A pointer to the success of the cash-less policy is the internet and social media penetration in Nigeria. The internet is the purveyor of cash-less transfers.

    The country is estimated to have more than 148 million mobile telephone subscribers and at least 92 million of them access internet data services on their devices.

    About one-third of Nigeria’s population is now under 24 years old and the middle-class population is growing.

    The use of social media channels is rising significantly. Platforms such as Facebook, Watsaap, Instagram, Twitter, LinkedIn and Tumblr are widely used by Nigerians to communicate with friends and follow up on what is going on around the globe.

    Indeed, a survey showed that 77 per cent of Nigeria’s banking customers now use social media for personal purposes

    However, despite the campaign by the CBN and the statistics of internet access and social media use, cash is still king in Nigeria.

    Many people – mainly outside the big cities – want to touch their cash as clear evidence that their services or goods have been paid for.

    For this category of people, cash transfer is not convincing enough that payment has been made. Besides, a lot of people keep cash at home which they move around to transact their business in spite of the inherent danger in doing so.

    This shunning of e-payment is not limited to the financially lowly in society.

    A recent survey by Visa International showed that high net-worth account holders neither own nor use ATM cards. The survey showed that the more the people earn, the less they own and use debit cards. Majority of the rich, the survey showed, think that avoiding debit cards is the best way to stay protected from online frauds.

    Just 42 per cent of Nigerian banking customers said they use online banking platforms for one or more banking activities. And just 40 per cent said they have interacted with their banks using social media in the past.

    According to NIBSS data, of the 120.9 million bank accounts in the country, only 74 million are active as at January 2019 while there are 37.4 million Bank Verification Number (BVN) enrolled customers. The total active BVN across all banks is 29.4 million.

    However, the NIBSS data showed that Nigerian banks did N1.5 trillion worth of transactions on 56,102 ATMs between January and March this year. The transactions were done in 203 million deals.

    Also, N107.6 billion was transacted through web payment and N810.1 billion through mobile money.

    This explains that although Nigeria is racing on the e-payment track, the statistics are still low when compared with what is obtainable across the world.

    For instance, the cashless society is fully in action in Sweden. By one estimate, only one per cent of the Swedish economy operates on bills and coins. The New York Times reported that only about one in 10 Swedes paid for anything in cash last year.

    Part of the reasons why the rich shun card usage is the fear of cyber fraud. The CBN has promised safe, secure and seamless operation of the cash-less policy with the use of the big stick to sanction banks, mobile money operators, payment solution providers and other financial institutions for electronic payment infractions

    KPMG Nigeria reviewing a survey it conducted said the onus is on the banks to get their customers to buy into the cash-less payment system.

    It explained that to succeed in today’s banking environment, banks need to understand their customers.

    “Banks need to ask them what is important to them in a banking relationship, the channels they currently use and what channels they would like to use and how their current banks compared to their expectations,” it said.

    Partner, KPMG in Nigeria and Head of Financial Services Africa, Adebisi Lamikanra, said a lot had changed in Nigeria’s banking industry in the past three years.

    She said customers are still concerned about financial stability; but what they primarily want from their banks is enhanced high-quality service, more innovation and greater convenience.

  • Economy…The challenges to come

    The 2020-2023 Medium Term Expenditure Framework and Fiscal Strategy Paper warns that there will be challenges to the economy during these periods. Assistant Editor NDUKA CHIEJINA examines the strategy paper

     

    THE 2020 – 2022 Medium-Term Expenditure Framework and Fiscal Strategy Paper (MTEF/FSP) outlines the Federal Government’s fiscal policies/strategies and macroeconomic projections for 2020 – 2022. It also provides a broad framework for the annual budget in line with the Fiscal Responsibility Act (FRA), 2007.

    In crafting the 2020-2022 MTEF/FSP, the government said it expects “more diversified and inclusive growth over the medium-term, and reduction in the rate of unemployment, as we continue to implement the priority policies and programmes that will boost inclusive growth.” This is because President Muhammadu Buhari said employment would be a key focus of his second term.

    Finance and National Planning Minister Zainab Ahmed, while presenting the MTEF/FSP document, added that success has been recorded in containing the insurgency in parts of the Northeast with economic activities recovering. However, recurring conflicts between farmers and herdsmen in some parts of the country, as well as incidences of flooding, have affected agricultural production.

    She added that “militancy in the Niger Delta has generally abated, although breaches of pipelines still regularly occur. This was partly responsible for the lower than projected oil production volume in the first half of the year. Except for a few months, inflation has continually declined since January 2017 from 18.72% to 11.08% in July 2019.”

    Key assumptions

    The Underlying Assumptions of the 2020 – 2022 MTFF projects that oil production volume will average 2.18mbpd for 2020. Although this is lower than the projected oil production volume of 2.3mbpd for 2019, Mrs Ahmed said: “We believe that this is a more realistic projection. For 2021 and 2022, the projections are 2.22mbpd and 2.36mbpd respectively. Actual daily crude oil production and exports have been well below budget projections since 2013, despite the installed capacity of up to 2.5mbpd, for many reasons.”

    A lower benchmark oil price of $55/b (against $60/b for 2019) was also projected because of “the expected oil glut in 2020, as well as the need to cushion against unexpected price shock. There are strong indications of an oversupplied market in 2020.”

    All three of the major forecasters – Organisation of the Petroleum Exporting Countries (OPEC), International Energy Association (IEA) and the U.S Energy Information Administration (EIA) generally see non-OPEC production growing by around 2mbpd this year, and by even more next year. U.S. shale oil accounts for most of the total supply increase, but new projects in Norway, Brazil and Australia will also contribute to the increase in non-OPEC supply. Also, market sentiments do not support an expansion in demand. The growth in demand for OPEC oil specifically is projected to slow down next year.

    Real GDP growth rate projections are put at 2.93 per cent, 3.35 per cent and 3.85 per cent for 2020, 2021 and 2022.

    “Even though this falls short of the ERGP projection, the trajectory remains in the right direction,” Mrs Ahmed said.

    On the expenditure side of the framework, the minister said the government has tried to keep most expenditure items as low as possible. The Federal Government, she said, has proposed a budget estimate of N9.789 trillion for next year. For the next two years, she stated that N10,110,193,322,738 will budgeted for 2021 and N10,418,391,196,907 for 2022.

    There will be a sustained growth of statutory transfers of N526,456,288,013 in 2020, N560,165,806,678 in 2021 and N602,577,931,995 in 2022. For debt servicing in the next three years, N2,452598,930,000 will spent in 2020, N2,737,051,570,000 in 2021 and N2,942,639,740,000. To settle matured government obligations like bonds and Treasury Bills (TB), under the sinking fund item, government plans to spend N296,000,000,000 in 2020, N220,000,000,000, in 2021 and N286,670,000,000.

    For three years, the Presidential Amnesty Programme will gulp N65 billion annually from 2020 to 2022. Projections for the entire Service Wide Vote (SWV) comprising transfers to NBET and GAVI Immunisation, in the next the three will gulp N1,371,552,510,357.

    Mrs Ahmed said 2020 to 2022 fiscal years would be very challenging concerning revenue generation and rapid growth in personnel costs. She attributed the growth in personnel cost to the creation of new ministries and appointment of additional ministers.

    The finance minister was confident that the government will take firm decisions to address the revenue shortfall and increasing personnel cost. To contain rising personnel cost, she disclosed that “any government staff not captured in the Integrated Payroll and Personnel Information System (IPPIS) by October 2019 will not be paid.”

    A development economist and financial expert, Mr Odilim Enwegbara, who serves as Chairman/CEO at Pan Africa Development Corporate Company (PADCC) said: “The economy is not growing because of political instability and insecurity now a commonplace.”

    According to him, “the continued over-centralisation of the economy which is the basis for revenue collection, remittances and distribution centralisation has made it easier for tax evaders to exploit as well as for tax collectors to fail to remit government collected taxes. So, understandably, diversion of taxes especially value-added tax is unbelievably so high. So the revenue crisis becomes inevitable.”

    Enwegbara added that “besides poor economic performances, causing revenue crisis, it is the nonexistence of modern tax collection and remittance infrastructure that has been the real basis for government’s inability to collect taxes. Hence, the focus on borrowing against tax. This has increasingly endangered the economy to the extent that today our debt service to revenue ratio is at 70% — and expected to reach 80% before the last quarter of 2020. This ratio has become the highest amongst peers’ economies, causing foreign investors to now systematically avoid Nigeria’s economy and its looming bankruptcy.”

    To address these challenges to revenue, Eweagbara identified some steps to be taken to include investing in “Easy VAT technology which makes it impossible for VAT evasion, let alone VAT diversion. FIRS is already in possession of the proposal which by blocking the current loophole which is as high as 70% will bring in extra trillions of naira into the TSA.”

    This, he said, “is beside the proposed increase of VAT from the current 5% to 7.20%. Even though our VAT rate ought to be as high as 15%, at least let’s start at 7.20%. The only problem is that once you increase VAT at a time there’s no corresponding growth in citizens’ purchasing power, consumption of certain products will drastically reduce and this will lead to laying off of workers as factories begin to witness larger part of the products unsold. This too will lead to fewer companies paying fewer taxes to the government. Also, there’s an element of inflation. Most important, as a result of high tax evasion, the economy becomes unfair to those who are ready to pay tax against those who evading tax.”

