GGC Vows to Hold Cooperatives Accountable for Shortages

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By Assan Bah

In a recent interview, Mr. Muhammed Njie, Managing Director of the National Food Processing and Marketing Cooperation (NFPMC), revealed significant developments regarding the current trade season for groundnuts. The NFPMC successfully procured over 23,000 metric tons of groundnuts, equating to more than D1 billion, inclusive of commissions and related expenses.

Njie emphasised that the GGC has settled all payments owed to farmers, despite receiving claims from some cooperatives about unpaid dues. “We have transferred all required funds to the cooperatives,” he stated, yet farmers have reported an additional D3.8 million in claims because their delivery receipts were not submitted for final reconciliation.

“We have begun to address these outstanding amounts, and this will be the final round of payments for the season,” Njie added. Overall, claims of unpaid dues reached D23 million, prompting GGC to directly pay affected farmers while seeking reimbursement from the cooperatives responsible for the initial distribution.

The situation, however, is complicated by a reported shortage of over 800 metric tons of groundnuts, which were paid for but not delivered. The MD attributed this to the cooperatives’ failure to screen groundnuts prior to delivery, an issue reminiscent of last year’s discrepancies between funds disbursed and quantities received.

“While we are committed to supporting farmers, we need to tackle these discrepancies effectively. Our agreements clearly state that all nuts must be screened before delivery, and this lack of adherence has led to alarming shortages,” Njie explained.

He acknowledged complaints from some cooperatives regarding outdated screening machines but stated, “Not having a screening machine is not an acceptable excuse. Cooperatives must arrange for rental or procure machines at their own expense.”

Njie also addressed the operational performance of cooperatives, stating that while some have excelled, others have continually failed to meet expectations. “We intend to take firm action this year, including potential legal proceedings. We cannot allow this situation to persist; it’s imperative that we receive either the groundnuts or our money back,” he declared.

Despite the challenges, Njie noted improvements in logistics at their depots this season, with the procurement totals being notably lower than last year (38,000 tons) but with reduced downtimes and better response times. The GGC has adopted digital weighbridge technology to enhance measurement accuracy, although many cooperatives still neglect the necessary screening processes.

Additionally, Njie spoke on the introduction of a digital payment system aimed at minimising cash-related risks and facilitating prompt payments to farmers. Though initially reverted to cash transactions for speed, digital payments remain an option, showing potential benefits that many farmers have come to appreciate.

Looking ahead, Njie revealed plans for the upcoming trade season, stating that GGC will collaborate with the Department of Cooperative Development and local leaders to devise improved strategies to address issues witnessed this season. He expressed optimism about bolstering weak governance structures within cooperatives to mitigate recurring challenges.

As the season wraps up, Njie remains optimistic about the groundnut sector, emphasising that despite various hurdles, prices remain high, bolstered by government subsidies. He acknowledged that while Gambia offers the best prices per ton in the region, persistent weather challenges have affected both the quality and quantity of the harvest.

The GGC’s commitment to accountability and reform signals a determined effort to support farmers while addressing systemic issues within the cooperative framework, shaping a promising outlook for future trade seasons.

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