Authorities in Nigeria aim to triple its $32 billion livestock sector with support from a new Ministry of Livestock Development. But high feed costs, livestock losses, and expensive transport still hold the industry back. Experts say real progress depends on how well the plans are executed.
Showing posts with label Trade. Show all posts
Showing posts with label Trade. Show all posts
Monday, June 2, 2025
Video - New push to revive Nigeria’s livestock sector
Authorities in Nigeria aim to triple its $32 billion livestock sector with support from a new Ministry of Livestock Development. But high feed costs, livestock losses, and expensive transport still hold the industry back. Experts say real progress depends on how well the plans are executed.
Tuesday, May 20, 2025
Nigeria seeks to boost cocoa exports as oil falters
Thirty-nine years later, the government is preparing for the launch of a new regulatory body. On 5 May agriculture minister Abubakar Kyari announced that President Bola Tinubu’s cabinet has approved a draft bill to create a National Cocoa Management Board that will have responsibility for regulating the industry, but without the power to fix prices.
“With this new framework, we will be competing directly with top global producers like Ghana and Côte d’Ivoire,” said Kyari.
For President Bola Tinubu’s government, this is a chance to boost the potential of an industry that has broken several price records in recent years, with prices rising 400% in three years to reach $12,000 per ton at point. The value of cocoa exports from Nigeria jumped more than sevenfold between 2023 and 2024 to 2.7 trillion naira ($1.7bn), driven by higher demand and naira depreciation. Cocoa thus offers Nigeria a viable opportunity to diversify away from faltering oil exports.
The Tinubu administration based its 2025 budget of 54.9 trillion naira on a daily oil output of 2.06m barrels of crude sold at $75 per barrel. While the year started with a January production of 1.53m barrels per day, it has remained below that number in the subsequent months, with prices closer to $60 a barrel. Thoughts are therefore turning to cocoa as a potential driver of export earnings.
Demands for better traceability
Though Nigerian cocoa farmers and the industry in general have enjoyed the freedom to set prices, Nigerian-origin cocoa has sometimes been sold at a discount due to quality inconsistency, an indicator of variable industry standards. But recent global developments demanding sustainable and ethical practices, particularly the introduction of the European Union Deforestation Regulation, made regulated standards a necessity.
The Regulation, passed by the European Parliament in 2023, requires all exporters of agricultural commodities to the EU to provide evidence that the crop is grown sustainably and is not causing deforestation. It requires that agricultural exports be traceable to where they are grown – and this requirement has made a regulator essential, according to Adeola Adegoke, president of the Cocoa Farmers Association of Nigeria. “The Nigerian cocoa industry cannot continue to be on autopilot,” said Adegoke. “There must be a deliberate plan to reposition it in order to regain the lost glory of the cocoa economy.” Nigeria slipped from its leadership in cocoa production as oil became the mainstay of the economy from the 1970s, and agricultural exports were sidelined by successive governments.
Though Nigerian cocoa farmers and the industry in general have enjoyed the freedom to set prices, Nigerian-origin cocoa has sometimes been sold at a discount due to quality inconsistency, an indicator of variable industry standards. But recent global developments demanding sustainable and ethical practices, particularly the introduction of the European Union Deforestation Regulation, made regulated standards a necessity.
The Regulation, passed by the European Parliament in 2023, requires all exporters of agricultural commodities to the EU to provide evidence that the crop is grown sustainably and is not causing deforestation. It requires that agricultural exports be traceable to where they are grown – and this requirement has made a regulator essential, according to Adeola Adegoke, president of the Cocoa Farmers Association of Nigeria. “The Nigerian cocoa industry cannot continue to be on autopilot,” said Adegoke. “There must be a deliberate plan to reposition it in order to regain the lost glory of the cocoa economy.” Nigeria slipped from its leadership in cocoa production as oil became the mainstay of the economy from the 1970s, and agricultural exports were sidelined by successive governments.
More support needed for farmers
In recent years, the trade has suffered from an absence of incentives and government support, especially in the years in which farmers were threatened by price volatility, said Adegoke. The major assignment of the board will be to fill that gap, he said.
The move toward a new board started with the establishment of the National Cocoa Management Committee in August 2022. Made up of industry stakeholders and officials of the agriculture ministry, its primary task was to devise measures for the revitalisation of cocoa as a major export commodity.
The committee identified significant challenges, such as difficulties in dealing with cocoa pests and diseases, a growing preponderance of ageing plantations and farmers, lack of finance and the absence of national regulation.