    From 2020, the budgets of all MDAs and Government Owned Enterprises (GOEs) will now be contained and published in the nation’s annual budget.

    In 2020, the Federal Government plans to cut N1.16 trillion off capital expenditure from N2.92 trillion in 2019 to N1.76 trillion in the proposed 2020 budget.

    This will then see capital expenditure dropping to 21 per cent of total expenditure in 2020 compared to 32 per cent in the 2019 approved budget.

    The minister said Nigeria is planning to trim its budget for 2020 marginally by 0.19 per cent to N8.90 trillion, as against the N9.16 trillion approved by lawmakers for 2019.

    The government approved a 34 and 66 per cents capital/ recurrent expenditure fiscal policy in 2018 and 32 and 68 per cents in the approved 2019 budget.

    Details of the medium-term expenditure framework (MTEF) and fiscal strategy paper (FSP) 2020-2022 showed that capital expenditure will suffer successive cuts for the three-year period to N1.76 trillion, N1.70 trillion and N1.68 respectively for 2020, 2021 and 2022 despite increases in total expenditure at N8.6 trillion, N8.98 trillion and N9.4 trillion during the same period. Recurrent on the other hand is expected to increase from N3.41 trillion in 2018 to N4.7 trillion in 2019.

    In the coming year, the government plans to borrow N1.7 trillion in 2020. Of this amount, N850 billion will be domestic borrowing while the balance of N850 billion will be from foreign borrowing.

    “The draft 2020-2022 Medium Term Fiscal Framework shows that Nigeria faces significant medium-term fiscal challenges, especially concerning revenue generation and rapid growth in personnel costs,” the minister said.

    Thus, key reforms, such as the Strategic Revenue Growth Initiative (SRGI), will be implemented with increased vigour to improve revenue collection and expenditure management.

    Mrs Ahmed added: “In furtherance of our objective of greater comprehensiveness and transparency in the budget process, it is proposed that the FGN budget from 2020 will reflect the revenues and expenditures of GOEs and the multi-lateral/bi-lateral project-tied loans and related expenditures.”

    2020 and the following years will be interesting. As the finance minister warned that the year will be challenging, she announced that 35 state governments would start refunding the N614 billion bailout/budget support fund extended to them a couple of years ago. The government, she said, will start recovering the N614 billion budget support facility from state governments this month.

    States, the minister said, will start getting direct debits from their monthly Federation Account Allocation Committee (FAAC) disbursements.

    According to her, “the recovery process for us is to deduct from the FAAC allocation to the states and then we remit to the CBN and we are going to start these remittances by the next FAAC” which will hold in two weeks.

    To show how serious the government is about making the deductions, the finance minister revealed that “there will be no requirement for us to consider the FSP implementation. We do that as a matter of wanting the states to stay on the path of fiscal sustainability but it will not be a condition for the deduction. We will deduct direct at source and remit to the CBN.”

    “The N614 billion bailout funds to states is not going to form part of the revenue for funding the budget, it was a loan which was advanced by the CBN and the repayment will be made to the CBN.”

    Last month, a committee was put in place to facilitate recovery of N614 billion given to 35 states. 35 states benefited from the facility, and each state is expected to pay back the equivalent of N17.5 billion.

    On the N650 billion to the states the minister spoke about, it was conditional budget support provided by the CBN to help states pay salaries gratuities and pensions. CBN provided N650 billion in loans at 9% with a grace period of two years. The Federal Ministry of Finance helped in disbursements with documented approval by the presidency. That was why the finance minister said the money belongs to the CBN and is going to be paid into CBN account.

    With regards to incentives and waivers given to investors, the finance minister said: “We have too many incentives and too many waivers. But our partners in the trade will not necessarily agree with us. We also agree that there has to be a review of the pioneer status certificate issuance process because the waivers and the incentives are costing us a lot.”

    She cautioned that government will not just withdraw its decision on granting pioneer status accorded to some investors, adding that “when a decision has been made and approvals have been given, and a private business makes an investment decision based on those incentives, you can’t pull it out overnight. So, there has to be a period within which the commitments that have been made are allowed to exit before you impose new conditions.”

    She added that the government is “currently reviewing the quantum of waivers. The idea is to see which one we can begin to pull back and throw away from the pool to reduce the cost of government. But to encourage businesses and to make Nigeria competitive, some of them are essential.”

    With Nigeria joining other African countries to sign the agreement establishing the African Continental Free Trade Area (AfCFTA), there could be tremendous opportunities for Nigeria in the medium term. However, the AfCFTA could also create a nightmare situation for the country unless the right policies and actions are implemented expeditiously to improve Nigeria’s economic competitiveness.

    An economic expert, Mr Tope Fasua, noted that “the figures are depressing really because from the plans between now and 2022 there is nothing to look forward to.”

    He described the MTEF and the proposed 2020 budget as “very dismal…precisely they want to do the same N8.9trillion next year N9.3trillion the year after 2021and of course N9.7trillion for 2022 and what that means is that the rate of growth in the budget is much lower than the rate of inflation and that’s scary.”

    Fasua proposed that “we should try and increase our budget at least by the rate of inflation. Every body’s salary should increase year on year by the rate of inflation to cover for inflation, that’s how it’s done every year.”

    The rate of growth in the budget, he said, “is bizarre and again other things I noticed includes that we are going to have a continued deficit financing as a matter of fact, we are doing 27 per cent deficit financing this year but we want to do 28 per cent deficit for next year 29 for 2021 and 20 per cent for 2022. Now if you look at the fact that we are going into AfCTFA and of course we are even talking about the West African Monetary Union, there is a standard that needs to be maintained in terms of yearly budget deficit 27%, 28%, 29% is way above that limit and in fact its only recently we started having this kind of budget deficit because normally you usually want to keep your budget deficit around 3% to 6%. 10% should be too high, I don’t know where we are going if you ask me it’s a bit really scary. We want to have some clarification.”

    With regards to borrowing, Fasua said: “N1.6tn this year, 1.7tn next year and 1.3tn in 2022 and I see that the borrowings are intended to be split 50:50 between local and foreign borrowing. That means we are not getting out of this borrowing circle. I think the pressing thing is that the projections are bleak.”

    He advocated for “fundamental thinking to take us out of this kind of a spiral, we need to take ourselves out of the spiral; we need to be able to reduce our deficit budget substantially.”

    According to him, “we need to begin to look at other sources of funding our budget beyond our borrowing as well. Remember that we went into the recent recession in 2016, chances are with the way this budget is done, it’s quite fragile that if any of the projections are missed and of course the major projection here is crude oil prices which they have targeted at $55 for the MTEF going forward because the ministry has also said that they expect there to be an oil glut by 2020 which is what OPEC projects.”

    Fasua feared that if there is any major shift or even a slight shift in the negative, the country would go into recession.

  • 2019 African Games fallout: Nigeria’s bumpy ride to ‘glory’ in Rabat

    Despite not having the best of preparation and competing for honours with fewer numbers of athletes at the Rabat 2019 African Games in Morocco, Team Nigeria finished second behind Egypt, nearly equaling the number of medals won at the 2015 edition in Congo Brazzaville. OLALEKAN OKUSAN and AKEEM LAWAL, who covered the African version of the Olympics, x-ray the exploits of the 308-man team.

     

    AT the 2015 edition of the African Games in Congo Brazzaville, Nigeria had 573 athletes competing in 21 sports and finished second with 47 gold, 55 silver and 42 bronze medals. But at this year’s edition in Morocco, with 308 athletes made up 153 men and 155, Team Nigeria featured in 22 sports to finish in second place, amassing 46 gold, 33 silver and 48 bronze medals. 13 of the 22 sporting events contributed the medals with weightlifting contributing the largest number of medals to Nigeria’s second spot finish.

     

    Weightlifting produce bag of goodies

    Unlike what happened at the 2015 edition when athletics produced the bulk of the country’s medals, it was weightlifting that delivered a bag full of medals with 16 gold,13 silver and 18 bronze medals. Parading some of the youngest weightlifters in the competition, Nigeria finished four medals short of the 51 medals (16 gold, 24 silver and 11 bronze), won at Congo Brazzaville in 2015.

    Egypt continued their dominance in weightlifting for the second consecutive edition of the Games with 56 medals (31 gold, 20 silver and five bronze). The event held at the Salle Nahda Sports Hall in Rabat, saw fast-rising Emmanuel Appah carting home the three gold medals in the men’s 61kg category -Snatch (120kg), Clean-Jerk (151kg) and totalling 271kg to pick his third goal medal. Appah, who won three gold medals at the 2014 African Youth Games in Gaborone, Botswana and silver at the 5th Commonwealth Youth Games (CYG) held at Apia, Samoa in 2015, showed his quality as a star to look out for at the 2020 Olympic Games in Tokyo.

    Joy Eze Ogbonne took a cue from Appah with three gold medals in the women’s 64kg – clean and jerk (121kg), Snatch (97kg) and polled a total of 218kg for her third goal medal. Also, Folashade Lawal claimed three gold medals in women’s 59kg competition (210kg), Clean-Jerk (117kg) and Snatch (93kg). Fatima Musa also contributed three gold medals in Women’s 81kg (219kg), Clean-Jerk (122kg) and Snatch (97kg), while Adijat Olarinoye won two gold in Women’s 55kg (209kg) Clean-Jerk (116kg) and silver in Snatch (93kg).

