Nigeria: Oyo Govt Hails BATN's Funding of Tractor Lease Scheme

Source from:  Daily Independent 04/19/2010

Lagos - CHAIRMAN, Senate Committee on Industries, Kamorudeen Adedibu, has described the Farmers' Tractor Lease Scheme, which was introduced about 10 years ago by the British American Tobacco Nigeria (BATN), through its subsidiary, BAT Iseyin Agronomy (BATIA), as the best thing any company could do for its host community. Adedibu expressed this view during the handing over ceremony of three brand new tractors, which cost over N20 million to three benefiting tobacco farmers by BATN in Iseyin, Oyo State recently. He said the scheme, which represented a unique empowerment of the farmers, would go a long way in not only improving their lot, but also greatly reducing the rigours of farming among the tobacco farmers, while also improving their productivity. The Senator, who represents the Oyo South Senatorial District, commended BATN for initiating the scheme, which has now produced 15 beneficiaries, and pledged his support for the company in its efforts to better the lives of the farmers. He pointed out that companies like BATN should be commended for remaining in the country in the face of infrastructural deficiencies and decay. He lamented that recently several companies have left the shores of the country for neighbouring countries, as a result of infrastructural deficiencies like dismal power supply and bad roads, among others. "The industries are the main source of employment, and any time they close down, people lose their jobs. So, the more industries we have running, the better for us as a nation," he said. Also, Oyo State Commissioner for Agriculture, Natural Resources and Rural Development, Kunle Ishola, described the Farmers' Tractor Lease Scheme as an exceptional initiative and a huge motivation for the farmers, who have voluntarily taken to tobacco growing in a rather challenging sector and at a time the agricultural sector requires urgent interventions. He said the Oyo State government has continued to observe with delight, BATN's noble gestures to its registered tobacco farmers in the state. "This is a clear demonstration of the organisation's commitment to the support of entrepreneurship in the agricultural sector, and a response to its social responsibilities," he said. He pledged the state government's commitment to continue to collaborate with the company in delivering laudable agricultural development initiatives to the people of the state. Head of Leaf, BATIA, Thomas Omofoye, said the gesture was a demonstration of BATN's commitment to ensuring a lasting mutually beneficial relationship with its key business stakeholders in tobacco production; the BAT Iseyin Agronomy registered tobacco farmers. According to him, BATN through its Iseyin Agronomy provides direct support to about 850 registered tobacco farmers. "Our approach in the country has been to work through dedicated BATIA staff in the field alongside farmers. We train and support the farmers, providing seed and advice on all aspects of crop production," he said. He said the lease scheme was in line with its belief that its business partners should have the opportunity to benefit from their relationship with the company. He described the scheme as unique, as beneficiaries would enjoy a very convenient repayment plan over a five-year period at no interest charge. He promised that the scheme would continue to be in existence as long as BATN continues to operate in Nigeria, saying that the thrust of the programme was to empower the farmers as proud owners of tractors and also promote sustainable best practice in tobacco farming and agricultural productivity. On the criteria for benefiting from the scheme, Omofoye said they must be registered tobacco farmers with BATN, and pay a minimum deposit which represents less than 22 per cent of the total cost of each tractor. "They use the tractor for themselves, and also rent out to their colleagues, thereby making good income from it, which helps them in the repayment plan for the leased tractor. At the end of the day, they become owners of the tractors," he said. Speaking on behalf of his fellow beneficiaries, President of the Nigeria independent Tobacco Farmers Association (NITA), Joseph Olaniyonu, thanked BATN for the gesture, promising to adhere to the terms of the lease agreement. Enditem