In the draft bill, the National Cocoa Management Committee will be converted into the National Cocoa Management Board to tackle the identified problems facing the industry.
In recent years, the trade has suffered from an absence of incentives and government support, especially in the years in which farmers were threatened by price volatility, said Adegoke. The major assignment of the board will be to fill that gap, he said.
The move toward a new board started with the establishment of the National Cocoa Management Committee in August 2022. Made up of industry stakeholders and officials of the agriculture ministry, its primary task was to devise measures for the revitalisation of cocoa as a major export commodity.
The committee identified significant challenges, such as difficulties in dealing with cocoa pests and diseases, a growing preponderance of ageing plantations and farmers, lack of finance and the absence of national regulation.
In the draft bill, the National Cocoa Management Committee will be converted into the National Cocoa Management Board to tackle the identified problems facing the industry.
High prices bring opportunities
The more than threefold increase in cocoa prices between 2023 and 2024 seems to have been a wake-up call for the government. Nigeria has ranked fifth in recent years among global cocoa producers, behind Côte d’Ivoire, Ghana, Ecuador and Cameroon. While the two top producers, Côte d’Ivoire and Ghana, suffered significant output shortfalls due to unfavourable weather, Nigeria, which had a better crop, lacked the output scale to make the most of the opportunity.
Still, the country produced more than 300,000 tons of the crop in the 2023-24 season. Some expect an even better harvest in the current season due to improved weather. The government is keen to capitalise on this.
Prices for cocoa futures have started retreating from their record levels, and were ranging between $7,844 and $8,415 per ton in March, according to a market assessment published on 11 April by the International Cocoa Organization (ICCO).
Weighing on the market were weakening demand and an expectation that most of the West African producers, who account for 70% of global production, will have a better season than the 2023-24 season. The current season is the first in three years in which the ICCO is expecting a production surplus. But it is unlikely to result in a wholesale reset of prices, given the vagaries of the supply chain.
Indeed, with hedge funds betting on cocoa futures and driving the record prices of recent years, younger people in Nigeria are beginning to see a future in cocoa farms. Some are establishing new farms and planting early-maturing varieties that yield pods within three years, according to officials at the Cocoa Association of Nigeria (CAN).
Yet, even while the government has been applauded for initiating the return of an industry board, some stakeholders have their misgivings.
The more than threefold increase in cocoa prices between 2023 and 2024 seems to have been a wake-up call for the government. Nigeria has ranked fifth in recent years among global cocoa producers, behind Côte d’Ivoire, Ghana, Ecuador and Cameroon. While the two top producers, Côte d’Ivoire and Ghana, suffered significant output shortfalls due to unfavourable weather, Nigeria, which had a better crop, lacked the output scale to make the most of the opportunity.
Still, the country produced more than 300,000 tons of the crop in the 2023-24 season. Some expect an even better harvest in the current season due to improved weather. The government is keen to capitalise on this.
Prices for cocoa futures have started retreating from their record levels, and were ranging between $7,844 and $8,415 per ton in March, according to a market assessment published on 11 April by the International Cocoa Organization (ICCO).
Weighing on the market were weakening demand and an expectation that most of the West African producers, who account for 70% of global production, will have a better season than the 2023-24 season. The current season is the first in three years in which the ICCO is expecting a production surplus. But it is unlikely to result in a wholesale reset of prices, given the vagaries of the supply chain.
Indeed, with hedge funds betting on cocoa futures and driving the record prices of recent years, younger people in Nigeria are beginning to see a future in cocoa farms. Some are establishing new farms and planting early-maturing varieties that yield pods within three years, according to officials at the Cocoa Association of Nigeria (CAN).
Yet, even while the government has been applauded for initiating the return of an industry board, some stakeholders have their misgivings.
Sayanna Riman, a cocoa farmer and a former president of the CAN, which groups farmers, buyers and processors, says that a board could lead to creeping government interference that ultimately may not be in the interest of farmers. What the industry needs, rather than an interfering body, Riman says, is more sensitivity to the challenges that farmers face and targeted support to help them make the most of the era of high prices. “What the cocoa industry needs is investments and more standardisation,” Riman concludes.
By Dulue Mbachu, African Business
Thursday, May 15, 2025
Nigeria's Aliko Dangote 'comfortable' with impact of Trump tariffs on urea exports
LAGOS (Reuters) -Nigerian billionaire Aliko Dangote said on Thursday he was "comfortable" with the impact President Donald Trump's tariffs would have on his urea exports to the U.S. because major competitor Algeria had been slapped with a higher levy.