    There was no doubt that Nigeria weightlifters showed class in Rabat and this would surely put the country in a good position for medals in Tokyo.

    Athletics live up to expectation

    Nigeria maintained her stronghold and continued her dominance in the athletics event by emerging tops with 23 medals (10 gold, seven silver and six bronze).

    This is a better performance than the 2015 edition of the continental showpiece where Team Nigeria won the event with a total of 21 medals (8 gold, 9 silver and 4 bronze)

    The peak of Nigeria’s achievement in athletics in Rabat came in the men’s 100m, where Raymond Ekevwo emerged as the fastest man on the continent after winning the final in a record time of 9.96secs at the Moulay Abdellah Sports Complex. The Ughelli-born sprinter, who also qualified for the Tokyo 2020 Olympic Games, became the first Nigerian male athlete in 12 years to win the 100m at the African Games since Olusoji Fasuba achieved the feat with 10.18s in 2007 in Algiers.

    Ekevwo also teamed up with the trio of Divine Oduduru, Emmanuel Arowolo and Itsekiri Usheoritse in the men’s 4x100m final, but the quartet could only settle for silver after finishing behind Ghana.

    It was, however, 20-year-old triple jumper Grace Anigbata who won Team Nigeria’s first gold in the track and field events. She leapt to a distance of 13.75m ahead of 14 other contestants to write her name in gold. Long jumper, Ese Brume finally cemented her position as the queen of long jump in Africa by winning gold in Rabat. The 23-year-old Glasgow 2014 Commonwealth Games gold medalist narrowly missed out of Games’ record of 6.70m as she leapt a distance of 6.69m to claim the top prize.

    In the discus, 25-year-old Chioma Onyekwere secured her position as the best on the continent by throwing a distance of 59.91m on her fifth attempt to win gold ahead of South Africa’s duo of Yolandi Stander (57.75m) and Iscke Senekal (53.95). The reigning champion has also won two continental titles for Nigeria within 12 months.

    Commonwealth Games Silver medalist Chukwuebuka Enekwechi also registered Nigeria’s name in the gold medal section by winning the men’s shot put event. The 26-year-old reigning champion broke Frank Elemba’s Africa Games record of 20.25m to set a new one of 21.48m, a mark he achieved on his last attempt. Also, Africa’s 110m hurdles champion Tobi Amusan ran a 12.68s retains her title in the women’s event. The 22-year-old surpassed Glory Alozie’s Africa Games record of 12.74s which was set two decades ago in Johannesburg, setting a new one of 12.68s (-0.6) to win the event’s gold medal.

    National Record holder in the women’s Javelin, Kelechi Nwanaga also defended her Javelin title, throwing a distance of 55.88m to be crowned the African Games champion for the second consecutive time.

    After a disappointing 5th place finish in the final of the women’s 400m, multiple national champion, Patience Okon-George had a consolation with a gold in the women’s 4x400m. Okon-George and the trio of Kemi Francis, Blessing Oladoye and Favour Ofili ran the race of their lives 3:30.32 to finish ahead of Botswana (3:31.96) and Uganda (3:32.25).

    It was also a good outing for United States-based Sade Olatoye who competed in the women’s shot put in Rabat and punched her ticket to the IAAF World Championships with a first-place finish. Her first-round attempt of 16.61m was good enough for the gold medal, while she also added a bronze in the hammer throw with a distance of 16.61m.

    Wrestling delivers as usual

    Prior to the games, there was optimism that wrestling would deliver and true to the expectation, wrestling mopped up several medals with the women the greater contributor to the feat. The Nigeria Wrestling Federation (NWF) paraded 16 wrestlers competing in freestyle and Greco-Roman events. The sports amassed 12 medals made up of seven gold, four silver and one bronze medal.

    At the 2015 African Games in Congo Brazzaville, 23 wrestlers won 19 medals which included nine gold, five silver and five bronze medals – comparatively one of the highest medal-winning sport at the Games. But in the 2019 edition, Nigeria dominated the female event, as usual, winning five gold and a silver medal. The men contributed two gold and three silver medals in the freestyle and a bronze in the Greco-roman event.

    Nine-time Africa champion, Blessing Oborududu (68kg), World Championship silver medalist, Odunayo Adekuoroye (57kg); two-time Commonwealth champion, Aminat Adeniyi (62kg), African champions Mercy Genesis (50kg) and Blessing Onyebuchi (76kg) delivered the gold for the country, while Bose Samuel (53kg) won the silver medal.

    In the men’s freestyle event, multiple African champions, Daniel Amas (65kg) and John Emmanuel Ogbonna (74kg) won gold, while Soso Taramau (97kg), Ebikwenimo Welson (57kg) and veteran Sinivie Boltic (125kg) settled for a silver medal. The only medal in Greco-roman was a bronze medal won by Tochukwu Okeke (87kg).

    Canoeing shines

    Despite being an unpopular sport in the country, the canoeing team made their presence felt at the Games. Nigeria finished second in the event with four gold medal behind South Africa, who amazed 10 medals made up of eight gold, one silver and one bronze medals.

    Ayomide Bello was the brain behind the feat as she was involved in all the four gold medals won in the canoeing event. Bello finished with the time of 50.517sec to win the gold medal in the Canoeing C1 200m women final. She also combined very well with Goodness Foloki to secure the second gold medal for Nigeria in the C2 200m women final with a time of 48.793secs. She also her won a third gold medal in the C1 500m before teaming up with Foloki again to secure another gold medal in the C2 500m women’s final.

    Mixed fortune for football

    It was a case of mixed fortune in football event as the female U-20 team was unbeaten in Raba

    t to claim the gold medal defeating Cameroun 3-2 on penalties in the final. But it was not the same story for the men as they were beaten 2-0 by Burkina Faso, with the Nigerians settling for the silver medal. With this result, the Nigerian team is still awaiting its first goal medal since winning it in the 1973 edition in Lagos 46 years ago.

    Taekwondo made an impact

    Taekwondo claimed the first medal for Nigeria at the Games but the team made up of 16 athletes (eight men and eight female) managed to contribute six medals with Chinazum Nwosu claiming the only gold in the women’s 49kg, while the team also raked in five bronze medals.

    Missed chance for table tennis

    Despite beating its one gold medal tally at the 2015 edition, table tennis missed a rare chance in Rabat after Nigeria failed to beat Egypt to the Tokyo 2020 Olympic Games tickets in the team event (men and women).

    Olajide Omotayo set a new record in the men’s singles after beating compatriot – Aruna Quadri 4-2 to win the gold medal in his maiden outing at the games. Also, the duo of Edem Offiong and Cecilia Akpan reclaimed the women’s doubles title after defeating their compatriots – Olufunke Oshonaike and Fatimo Bello.

    Table tennis being of the exciting events at the games lived up to its billing, while tennis, Karate, boxing, basketball, badminton and gymnastics also gave Nigeria some medals at the games. However, the likes of Blessing Okagbare and Oduduru failed to live up to pre-tournament hype.

    Minister looks up to the future

    Impressed with Team Nigeria’s performance in Rabat, the Minister of Youth and Sports Development, Sunday Dare pledged that the country would break the jinx of not winning a gold medal since Sydney 2000. He commended the contingent for a job well done, while promising to work with relevant stakeholders to ensure Nigeria excels at the 2020 Tokyo Olympics.

    “This is a team of champions, they have been professional and committed in spite of all odds, and they came out tops just behind Egypt on the medals table. The result in Morocco signposts what is going to happen at the Tokyo Olympics, We will go there and win not just one gold, but gold medals by the grace of God. This is a team that is very inspiring and we intend to keep them together,” Dare stated.

    Aware that the task of winning gold medals in Tokyo is a tough one, the Minister promised a better preparation ahead of the Olympic Games in Japan. “I won’t be the minister of football alone, but for all the sports in general, and I have seen some sports here that need total support. Hence, we will give them all the necessary support they need, but I can assure you football won’t suffer.’’

     

  • Siasia’s mother’s 59 days in captivity

    The whereabouts of Beauty Ogere, the mother of a former  Super Eagles Coach  Samson Siasia, remain a mystery. Security agencies, especially the police headed by Commissioner Uche Anozia, seem helpless over the abduction of the 80-year-old, writes MIKE ODIEGWU

     

    NOTHING has been heard from the police since July 15 when Beauty Ogere, the mother of a former skipper and Coach of the Super Eagles, Samson Siasia,  was violently taken away from their family bungalow at Odoni community in Sagbama Local Government Area, Bayelsa State.

    It has been traumatising for the family of Siasia. For over 50 days, their aged mother is nowhere to be found. They are not aware of her condition and the kind of treatment she is receiving from her captors. They wonder whether the hoodlums are able to buy her drugs because she was said to be sick when she was taken away.

    The family members and sympathisers are also worried about how the woman is coping with the inclement weather characterised by constant rains and cold. Could she still survive the abduction? They queried.

    In fact, people are not happy that members of the public seem to have forgotten the octogenarian Ogere. No comments from activists and commentators even on social media. Nobody is championing the freedom of the aged Ogere. Have they suddenly forgotten that she is the mother of the famous Siasia, a footballer and coach that brought glory and laurels to the country?

