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A Review Of The Federal Government Fertilizer Subsidy Scheme In Nigeria, Grace O. Evbuomwan

Economic and Financial Review

This paper reviews the fertilizer subsidy scheme in Nigeria. Using descriptive statistics and econometric methods, the study shows that farmers' access to fertilizer has improved since the commencement of the subsidy scheme in 1976 and the direct involvement of the Federal Government in the procurement and distribution of the input. This also coincided with the period when remarkable improvements were recorded in the yield of virtually all the major crops, especially staples. The econometric analysis confirms that a positive correlation exists between fertilizer supply/consumption and output, while the level of subsidy on the input influences its consumption (utilization) and tends …