Trump imposed a 14% tariff on imports from Nigeria, Africa's largest oil exporter, as part of widespread trade measures introduced last month, later paused for 90 days.
Dangote told an investment conference in Lagos that Dangote Fertiliser, which began commercial operations in 2022, shipped 37% of its 3 million metric tonnes of urea production to the United States.
He said he was initially worried by Trump's tariff on Nigeria, which also exports crude to the U.S.
"But when I checked who we are really competing with, we are competing with Algeria. So luckily for us Algeria were slapped with 30%," said Dangote. "So it actually makes us a bit comfortable."
Dangote, who built Africa's largest petroleum refinery, said he expected revenues from Dangote Group, also a major cement producer, to grow to more than $30 billion next year from about $25 billion projected in 2025.
Trump imposed a 14% tariff on imports from Nigeria, Africa's largest oil exporter, as part of widespread trade measures introduced last month, later paused for 90 days.
Dangote told an investment conference in Lagos that Dangote Fertiliser, which began commercial operations in 2022, shipped 37% of its 3 million metric tonnes of urea production to the United States.
He said he was initially worried by Trump's tariff on Nigeria, which also exports crude to the U.S.
"But when I checked who we are really competing with, we are competing with Algeria. So luckily for us Algeria were slapped with 30%," said Dangote. "So it actually makes us a bit comfortable."
Dangote, who built Africa's largest petroleum refinery, said he expected revenues from Dangote Group, also a major cement producer, to grow to more than $30 billion next year from about $25 billion projected in 2025.
Thursday, May 1, 2025
Video - Experts call for Nigerian to boost ties with China as U.S. tariff threat looms
Nigeria is under pressure to diversify its trade partners after the U.S. announced a potential 14 percent tariff on its exports. Manufacturers warn the move could drive up production costs, affecting both businesses and consumers. Economic experts are now urging the government to deepen partnerships with China and tap into the country’s vast untapped mineral reserves to boost export resilience.
Tuesday, April 22, 2025
Video - Nigeria food crisis deepens
Nigeria is in the grip of a worsening food crisis. Inflation is crippling farmers and traders, and millions face hunger. Despite a new emergency plan, critics say lasting solutions are still missing.
Russia is set to initiate new shipping line with Nigeria
The service, which is scheduled to begin operations in mid-June, will be operated by Russia's A7 African Cargo Line.
Initially, two 700-TEU container ships will service the route, with future development plans aimed at Senegal, as reported by Sputnik.
According to Maxim Petrov, Russia's Trade Representative in Nigeria, the shipping line would facilitate the sale of Russian agricultural products, machinery, and transportation equipment to Nigeria.
In return, it will allow Russia to purchase cotton from fellow West African state, Mali, a crucial regional product with an annual yield of over 650,000 tons.
Simultaneously, Nigeria and Russia are strengthening military relations.
Initially, two 700-TEU container ships will service the route, with future development plans aimed at Senegal, as reported by Sputnik.
According to Maxim Petrov, Russia's Trade Representative in Nigeria, the shipping line would facilitate the sale of Russian agricultural products, machinery, and transportation equipment to Nigeria.
In return, it will allow Russia to purchase cotton from fellow West African state, Mali, a crucial regional product with an annual yield of over 650,000 tons.
Simultaneously, Nigeria and Russia are strengthening military relations.
Russia and Nigeria’s growing ties in 2025 so far
In March 2025, Russian Deputy Minister of Defense Yunus-bek Yevkurov and Nigeria's Chief of Defense Staff, General Christopher Musa, met to explore the extension of the two nations' current defense cooperation.
This military partnership stems from a 2021 deal under which Russia would supply training, logistics, and equipment to the Nigerian military.
Financial relations have also improved. In February 2025, Russia officially added Nigeria to the list of countries eligible for currency trading in its banking system.
Tunisia and Ethiopia were also included, bringing the total number of eligible African countries to seven and further integrating the region into Russia's financial efforts.
The previous list, authorized in September 2023, comprised Algeria, Egypt, Morocco, and South Africa.
This inclusion corresponds with Nigeria's admission to the BRICS group of nations as a partner country. Following South Africa, Nigeria became the second African nation and ninth member to achieve BRICS partner status in January 2025.
These initiatives, taken together, provide a picture of Russia and Nigeria's quickly changing relationship, one that is moving beyond rhetoric and into tangible cooperation.