    Samson Siasia played 51 international matches for Nigeria. He scored 13 goals and was part of the team that participated in the 1994 FIFA World Cup and won the 1994 African Nations Cup.

    He was also a member of the Nigerian team that won bronze at 1992 African Nations Cup in Senegal. He participated in the National Team over a period of 11 years and was recognized in Nigeria as the third-leading scorer for the National Team. Among all his coaching careers, he managed the Super Eagles from 2010 to October 2011. He was reappointed in 2016.

    But Siasia’s mother has been in kidnappers’ den for over 50 days. This is not the first time Ogere is suffering in the hands of kidnappers. In November 2015, she was abducted. She was later released 12 days following payment of about N.6million to the kidnappers.

    But this time there seems to be no hope for the aged woman. People are not, however, happy at the way the police have so far handled the matter. The commissioner of police beyond the usual refrain of investigating the matter has not been able to present any concrete evidence of the investigation. No arrest has been made and no clue yet as to the whereabouts of Ogere.

    Mr. Dennis Siasia, the younger brother to  Samson Siasia had while confirming he abduction of her mother said the abductors whisked her away without her high blood pressure drugs.

    Two days after the incident, the kidnappers established contacts with Siasia’s family and demanded N70m to set the victims free.

    Siasia, however, begged the kidnappers to set his aged mother free unconditionally saying he was out of job and had no such money to pay them.

    But a family member said the kidnappers brought down the ransom from N70m to N50m without consideration to the health of the woman.

    But the hoodlums have been allowed by the police to operate with impunity. Recently, the abductors of Beauty Ogere released one of their victims, Florence Donana.

    The 66-year-old Donana was abducted the same day Siasia’s mother was kidnapped. Donana was abducted alongside her 17-year-old granddaughter by the hoodlums, who first broke into the family house of Siaisia to seize Ogere at 2 am.

    Following prolonged negotiations between the families of the victims and the hoodlums, the kidnappers only released Donana, whose family paid some ransom.

    A source from the community, who spoke in confidence, said the Donana family negotiated the undisclosed amount of ransom with the kidnappers and sent someone to deliver the money to them. He said the kidnappers collected the money, held the ransom payer captive and released only the aged Mrs. Donana.

    “The 17-year-old granddaughter was not released. The mother of Siasia was also not released because the family had yet to agree on ransom. They are still holding three persons captive”.

    The source, however, lampooned the police leadership headed by the Commissioner of Police, Uche Anozia, for not living up to its duty on the matter.

    He said the kidnap case had exposed the current state police leadership as clueless and wondered why the octogenarian mother of Siasia could spend 50 days in kidnappers’ then without the police bursting the crime.

    “It seems the commissioner of police has forgotten this case. The kidnappers are having fun, tormenting the families of their victims and acting with ease and impunity yet the police have said nothing on this case.

    “They have no clues and nobody has been arrested. It seems nothing happened in Bayelsa. It is really bad. Maybe the Inspector-General Police should intervene by sending a special force to crack this crime”, he said.

    Residents and the Bayelsa State Chapter of the Sports Writers Association of Nigeria (SWAN) raised concerns on the whereabouts of Ogere.

    Residents said it was a sign of incompetence on the part of the police and other security agencies to allow the 80-year-old woman to be in kidnappers’ den for over 25 days.

    They lamented that the silence of the police and other security agencies was disturbing and asked the security commanders in the state to either free the woman or resign their positions.

    Some of the residents derided the security architecture in the state for their lacklustre and alleged unserious attitude on the case of Siasia’s mother.

    Bayelsa SWAN said it was disturbing that several weeks after her abduction, Ogere Siasia is still being held hostage by suspected kidnappers.

    The Chairman of SWAN, Alambo Datonye said: “Since the woman’s kidnap on July 15 at her country home at Odoni in Sagbama Local Government Area of the State, the old woman is still languishing in the hands of her abductors.

    “This should not happen to anyone talkless of an aged mother of Coach Siasia who brought joy to millions of Nigerians and Bayelsans as a player and a tactician donning the national colours, bringing glory to the country.

    “We, therefore, call on the kidnappers to release Madam Ogere Siasia unconditionally and reunite her with her loved ones.

    “We also urge security agencies and government to act swiftly and efficiently to ensure the release of the woman and others that are being held against her will.

    “No sane society develops with individuals held against their will, with the perpetrators of this unconscionable act getting away scot-free. The pain and trauma of the Siasia family are going through is better imagined than experienced.

    “As concerned members of the society, SWAN in Bayelsa call on the relevant agencies to be alive to their responsibilities of safeguarding the lives of every citizen and bring to a halt criminal activities such as kidnapping which is antithetical to the very essence of our collective humanity.”

  • How Nigeria loses billions to crude oil theft, pipeline vandalism

    In spite of the efforts being made by security agencies, oil companies and other critical stakeholders, Nigeria is still losing thousands of barrels of crude oil daily to pipeline vandalism and theft, writes BISI OLANIYI, Southsouth Bureau Chief

    The administration of President Muhammadu Buhari is planning ahead of Nigeria without crude oil, by heavily investing in agriculture, industrialisation and manufacturing, but the country currently depends mainly on funds from the sale of crude oil and gas from the Niger Delta for sustenance.

    The Niger Delta consists of nine states of Rivers, Bayelsa, Delta, Edo, Ondo, Akwa Ibom, Cross River, Imo and Abia, but criminal activities, especially pipeline vandalism, illegal bunkering, sea piracy and crude oil theft are more pronounced in Rivers, Bayelsa and Delta states.

    In the days of militancy in the Niger Delta, before the 2009 amnesty offer to the repentant warlords by the administration of the late President Umaru Yar’Adua, the camps of the militant “Generals” were more in the creeks of Rivers, Bayelsa and Delta states, leading to heavy destruction of pipelines, stealing of crude oil, illegal refining of petroleum products, cultism and kidnapping.

    There were then frequent cases of fully-armed militants in military uniforms, who would storm flow stations and other facilities of oil companies in the creeks of Niger Delta, killing soldiers, naval personnel, policemen, officials of Nigeria Security and Civil Defence Corps (NSCDC) and operatives of the Department of State Services (DSS), thereby carting away their arms and ammunition.

    There were also incidents of the militant “Generals” moving around the creeks of Niger Delta in gunboats and sophisticated weapons, which were either bought or taken from the killed security personnel.

    Activities of oil thieves and pipeline vandals in the Niger Delta led to a drastic reduction in the production of crude oil and gas, thereby affecting the nation’s economy and powering of electricity-generating plants across Nigeria.

    The timely amnesty initiative greatly addressed the challenges in the Niger Delta, with the warlords surrendering unbelievably large quantities of arms and ammunition, with peace gradually returning to the region, while the repentant militants are being empowered through various skills’ acquisition programmes and further studies in tertiary institutions in Nigeria and overseas, with monthly stipends still being paid to the ex-warlords.

    Despite the efforts of the Federal Government to restore peace to the hitherto volatile Niger Delta and boost the production of crude oil and gas, many criminals are still breaking pipelines and deeply involved in illegal (artisanal) refining of crude oil, to produce mostly diesel in the creeks, popularly called Kpofire, which easily damages engines, while the illegal refining destroys and pollutes the environment with spills, with many of the vandals also losing their lives in the process.

    There had been cases of some Niger Delta communities where almost all the residents would be involved in crude oil theft and pipeline vandalism, thereby making it impossible for the crimes to be reported to the security agencies for arrest and prosecution.

    Some monarchs, chiefs and leaders of communities in Niger Delta are also involved in the criminal activities for pecuniary benefit.

    The oil thieves and pipeline vandals surely have very powerful and highly influential sponsors, considering the cost implication of the illegal activities, while the sponsors also influence the release of most of the criminals when arrested by security personnel.

    Most pipelines of oil companies are buried, but the criminals will still dig deep, mostly at night, to connect their pipes and hoses to move the stolen crude oil to their illegal refining sites or for loading into Cotonou boats and vessels, for sale to foreign collaborators, who are always on standby and are ready to offer cash or arms and ammunition in exchange.

    The security agencies regularly arrest the illegal bunkerers and pipeline vandals, who are always prosecuted and sentenced to various terms of imprisonment, with their expensive tankers, high-tech equipment, costly Cotonou boats, barges, vessels, generators and other items are regularly seized, destroyed or burnt, while the facilities and sites of the illegal refining are frequently destroyed/crushed with swamp-buggies, but the criminals are not deterred, in their desperation to make blood money.

    Worried by the sad developments in the Niger Delta, the Anglo/Dutch oil giant, Shell Petroleum Development Company of Nigeria Limited (SPDC), on September 9 this year at the highbrow Hotel Presidential in Port Harcourt, the Rivers state capital, where the company has its corporate headquarters, organised a media workshop/engagement on pipelines’ Right of Way (ROW) encroachment and vandalism, with many resource persons in attendance.

    SPDC’s Lead, Right of Way and Encroachment John Okojie declared that the situation in the Niger Delta, concerning pipeline vandalism and crude oil theft, was not getting better, buy becoming worse, with more criminals getting involved in the illegal activities.

    Okojie added that in the last twenty years, crude oil theft had moved into organised crime, with various interest groups involved.

    He said: “There are markets outside Nigeria, with the operators looking for stolen crude oil to thrive. The crude oil thieves now operate and move with Nigerian security personnel as escorts. Illegal bunkerers are knowledgeable in the oil industry.

