Dr. Gajigo Slams Groundnut Licensing Penalties as ‘Misplaced Priorities’

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Dr. Gajigo

Prominent Gambian economist and a senior opposition leader in the Gambia For All Party, Dr. Ousman Gajigo, has launched a scathing attack on the government’s newly passed National Food Security Corporation Bill 2025, particularly its harsh penalties for unlicensed groundnut and cashew trading.

In a detailed opinion piece shared with the Alkamba Times, Gajigo, the author, described Agriculture Minister Demba Sabally’s push for fines of up to D5 million and up to five years’ imprisonment as a “misguided suggestion” that reveals a deep misunderstanding of the sector’s real challenges.

The bill, which renames the former National Food Security Processing and Marketing Corporation (NFSPMC) and introduces stringent licensing requirements, was adopted by the National Assembly on Tuesday after heated debates and amendments. It aims to protect government investments in groundnut purchases—where the state paid D38,000 per ton this season, far above global prices—and curb unregulated trade. Minister Sabally has defended the measures as necessary to safeguard food security and prevent smuggling, arguing that previous penalties (one month in jail or a D1,000 fine) were insufficient.

Gajigo, however, argued forcefully that the proposal targets the wrong problem. “Of all the problems facing groundnut marketing, having too many traders is decidedly not one of them,” he wrote. He emphasized that the local market remains limited, with most private traders buying for export and often offering farmers better prices than the government. Rather than deterring participants, Gajigo called for encouraging more market entrants to boost competition and farmer returns.

A core issue highlighted by Gajigo is the existing requirement for private companies to register with the NFSPMC, their direct competitor, which he said undermines fair play. He cited the Gambia Competition and Consumer Protection Commission’s (GCCPC) 2023 report, which found that this regulation allows the state-owned entity to “elbow out” rivals, with selective enforcement hitting small-scale operators hardest.

“This problem is serious enough that it was noted by the government’s own GCCPC,” Gajigo noted. He stressed that the primary goal should be to maximize returns for groundnut farmers through vigorous buyer competition, not to protect the NFSPMC’s profitability. “The success of the NFSPMC is a means to a greater end, a point that appears to be lost on Minister Demba Sabally.”

Gajigo expressed surprise that Deputy Speaker Seedy Njie emerged as a voice of reason against the minister’s stance, questioning the need for such punitive measures when groundnut trading is a legitimate business. He urged National Assembly members to reject additional registration burdens beyond standard compliance requirements set by the Attorney General’s Chambers and the Gambia Revenue Authority (GRA). “The government should be working to reduce unnecessary red tape, not add to it,” he wrote.

The economist listed the sector’s true priorities: farmers’ lack of key inputs, the absence of irrigation infrastructure, limited local processing, and high post-harvest losses from spoilage and pests. “These are the issues the Ministry of Agriculture should be prioritising—not yet another renaming of a state-owned enterprise that has already undergone three name changes.”

Gajigo concluded by calling on lawmakers to disregard the directive and advising the minister to focus less on politics and more on understanding the sector he oversees. His piece, titled “Misplaced Priorities: Why Minister Sabally’s Groundnut Licensing Proposal Misses the Mark,” has resonated amid broader criticism of the bill’s potential to stifle private involvement.

Opposition figures, including United Democratic Party leader Ousainou Darboe, have echoed similar concerns, labeling the approach a distraction from real agricultural crises. Economists warn that reduced competition could lower farmer incomes and hinder food security goals.

As implementation looms, the debate underscores tensions between state control and market-driven growth in The Gambia’s vital groundnut sub-sector. Dr. Gajigo’s critique positions him as a leading voice urging a shift toward farmer-centric policies over regulatory overreach. 

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