In March 2025, Russian Deputy Minister of Defense Yunus-bek Yevkurov and Nigeria's Chief of Defense Staff, General Christopher Musa, met to explore the extension of the two nations' current defense cooperation.
This military partnership stems from a 2021 deal under which Russia would supply training, logistics, and equipment to the Nigerian military.
Financial relations have also improved. In February 2025, Russia officially added Nigeria to the list of countries eligible for currency trading in its banking system.
Tunisia and Ethiopia were also included, bringing the total number of eligible African countries to seven and further integrating the region into Russia's financial efforts.
The previous list, authorized in September 2023, comprised Algeria, Egypt, Morocco, and South Africa.
This inclusion corresponds with Nigeria's admission to the BRICS group of nations as a partner country. Following South Africa, Nigeria became the second African nation and ninth member to achieve BRICS partner status in January 2025.
These initiatives, taken together, provide a picture of Russia and Nigeria's quickly changing relationship, one that is moving beyond rhetoric and into tangible cooperation.
By Chinedu Okafor, Business Insider Africa
Monday, April 14, 2025
Video - Nigerian exporters brace for impact as U.S. tariff pause sparks urgency
While the temporary suspension of 14 percent U.S. tariffs offered brief relief, experts warned Nigeria must act fast to negotiate a long-term solution with U.S. President Donald Trump or risk deeper economic fallout and declining investor confidence.
Monday, March 3, 2025
Video - Nigerian car dealers warn proposed U.S. tariff on auto imports would hurt consumers
The United States plans to impose a 25 percent tariff on imported vehicles. Car dealers in Nigeria worry that the added costs will significantly drive up prices locally. A large portion of imported vehicles in Nigeria come from the United States.
Thursday, February 27, 2025
Nigeria partners with China Foreign Trade Centre to strengthen trade relations
Africa's participation in China's bi-annual Canton Fair has been growing, with Nigeria among the biggest participants from the continent. Companies and entrepreneurs met in Lagos to strategize for the upcoming April event.
Wednesday, February 26, 2025
Video - Nigeria partners with China Foreign Trade Centre to unlock new markets
Nigerian entrepreneurs and businesses are strategizing in Lagos to maximize opportunities at the upcoming 2025 Spring Canton Fair in Guangzhou, China, set to begin in mid-April.
Monday, February 3, 2025
Freight fraud from India to Nigeria
The Cyber Security Bureau in Telangana, a state of India, has launched an investigation into a major fraud scheme involving 18 former Amazon employees who allegedly manipulated the company’s delivery system to claim about $11.8 million in fraudulent transportation reimbursements.
The scheme revolved around falsified delivery trips registered within Amazon’s logistics system. Authorities say the accused, in collaboration with U.S.-based suppliers, created fake delivery records, claiming to have transported goods to customers who were either unavailable or had incorrect addresses. This allowed them to pocket transportation fees without ever completing the deliveries.
Amazon’s internal audit uncovered the scam, prompting a formal complaint. The fraudulent activities reportedly took place at the company’s Relay Operation Center in Hyderabad, the capital of Telangana, which monitors global shipments. Investigators are now scrutinizing the operations of the former employees and their network to understand the full extent of the fraud.
A case has been registered against 22 individuals. As authorities dig deeper, more revelations are expected about how the individuals bypassed Amazon’s security measures.
This case underscores the growing sophistication of fraud in the logistics industry and the need for stringent internal controls, advanced fraud detection systems and continuous monitoring to prevent financial losses.
The scheme revolved around falsified delivery trips registered within Amazon’s logistics system. Authorities say the accused, in collaboration with U.S.-based suppliers, created fake delivery records, claiming to have transported goods to customers who were either unavailable or had incorrect addresses. This allowed them to pocket transportation fees without ever completing the deliveries.
Amazon’s internal audit uncovered the scam, prompting a formal complaint. The fraudulent activities reportedly took place at the company’s Relay Operation Center in Hyderabad, the capital of Telangana, which monitors global shipments. Investigators are now scrutinizing the operations of the former employees and their network to understand the full extent of the fraud.
A case has been registered against 22 individuals. As authorities dig deeper, more revelations are expected about how the individuals bypassed Amazon’s security measures.
This case underscores the growing sophistication of fraud in the logistics industry and the need for stringent internal controls, advanced fraud detection systems and continuous monitoring to prevent financial losses.