    “Legalising Kpofire (illegal refining of stolen crude oil) should not be allowed. If Kpofire is legalised, then we have lost it as a nation.”

    The oil giant’s Encroachment Management Lead, Ucheoma Amechi, warned against encroaching on pipelines’ right of way, considering the dangers involved, especially loss of lives and valuable property, in case of explosion or fire outbreak.

    SPDC’s Media Relations Manager Bamidele Odugbesan said the Anglo/Dutch oil giant was very strict about ethics, making it impossible for the staff to be collaborating with the pipeline vandals and crude oil thieves.

    The Deputy General Manager, External Relations of SPDC, Dr Alice Ajeh, described the oil thieves as criminals while declaring that Nigeria is bleeding from the criminality and urged Nigerians to be passionate about their reputation.

    The oil giant’s General Manager, Safety and Environment, Chidube Nnene-Anochie, noted that illegal refining and third-party interference with pipelines were the main sources of pollution in the Niger Delta.

    According to Nnene-Anochie, in 2018 alone, third-party interference caused close to 90 per cent of the number of spills of more than 100 kilogrammes from SPDC Joint Venture (JV) pipelines.

    The General Manager, Safety and Environment, who was represented by Shell’s Compliance Monitoring Lead, Temitope Ajibade, in her presentation, titled: “Crude Oil Theft and Pipeline Vandalism: Implications for our Environment,” declared that going into criminal activities, because of poverty, was not tenable.

    Nnene-Anochie said: “No spill is acceptable to SPDC. A key priority for Shell companies in Nigeria remains to achieve the goal of no spills from our operations. We work hard to prevent them (spills). However, SPDC cleans and remediates areas impacted by spills from its facilities, irrespective of the cause.

    “To stem crude oil theft, SPDC has enhanced its community-based pipeline surveillance, while promoting alternative livelihoods through Shell’s flagship youth entrepreneurship programme, Shell LiveWIRE.

    “Between 2003, when Shell LiveWIRE was launched in Nigeria and now, the programme has trained 7,072 Niger Delta youths in enterprise development and provided business start-up grants to 3,817.”

    Shell’s General Manager, External Relations, Igo Weli, revealed that there had been a daily loss of about 10,000 barrels of crude oil from the oil firm’s pipelines to crude oil theft, while crying out for help from government, communities and other stakeholders to stem the incessant attack on oil assets in the Niger Delta.

    He said: “These are critical national assets, with 55 per cent government interest and they produce the crude oil that accounts for over 90 per cent of Nigeria’s foreign exchange and the bulk of government revenue. Hurting these assets means hurting the nation’s revenue, the economy of the states, the health of the people and the environment.

    “Crude oil theft on the pipeline network resulted in a loss of around 11,000 barrels of oil a day in 2018, which is more than the approximate 9,000 bbl/d in 2017. Since 2012, SPDC had removed more than 1,160 illegal theft points on its joint venture pipelines in the Niger Delta.

    “In its June 2019 monthly report, Nigerian National Petroleum Corporation (NNPC), which controls Nigeria’s 55 per cent interest in the SPDC Joint Venture (JV), said there was a 77 per cent rise in oil pipeline vandalism and that 106 pipeline breaches were recorded in June, up from 60 in May.”

    Shell’s general manager, external relations, also stated that the oil company was concerned about the lives and safety of the persons who are involved in pipeline vandalism and crude theft, just as the firm was concerned about the environment.

    Weli said: “As a responsible organisation, we put safety first and have constantly made this appeal to those involved in crude oil theft in the Niger Delta to stop destroying their lands and heritage from the spill and pollution arising from their activities.

    “Crude oil theft and artisanal refining of stolen crude oil are criminal acts that are not only against the law but are also capable of mortgaging the future of the community.”

    Efforts must continually be made by all the stakeholders to quickly put an end to pipeline vandalism and crude oil theft, for the sake of the nation’s economy, the health of the people and protection of the environment.

  • Delta, Bayelsa communities fear extinction over ocean surge

    Agge straddles Delta and Bayelsa states in Burutu and Ekeremor Local Government Areas. The community, which hosts a deep seaport, is rapidly being eaten by the Atlantic Ocean, writes Okungbowa Aiwerie, Asaba

     

    SLEEPING at night is a luxury for many in Agge, a set of federated communities, which sraddles Delta and Bayelsa states. A part is in Burutu and another is in Ekeremor local government areas. Many are afraid that the ocean can sweep them away while asleep.

    The community sits on a rapidly disintegrating estuary where the Ramos River empties into the Atlantic Ocean. The mainstay of the local economy is trading and fishing. Crayfish is common there.

    A part of Agge in Bayelsa is to host the Agge Deep Sea Port promoted by Bayelsa Governor Seriake Dickson. But aside this, Agge is a slum. The houses are shanties built wholly with corrugated aluminium roofing sheets, housing family businesses and living quarters.

    Commercial activities thrive in Agge due to the influx of traders- an eloquent testimony to Agge’s attraction as a fish processing hub.

    A paved concrete walkway built by Shell/NNPC/ENI/AGIP joint venture snakes through parts of the slum. Both sides of the walkway are lined by petty businesses, including restaurants, provision shops, boutiques, hairdressing and barbing salon, drinking bars, hotel and several POS stalls.

    But for the UNICEF built health and educational facilities- primary health centre (PHC) and three classrooms primary school, Agge lacks government presence at any level.

    The community lacks electricity, pipe-borne water or a police post. Work has stalled on the construction of three classrooms embarked upon by SPDC/ENA/AGIP/NNPC joint venture.

    Due to its proximity to Warri and Ogbogbaghene in Delta State, many Agge indigenes share closer socio-economic ties with their kith and kin in Warri than in Yenagoa.

    Without shoreline protection coupled with tidal effect, there is palpable fear of being washed away into the Atlantic Ocean among Agge’s beleaguered residents.

    A 53-year-old resident, Idris Prebo, said: “Oga, about forty years ago as a thirteen-year-old boy, when I came with my mother to Agge, that was the jetty we landed on. On that spot, we treaded on Agge soil, but today Agge has moved three times to its present location. So you see how much danger we face from the encroaching Atlantic Ocean.”

    Agge community is on the verge of extinction as the endless succession of waves pound at its fragile shoreline. Soon, all of Agge’s unharnessed economic potentials, its rich cultural heritage and traditions will be relics of the past.

    During the week, Agge, led by their 95-year-old monarch, David Giant Isiaye, Amanayabo 11, mobilised his subjects to a peaceful protest to express their outrage.

    On that day, youths, women and the elderly riding in boats defied the heavy military presence as the protesters lined the waterfront with placards of various inscriptions such as “NDDC shoreline protection contract awarded, but   abandoned since 2010, “F.G rebuild Agge and compensate us for 2008 “.

    Two Joint Military Task Force (JTF) houseboats with two gunboats are stationed nearby. A Nigeria Navy supply ship loiters near Agge shores as crude-bearing barges sailed back and forth along the Ramos River, while a dredging vessel is at work in the vicinity.

    His Royal Highness D.G Isiayei and six others, had in a letter earlier to Dickson, said: “Your Excellency, it is important to inform you that the Agge people have only learned about this mouth-watering Agge Deep Seaport Project from the pages of the newspaper, from its conception to the stage of commencing operation in 2020.”

    It said: “In a capsule, we have not been carried along. We have been treated as total strangers to the project, while we shall be the people to provide the land for this laudable project.

    “It is from the newspapers we read that the Bayelsa State government paid the sum of N230, 000,000.00 to Scot Wilson & Arap for consultancy on the project.’’

    Continuing, “We also read that in 2013 that you directed the Commissioner for Land and Survey to carry out enumeration of the lands to be affected by the Agge Deep Seaport Project for the payment of fair and adequate compensation.”

    Agge Federated Communities Chairman Germain Irou, who spoke to The Nation, accused SEEPCO of refusing to renew the expired GMoUs six months into a new year of their expiration and refusal to pay royalties for the operation of the Yade Barge in the Agge/Ramos River

    According to him, the oil servicing company is engaged in dredging of the Agge/Ramos River without any form of approval or agreement with the community impacted by their activities.

    Other issues include land reclamation, shore protection wall/sand-filling, three full-time employment slots and monthly royalties amounting to N360, 000.

    Irou lamented the damage to marine ecological life due to pollution caused during the transfer of crude oil from barges to bigger vessels.

    According to Irou, “the frequent spillage is threatening our existence. The effect on marine life and fishing activities of local fishermen is under threat by oil exploration.”

    SEEPCO’s Community Liaison Officer Konyefa Erebi was not available for comment, as calls to his phone were unanswered or returned as at press time.

    Agge monarch David Giant Isiaye urged the management of the Niger Delta Development Commission (NDDC) to make Beks Kemes Nig Ltd return to the site and expedite work towards the completion of the N4billion sand filling and shore protection project in Agge.

    The traditional ruler regretted that the project earmarked for completion within a year had been abandoned for more than four years.

    He said the continued delay poses a grave danger to the people as more communities were on the verge of extinction owing to the tidal effect of the ocean, while families that left their ancestral land were yet to return because the sand filling was yet to be completed.

    A media aide to Mr Okoko, Kerry Asari, said Beks Kemes Nig Ltd was owed unpaid debts by the NDDC after it mobilised to site without receiving mobilisation fee.

    Kerry said the contract was stalled owing to unpaid debt, stressing that Beks Kemes Ltd would mobilise to the site should funds be made available.

    He said: “We have to demobilise pending when funds are available.”

    SPDC Gmou City Chairman Feelwn Binbiya Itiemogha bemoaned the occupation by the military joint task force (JTF) of a N35 million four-bedroom bungalow doctors/nurses quarters built by the community.

    Anslem Megwa, an Imo indigene, said he has been buying fish bladder from Agge in the past 20 years, adding that with the danger posed by erosion due to Ocean surge business has nosedived.

    Agge Women Leader Ruth Bitiema said in the last ten years Agge has been battling erosion that has washed away a large portion of its land.

    Reverend Shedrack Stephen, District Presbyter, Church of God Mission, Agge, pointed out that the shoreline has crept up to the church premises.

    The Joint Military Taskforce (Bayelsa Command) spokesman, Major Eromosele Unuakhalu promised to revert to this reporter as he needs to investigate the matter.

    Calls to Bayelsa State Commissioner for Information Daniel Iworiso-Markson were unanswered or returned at press time.

  • Google…Trying times for Nigeria’s number one site

    Nigerians’ love for betting sites is legendary. However, Google remains the number one site in Nigeria. Its dominance of the online advertising business has pitched it against U.S. states and territories, writes OLUKOREDE YISHAU

     

    GOOGLE.COM’s prime position as the number one site in Nigeria seems guaranteed.  It has been like that for a long time. Despite the efforts of bet9ja.com, Youtube.com and Yahoo.com, Google still towers higher than all of them, with 13 daily pageviews per visitor, nine minutes, five seconds daily time on site and linkage to 2,152,655 sites.

    The betting site, bet9ja.com, has tried to take the slot. But, the love for this site by many Nigerians has not been able to upstage Google. It has had to contend with being number two. Youtube and Yahoo are numbers three and four.

    Google accounts for an estimated 87 per cent of online searches worldwide. It processes trillions of queries each year, which works out to at least 5.5 billion a day, 63,000 a second.

    These are, however, not the best of times for Google. On Monday, attorneys general of states in the United States announced an antitrust investigation of this firm, which Nigerians rely on for information on myriad of subjects. Many other websites, especially newspapers, rely on it for online adverts through its AdSense. The states suspect that the firm may be a threat to competition and the growth of the web.

    Every state in the U.S. except Alabama and California, the home of Silicon Valley, has signed onto the bipartisan effort. Puerto Rico and the District of Columbia are also on board.

    This new probe is coming more than six years after federal watchdogs concluded an antitrust investigation into its search and advertising practices. No indictment was made but major penalties were brought against the company, including breaking it up.

    Google also faces two Congressional, six state and local, and eight federal investigations. Its worries are not limited to the United States. The European Union once issued $9 billion competition-related fines against it.

    The latest probe is being led by Texas Attorney General Ken Paxton. According to him, Google “dominates all aspects of advertising on the Internet and searching on the Internet”. It is not clear if the investigation will be followed by a lawsuit.

    For now, the probe is concerned about online advertising through which Google is expected to make over $48 billion in U.S. digital ad revenue this year. eMarketer says it has captured 75 per cent of all spending on U.S. search ads.

    Speaking at a news conference alongside officials from 11 states and the District of Columbia, Paxton said: “They dominate the buyer side, the seller side, the auction side and the video side with YouTube.”

    Some other complaints against Google also include its search results ranking processes, which some attorney generals argued may not fully protect users’ personal information.

    But, what is wrong with being the market leader that Google is in the U.S., Nigeria and many parts of the world?

    Republican attorney general of Utah Sean Reyes says: “There’s nothing wrong with being a dominant player when it’s done fairly.”

    He added that there is “pervasiveness” to complaints regarding Google’s business practices.

    His views are shared by Louisiana Attorney general Jeff Landry, who said: “We’re here because there’s an absolutely existential threat to our virtual marketplace.”

    Arkansas attorney-general Leslie Rutledge described Google as an “online search engine juggernaut”. She alleged that searches for businesses are coloured its algorithms and advertising systems.

    “I want the best advice, from the best doctors — not the doctor, not the clinic who can spend the most on advertising,” she said.

    For Ashley Moody, who is the attorney general of Florida, the probe will start with the company’s vast data stores.

    “Google monitors our online behaviour, and captures data on every one of us as we navigate the internet,” Moody said, adding: “This investigation will initially focus on capture of that information and whether Google embedded itself on every level of the online market (for) ad sales to monopolise this industry.”

    Moody continued: “When there is no longer a free market or competition, this increases prices, even when something is marketed as free, and harms consumers. Is something really free if we are increasingly giving over our privacy information? Is something really free if online ad prices go up based on one company’s control?”

    D.C. attorney-general Karl Racine said he and his peers would forge ahead if Washington fails to act against Google.

    “The state attorneys general, they are an independent bunch, and they can be quite tenacious. So, I’m very confident that this bipartisan group is going to be led by the facts, and not be swayed by any conclusion, that may fall short, if you will, if it’s inconsistent with our facts, on the (federal) side,” Racine said.

     

    How far can the probe go?

    A tech analyst, Casey Newton in an article on verge.com, said “the Trump Administration’s antitrust inquiries have been tainted by the perception that they are intended to punish the president’s political enemies rather than level the competitive playing field”.

    Newton observed that when attorneys-general “have banded together on a broad, bipartisan basis, they’ve managed to muscle major changes to other industries”.

    “They forced billions of dollars in payments from Big Tobacco to pay health claims and finance antismoking campaigns in the 1990s. Two decades later, they helped reform unfair mortgage lending practices. More recently, states have led lawsuits against pharmaceutical companies they contend are responsible for the opioid crisis,” he said.

    A professor at Stanford Law School, Doug Melamed, said: “If people are expecting antitrust law to break up the platforms or fundamentally change the way they do business … my bet is they’re going to be very disappointed.”

    An analyst observes that only a court can decide an antitrust case.  “But at the end of the day, it’s still up to a court to apply antitrust law. So if the court thinks it’s not an antitrust case, it doesn’t matter if the states have signed on,” the analyst said.

    A few days ago, its video site, YouTube, was fined $170 million to settle allegations it collected children’s personal data without their parents’ consent.

    The Federal Trade Commission fined Google $136 million; the additional $34 million is to New York to resolve similar allegations.

    Google’s parent company, Alphabet, made a profit of $30.7 billion on revenue of $136.8 billion last year.

    The tech giant has chosen to keep mum in the face of this fresh onslaught but it had, in previous statements, said it would cooperate with state officials.

     

    BEHIND THE STORY

    IN 2013, Google agreed to change some of its business practices to resolve a dispute with FTC. The agreement involved agreeing to allow competitors access  to patents on critical standardised technologies.

    A statement by the FTC at the time read: “The changes Google has agreed to make will ensure that consumers continue to reap the benefits of competition in the online marketplace and in the market for innovative wireless devices they enjoy. This was an incredibly thorough and careful investigation by the Commission, and the outcome is a strong and enforceable set of agreements.

    “We are especially glad to see that Google will live up to its commitments to license its standard-essential patents, which will ensure that companies willing to license these patents can compete in the market for wireless devices. This decision strengthens the standard-setting process that is at the heart of innovation in today’s technology markets.”

    The statement quoted a counsel to the FTC, Beth Wilkinson, as saying: “The evidence the FTC uncovered through this intensive investigation prompted us to require significant changes in Google’s business practices. However, regarding the specific allegations that the company biased its search results to hurt competition, the evidence collected to date did not justify legal action by the Commission. Undoubtedly, Google took aggressive actions to gain advantage over rival search providers. However, the FTC’s mission is to protect competition, and not individual competitors. The evidence did not demonstrate that Google’s actions in this area stifled competition in violation of U.S. law.”

    The statement also noted:  “The Commission’s complaint alleges that Google reneged on its FRAND commitments and pursued – or threatened to pursue – injunctions against companies that need to use MMI’s standard-essential patents in their devices and were willing to license them on FRAND terms. Specifically the company pursued injunctions in federal district court and at the United States International Trade Commission (“ITC”) to block competing technology companies from using MMI standard-essential patents.

    “The FTC alleged that this type of patent hold-up is what the standard setting organizations sought to prevent by instituting FRAND licensing requirements. According to the FTC, if left unchecked, this type of patent hold-up can lead to higher prices, as companies may pay higher royalties for the use of Google’s patents because of the threat of an injunction, and then pass those higher prices on to consumers. This may cause companies in technology industries to abandon the standard-setting process and limit or forgo investment in new technologies, according to the agency.

    “To remedy this concern, Google has agreed to a Consent Order that prohibits it from seeking injunctions against a willing licensee, either in federal court or at the ITC, to block the use of any standard-essential patents that the company has previously committed to license on FRAND terms.

     

    What the law says

    ANTITRUST law is a collection of federal and state government laws which regulates business corporations to promote competition for the benefit of consumers.

    The main statutes in the United States are the Sherman Act of 1890, the Clayton Act of 1914 and the Federal Trade Commission Act of 1914. The Acts serve three major functions.  Section 1 of the Sherman Act prohibits price-fixing and the operation of cartels. It also prohibits other collusive practices which restrain trade.