Nigeria’s cargo tracking woes 🚚
In an effort to curb rampant fraud and illicit activities within its maritime sector, Nigeria is set to implement the International Cargo Tracking Note (ICTN) in Q2 2025. The Nigerian Shippers’ Council (NSC) will oversee the rollout, despite significant opposition from key industry stakeholders.
The ICTN is designed to enhance transparency, security and efficiency in cargo tracking. However, many in the shipping and logistics industry argue that it will lead to increased costs and bureaucratic hurdles, and despite its potential benefits, the initiative has faced multiple setbacks due to internal conflicts, corruption and resistance from industry players.
Nigeria’s maritime sector suffers an estimated $500 million loss annually due to cargo fraud, under-declaration and inefficiencies. Over the past five years, this has amounted to a staggering $2.5 billion in lost revenue.
The implementation of ICTN has sparked strong resistance from shipping lines, importers and logistics operators. The chairman of the Shipping Lines Association of Nigeria, Boma Alabi, has voiced concern that the initiative will function as an additional tax, increasing costs for businesses and consumers. Similarly, Segun Musa, national vice president of air logistics at the National Association of Government Approved Freight Forwarders, labeled ICTN an “intellectual fraud,” arguing that it will lead to double inspections, one at the point of origin and another upon arrival, negating the purpose of Nigeria’s existing inspection policy.
Despite these criticisms, NSC Executive Secretary Pius Akutah has defended the ICTN, emphasizing its potential to boost government revenue and reduce smuggling, including illicit shipments of arms and drugs. The minister of Marine and Blue Economy, Gboyega Oyetola, acknowledged flaws in the past administration’s approval process but stressed the need to implement ICTN as part of the government’s economic diversification strategy.
As Nigeria moves toward ICTN implementation, the freight and logistics industry will closely monitor its impact, particularly in mitigating fraud, improving cargo security and enhancing port efficiency. The coming months will be crucial in determining whether ICTN can be the game-changer the Nigerian maritime sector desperately needs.Check out a past commentary on FreightWaves about the modernization of Africa’s logistics capabilities here.
Kal Freight’s bankruptcy update 💸
Kal Freight’s bankruptcy case continues to unfold, revealing deeper scrutiny into its financial dealings and prospects. The California-based trucking company, which filed for Chapter 11 bankruptcy protection in December amid allegations of fraudulent activity, now faces increased pressure from creditors demanding an independent investigation.
This week, creditors urged a Texas bankruptcy judge to appoint an independent examiner to further investigate allegations of pre-petition fraud and mismanagement. The move signals growing concerns over the company’s financial conduct before its bankruptcy filing, particularly in light of the accusations that Kal Freight fraudulently obtained nearly $17 million from Daimler and engaged in unauthorized asset transfers totaling tens of millions of dollars.
Kal Freight is now working on a Chapter 11 reorganization plan, expected to be filed in February. The plan may take one of two paths: a sale of the business or a restructuring aimed at keeping the company operational.
More developments are anticipated in the coming weeks as Kal Freight’s bankruptcy proceedings continue to evolve.
In an effort to curb rampant fraud and illicit activities within its maritime sector, Nigeria is set to implement the International Cargo Tracking Note (ICTN) in Q2 2025. The Nigerian Shippers’ Council (NSC) will oversee the rollout, despite significant opposition from key industry stakeholders.
The ICTN is designed to enhance transparency, security and efficiency in cargo tracking. However, many in the shipping and logistics industry argue that it will lead to increased costs and bureaucratic hurdles, and despite its potential benefits, the initiative has faced multiple setbacks due to internal conflicts, corruption and resistance from industry players.
Nigeria’s maritime sector suffers an estimated $500 million loss annually due to cargo fraud, under-declaration and inefficiencies. Over the past five years, this has amounted to a staggering $2.5 billion in lost revenue.
The implementation of ICTN has sparked strong resistance from shipping lines, importers and logistics operators. The chairman of the Shipping Lines Association of Nigeria, Boma Alabi, has voiced concern that the initiative will function as an additional tax, increasing costs for businesses and consumers. Similarly, Segun Musa, national vice president of air logistics at the National Association of Government Approved Freight Forwarders, labeled ICTN an “intellectual fraud,” arguing that it will lead to double inspections, one at the point of origin and another upon arrival, negating the purpose of Nigeria’s existing inspection policy.