    Section 7 of the Clayton Act restricts the mergers and acquisitions of organisations capable of substantially lessening competition. Section 2 of the Sherman Act prohibits the abuse of monopoly power.

    These laws are enforced by the Federal Trade Commission, the U.S. Department of Justice, state governments and private parties through bringing court actions.

     

     

  • What Nigerians use Google for

    GOOGLE crept into the Nigerian space at the same time with the internet in the 1990s and has become a household name in society.

    An American multinational technology company with speciality in internet products and services such as online advertising technologies, search engine, cloud computing, maps, software and hardware, Google has overtime warmed itself into the hearts of Nigerians such that it presently has a god-like status.

    Statistics from the Nigerian Communication Commission (NCC) in January showed that 111.6 million Nigerians had access to the internet and this cuts across social, economic and geographical strata.

    In Nigeria today, Google readily comes to mind for seekers of all kinds of information including recipes for local dishes and how to prepare them.

    Google Map has become the go-to App for people going to any area they are not familiar with. The app which works with Global Positioning System (GPS), provides directions, distance and live situation about the road thereby advising the user on the best routes to ply.

    For small and medium scale enterprises (SMEs) both on and offline, Google My Business assist them with visibility to potential customers through the free business profile.

    Nigerian Bloggers and online media platforms have benefited immensely from the Google AdSense, a service that enables them to get income through online adverts.

    Read Also: How to customise your personal Google Assistant

    Tools like the Google Reverse Image Search, Google Alert, Google Translate, Google Visualisation, Google Crisis Map, Google Trends, Google Surveys among others help Nigerian journalists to verify information and produce better contents.

    Google will remove restrictions hampering advertisers’ management of their ad campaigns across competing ad platforms

    “Under a separate commitment, Google has agreed to remove restrictions on the use of its online search advertising platform, AdWords, that may make it more difficult for advertisers to coordinate online advertising campaigns across multiple platforms.”

     

  • CBN’s foray outside its core mandate

    The Central Bank of Nigeria (CBN) has renewed financing activities outside of its core areas. Agriculture, education and health sectors have received generous aids, a development which does not sit well with some critics who expect it to stick to promoting a sound financial system, writes MUSTAPHA SUMAILA

     

    CBN initiatives

    • COMMERCIAL AGRICULTURE CREDIT SCHEME
    • REAL SECTOR SUPPORT FACILITY (RSSF)
    • SME CREDIT GUARANTEE SCHEME (SMECGS)
    • SME RE-STRUCTURING AND REFINANCING FUND (SMERRF)
    • NIGERIA INCENTIVE-BASED RISK SHARING SYSTEM FOR AGRICULTURAL LENDING
    • POWER AND AIRLINE INTERVENTION FUND
    • NIGERIA ELECTRICITY MARKET STABILISATION FUND
    • ANCHOR BORROWERS

     

    SECTION 2 of the Central Bank of Nigeria (CBN) Act stipulates that the principal objectives of the bank shall be to ensure monetary and price stability, issue legal tender currency in Nigeria and promote a sound financial system.

    The section further states that the apex bank shall maintain external reserves to safeguard the international value of the legal tender currency, act as banker and provide economic and financial advice to the Federal Government.

    The CBN has, however, over the years, been directly or indirectly involved in the financing of growth-enhancing programmes and other projects of the Federal Government which are incidental to the bank’s core mandates.

    Some of these developments and corporate social responsibilities interventions by the bank have received accolades while some, public opprobrium.

    For instance, in 2012, the bank, under the leadership of Sanusi Lamido Sanusi, (now Emir of Kano), came under criticism when it donated N100 million to victims of the Boko Haram menace in Kano.

    Critics of the action claimed it was illegal for the bank to engage in philanthropic activities outside its core and statutory mandate.

    One of the leading critics of the bank’s action, Mr Femi Falana (SAN). had called on the then President, Goodluck Jonathan, to sanction Sanusi.

    “From the law setting up the Central Bank of Nigeria, the diversion of public funds to assist victims of disasters is illegal in every material.

    “The management of the Central Bank cannot be allowed to continue to dissipate public funds under the pretext of carrying out any social responsibility outside the ambit of the law,” the human rights activist had said.

    However, when Sanusi was summoned by the then House of Representatives’ Committee on Banking and Currency, mandated to investigate the donations, he said it was legal.

    Sanusi argued that the apex bank had always intervened in the economic development of Nigeria, adding that the legal basis for the interventions in certain sectors of the economy were contained in Section 31 of the CBN Act 2007.

    Notwithstanding the legal justification or otherwise, stakeholders have commended the CBN for its initiatives and interventions encompassing real sector, agriculture, small and medium enterprises, infrastructure and youth empowerment.

    Some of the CBN initiatives undertaken by Sanusi’s successor, Mr Godwin Emefiele are Commercial Agriculture Credit Scheme; Real Sector Support Facility (RSSF); SME Credit Guarantee Scheme (SMECGS); SME Re-structuring and Refinancing Fund (SMERRF).

    Others are Nigeria Incentive-based Risk Sharing System for Agricultural Lending (NIRSAL); Power and Airline Intervention Fund (PAIF); Nigeria Electricity Market Stabilisation Fund (NEMSF); Anchor Borrowers, among others.

    The recent interventions by the bank in the education and health sectors have received accolades from stakeholders.

    Here, about N63 billion was committed by the apex bank into building Centres of Excellence in nine Federal Government-owned universities to enhance post-graduate studies in financial related courses.

    The CBN also planned to build diagnostic centres in the six geopolitical zones of the country and Abuja. The F.C.T. facility is expected to have both heart and cancer diagnostic centres.

    Inaugurating one of the centres of excellence at Ahmadu Bello University (ABU), Zaria recently, CBN Governor Emefiele said the project was part of the apex bank’s intervention in education.

    He explained that the centres would be delivered in phases and the first phase, which comprised the University of Nigeria Nsukka, University of Ibadan and ABU, Zaria had been completed and ready for the use by the institutions.

    He said the others, nearly completed, are those in University of Lagos, University of Port Harcourt, University of Jos, Bayero University, Kano and University of Maiduguri.

    Emefiele stressed that education and health were the bedrock of any nation’s development and there was the need to invest in them.

    He said the centres, with 500-capacity auditorium, ICT facilities and e-Library, could compete with any business school globally.

    Emefiele said when the centre became operational, programmes such as Forensic Accounting, Global Financial Market, Risk and Compliance Management would be offered at the centres.

    He assured the nation that the bank would get involved in the management of the facilities to forestall decay.

    The governor also disclosed that the bank would engage accounting specialists and practitioners working in central banks across the world to bring their wealth of experience to bear at the centres.

    President Muhammadu Buhari, at the ceremony, lauded CBN for supporting the Federal Government’s investments in the education sector as well as other key areas of the economy.

    Buhari also tasked the apex bank to extend such funding support to researches in the tertiary institutions.

    “It is no longer a secret that the state of facilities in our universities and other higher institutions of learning can no longer meet up with the requirements of our ever growing students popuations.

    “This is largely due to perennial challenges over the years and my government is committed to tackle the challenges,” he said.

    The Vice Chancellor, ABU, Zaria, one of the beneficiary universities, Prof. Ibrahim Garba, commended CBN for the gesture.

    He said the donation of the centre was the highest intervention the university had ever received and that it would enhance academic learning, especially at the post-graduate level.

    Garba said the centre would afford the university the opportunity to establish a Business School to offer Economics, Accounting, Banking and Finance, Business Administration and Statistics at post-graduate levels.

    The CBN boss also disclosed his plan to build seven diagnostic centres in the six geo-political zones of the country and Abuja.

    “If we have funds, the projects are expected to commence by 2020 and ready by 2024,” he said.

    Emefiele said the intervention would help to reduce capital flight and brain drain in the health sector.

    “The centres will be done in a way that a referral will come from teaching and private hospitals and those coming to access care at the centres will be paying to generate revenue.

    “In that case, the centres will be able to fund and manage themselves without CBN interference,” he explained.

    Mrs. Zainab Abubakar, an economist with the Federal University, Dutse in Jigawa, commended CBN for the interventions and described education and health as critical sectors that needed such assistance.

    Abubakar explained that there must be healthy people in the country for optimal efficiency and productivity.

    Like Abubakar, stakeholders believe that the CBN’s interventions in the two critical sectors would spur development and innovation.

     

    • Sumaila is of News Agency of Nigeria (NAN)

  • Rice smugglers’ gain, federal government’s pain

    To push back the importation of rice, which has been gulping an estimated N365 billion annually, the Federal Government encouraged private investors to invest massively in local rice production. The ultimate target was to achieve a total rice import replacement by 2020. But, smuggled foreign rice, primarily sourced from Thailand and India, has continued to flood Nigeria, through her borders with Benin, Niger and Cameroon. The lower landing cost for the foreign brands is crippling local producers and frustrating the government’s rice self-sufficiency target. Assistant Editor CHIKODI OKEREOCHA reports

    President Muhammadu Buhari and his Beninois counterpart Patrice Talon met in Japan. The meeting held during the partial closure of Nigeria’s border with the Republic of Benin. Clips of the meeting showed a calm Buhari. But, behind the composure and diplomatic finesse was a president deeply troubled by developments back home, where the gains made by his administration in the rice segment of the agricultural sector are being threatened by the activities of cross-border rice smugglers, particularly from the Benin Republic axis.

    The president sure has justifiable reasons to be troubled. The revolution in the rice segment of the sector has been widely acknowledged as one of the visible achievements of his administration.

    For instance, in two years, September 2015-September 2017, rice importation from Thailand fell from 644,131 Metric Tons (MT) to 20, 000 MT, representing over 90 per cent drop.

    Also, while Nigeria’s current rice consumption is put at between six and seven million MT of milled rice, the country produced 2.5m MT of milled rice in 2015. By 2017, it rose to 4m MT (US Department of Agriculture, World markets and Trade put it at 3.7m MT), leaving a gap of 2m MT.

    Also, from only 13 integrated rice mills in the country in 2015, the number rose to 21 by 2017. Similarly, from five million rice farmers in Nigeria in 2015, the number has gone up to 11 million.

    Minister of Information and Culture Alhaji Lai Mohammed put the total investment of members of the Rice Millers, Importers and Distributors Association of Nigeria (RIMIDAN) into the economy at over N300 billion, while upcoming investments were expected to reach N250 billion.

    The minister announced that the new investments would add 5, 000 jobs and additional 1,775,000 MT of integrated rice milling capacity while saving $300 million foreign exchange from import substitution through local processing. These were the basis on which the administration anchored its hope of closing the nation’s 2m MT of rice gap by 2020 by boosting domestic production.

    So, when Buhari rode on the back of the just-concluded Seventh Tokyo International Conference for African Development (TICAD7) in Yokohama, Japan, where he granted audience to Talon, to express serious concern over the smuggling of rice into Nigeria, he wanted to pull the breaks on what he, and perhaps, other concerned stakeholders perceive as deliberate sabotage.

    Buhari, who could not stand any attempt to reverse the gains of his achievements in local rice production, pointedly told his Beninois counterpart that the activities of smugglers in that corridor were threatening the attainment of his administration’s rice self-sufficiency.

    “Now, our people in the rural areas are going back to their farms, and the country has saved huge sums of money, which would otherwise have been expended on importing rice using our scarce foreign reserves.

    “We cannot allow smuggling of the product at such alarming proportions to continue,” Presidential Spokesman Femi Adesina quoted Buhari as saying. This was in response to concerns raised by President Talon on the magnitude of suffering foisted on his people by the border’s closure.

    Although Buhari said the partial closure of the western border was to allow Nigeria’s security forces develop a strategy on how to stem the dangerous trend and its wider ramifications, operators and industry stakeholders fear that such strategy, if, and when developed and implemented, might be belated.

    Already, the activities of smugglers around that axis, The Nation learnt, may have put Nigeria’s achievement of a total rice import replacement by 2020 in jeopardy. This, according to reliable industry sources, was why Buhari, who could no longer hide his worry, was forced to bare his fangs through the border closure.

    Rice Processors Association of Nigeria (RIPAN) Alhaji Mohammed Abubakar Maifata brought this disturbing reality nearer home when he said about half a million metric tonnes of rice have been booked in Thailand for shipment to Nigeria preparatory to the Christmas season.

    Maifata, who made this known to reporters in Abuja, last week, after the association’s intensive border and port survey, warned that Nigeria risks losing over $400 million to rice smuggling if the over one million metric tonnes of the commodity is allowed to enter the country from the Benin Republic.

    He also said the impending illegal rice importation would, no doubt, have a ripple effect on local rice processors, as their activities would be hampered. Although he said RIPAN supports the border closure, Maifata said it would go a long way in curbing the menace of rice smuggling, while giving local producers a breather.

    Why local producers are screaming blue murder?

    Indeed, breather came the way of local rice producers since 2015 when the Federal Government banned the importation of rice into the country.

    It also went a notch higher, providing N82 billion in funding to farmers of rice, wheat, maize, cotton, cassava, poultry, soybeans and groundnut via the Anchor Borrowers Programme (ABP) of the Central Bank of Nigeria (CBN)

    But the succour that came the way of rice farmers on the strength of these strategic interventions appears to have been short-lived, no thanks to the activities of cross-border rice smugglers.

    Today, over 70 per cent of rice in Nigerian markets are said to be foreign or imported into the country through any of the numerous porous borders. Foreign brands such as Mama Gold, Royal Stallion, Rice Master, Caprice, Falcon Rice and Basmati are competing for patronage with local rice.

    Price difference a disincentive

    In the Benin Republic, for instance, the total demand for white rice, which is consumed in that country, against parboiled rice in Nigeria, was 400, 000 MT, as at 2017. Yet, Benin, with a population of about 11 million, imports between one million and 1.2m MT of rice annually.

    Most of the imports by Benin are allegedly for Nigerians. As Nigeria’s rice import falls, Benin’s rice import increases. Most of the parboiled rice imported by Benin eventually lands in Nigeria through smuggling.

    It is easy to see why this is so. For one, the difference in the price of the local and foreign rice as a result of the influx of smuggled rice has been a major discouraging factor for rice farmers, as people prefer to buy the foreign rice because of the price difference.

    For instance, The Nation learnt that at present, smuggled foreign rice costs between N17, 000 and N18, 000 per 50kg bag, while Nigerian processed rice sells for between N14, 500 and N15, 000 per 50kg bag, depending on the brand.

    Although the price of foreign rice is slightly higher than local rice, most local producers consider the price margin to little to encourage local production. They blame this on Cameroon and Benin Republics, which lowered tariff payable on rice to 0 and five per cent, respectively, to encourage importation and subsequent smuggling into Nigeria.

    As if this is not enough discouragement, Thailand and India where the smuggled rice is sourced also gave a high level of subsidies to rice farmers and rice processors, local rice producers in Nigeria are struggling to compete favourably in terms of pricing with the heavily subsidised imported rice.

    A United States Department of Agriculture (USDA) Foreign Agricultural Service and Global Agricultural Information Network (GAIN) report said Nigeria is Africa’s largest producer of rice and among the top 15 producers globally.

    The 2019 report, which was accessed by The Nation, however, said the high cost of rough, paddy rice, as well as high operational costs, constrain large-scale/integrated rice mills from producing at more competitive prices.

    The report stated that although, Thailand and India rice shipments to Nigeria have dropped off in recent years, there have been large, officially reported increases in rice exports to Nigeria’s neighbours namely, Benin, Cameroun, Niger and Togo, with populations of 11.3 million, 25.6 million, 19.8 million, and 8.1 million, respectively.

    “These are countries with lower import tariffs and porous borders, creating conditions favourable for transshipments, the report said, adding that Thai and Indian-origin rice (long-grain varieties) dominate imports into Nigeria, which largely comprise parboiled rice (also known as converted rice and easy cook rice).

    A catalogue of missed rice targets

    The dynamics of the Nigerian rice market, which is skewed in favour of foreign brands, at the detriment of local producers and investors, is believed to be responsible for Nigeria missing several targets earlier fixed to curb importation of the product and ultimately, achieve rice self-sufficiency.

    Recall that before the current administration came on board, the then Federal Government under President Goodluck Jonathan had initiated a new rice policy and set a 2015 target for the realisation of self-sufficiency in rice production.

    The policy was part of the administration’s Backward Integration Policy (BIP) and economic diversification agenda, which President Buhari retained and pursued in the hope of encouraging local production of rice and offering investors in the rice sub-sector incentives to invest.

    Immediate past Minister of Agriculture and Rural Development Chief Audu Ogbeh assured that Nigeria will be self-sufficient in rice production by the end of 2017.

    Although Ogbeh later said rice production had improved tremendously across the country as a result of the CBN’s Anchor Borrowers’ Programme, the government failed to meet the target, due largely to rice smuggling.

    The Federal Government again shifted the deadline, with Vice President Prof. Yemi Osinbajo saying that Nigeria will stop rice importation by the end of 2018. But as it turned out, the pronouncement was made without recourse to realities on the ground.

    There was no political will on the part of the authorities to halt the booming rice smuggling trade across the borders especially from the Western axis. The result: 2018 had come and gone without meeting the target.

    Now, a new date has been set for 2020. Will the authorities do the needful and halt the upswing in smuggling of rice across the borders? What is the level of commitment to addressing the huge infrastructural deficit that has been responsible for pushing up the cost of production for local rice producers and rendering them uncompetitive?

    Although the Federal Government put the right foot forward when it partially closed the borders, the question is, is this strategic move enough to halt the illicit rice trade that has been hurting local producers and frustrating government’s efforts to cut the humongous foreign exchange spent on rice importation?

    While answers to these remain a matter of conjecture, the preponderance of opinion is that the Federal Government decision to close the borders was a step in the right direction. Operators and other industry stakeholders, however, say that a strong political will is needed to effectively police the borders.

    To do this, the Association of Nigerian Licensed Customs Agents (ANLCA) urged the Federal Government to embrace the use of technology such as drones and Close Circuit Television (CCTV) to effectively address the challenges of smuggling and security at the nation’s land borders.

    ANLCA Publicity Secretary Joe Sanni said in as much as the security of the nation’s land borders remained important to check smuggling and other security challenges, it was also important to employ smart strategies that would ensure continuity in legal trade without undue hindrances.

    Experts also say that government should go beyond border closure and address other issues around price instability, quality and harvesting/processing of rice, as well as the provision of supportive infrastructure to help local producer who has made huge investments in local rice production reduce cost.