Despite these criticisms, NSC Executive Secretary Pius Akutah has defended the ICTN, emphasizing its potential to boost government revenue and reduce smuggling, including illicit shipments of arms and drugs. The minister of Marine and Blue Economy, Gboyega Oyetola, acknowledged flaws in the past administration’s approval process but stressed the need to implement ICTN as part of the government’s economic diversification strategy.
As Nigeria moves toward ICTN implementation, the freight and logistics industry will closely monitor its impact, particularly in mitigating fraud, improving cargo security and enhancing port efficiency. The coming months will be crucial in determining whether ICTN can be the game-changer the Nigerian maritime sector desperately needs.Check out a past commentary on FreightWaves about the modernization of Africa’s logistics capabilities here.
Kal Freight’s bankruptcy update 💸
Kal Freight’s bankruptcy case continues to unfold, revealing deeper scrutiny into its financial dealings and prospects. The California-based trucking company, which filed for Chapter 11 bankruptcy protection in December amid allegations of fraudulent activity, now faces increased pressure from creditors demanding an independent investigation.
This week, creditors urged a Texas bankruptcy judge to appoint an independent examiner to further investigate allegations of pre-petition fraud and mismanagement. The move signals growing concerns over the company’s financial conduct before its bankruptcy filing, particularly in light of the accusations that Kal Freight fraudulently obtained nearly $17 million from Daimler and engaged in unauthorized asset transfers totaling tens of millions of dollars.
Kal Freight is now working on a Chapter 11 reorganization plan, expected to be filed in February. The plan may take one of two paths: a sale of the business or a restructuring aimed at keeping the company operational.
More developments are anticipated in the coming weeks as Kal Freight’s bankruptcy proceedings continue to evolve.
By Grace Sharkey, Freight Waves
Wednesday, January 22, 2025
Video - Nigeria joins BRICS as ninth partner country
Following Uganda’s recent inclusion, Nigeria has officially joined the BRICS alliance as a partner country, strengthening its economic, trade, and geopolitical ties with member countries China, India, Brazil, and Russia.
Friday, September 27, 2024
Nigeria ranks first in cassava production, yet imports
Although Nigeria is ranked number one in cassava production globally, she imported about $54, 200 in cassava in 2022, becoming the 121st largest importer of cassava in the world.
This was disclosed at the Ist National Conference of Industrial Cassava Stakeholders Association of Nigeria (ICSAN) titled “The Golden Crop: Harnessing the Economic Potential of Cassava for National Development through Industrialization,” which held at Ikeja, Lagos.
Delivering a keynote address at the conference on the theme, Prof. Lateef Oladimeji Sanni, President, International Society for Tropical Root Crops, International Institute of Tropical Agriculture and Executive Director, Nigerian Stored Products Research Institute, Ilorin and Federal University of Agriculture, Abeokuta, also said Nigeria exported $733, 000 in cassava in the same year, making it the 61st largest exporter of cassava in the world.
After the President of ICSAN, Mr. Segun Ladele, gave the opening address, Prof Oladimeji further gave an insight into the cassava industry and its significance to Nigeria’s economy.
He defined industrialization as “the mass production of goods in a factory system, which involves some degree of mechanized production technology,” saying industrialisation enables the business environment, promotes private sector leadership, facilitates renewal for sunset industries, and encourages innovators.
According to Oladimeji, as at 2022, cassava was the 1063rd most imported product in Nigeria.
“Nigeria,” he said, “imports cassava primarily from United Kingdom ($49.2k), Brazil ($2.68k), Cameroon (1.91k), Niger ($321), and Belgium ($33).
He said Egypt is the only African country ranked among the world’s top ten highest exporters of cassava, with an export value of $81.8 million with less than 1% share (0.94%) of the total producers and export value of cassava in Africa and globally.
Apart from garri, lafun, fufu, etc., cassava products have a wide range of value chain such as in the making of bread, cake, candies, ice cream, beverages, fuel ethanol, animal feeds, furniture, paper and wood. All these lead to job creation, food security and incomes for farmers.
He identified some of the challenges facing cassava production in Nigeria as government inconsistent policy, increase in foreign exchange in the course of the project implementation, destruction of cassava farmland by cattle herdsmen, insecurity and communal clashes, lack of infrastructural facilities, little access to credit facilities, and lack of enough partnership and collaboration.
He proposed packaging differentiation, product diversification, regional standards and quality control, appropriate processing equipment, viable regulatory system, capacity building, and marketing channels as the way forward for the cassava industry in Nigeria.
He also prescribed that “government MUST be the catalyst, enabler and regulator of the cassava industry. There is the need for key players to ensure that private-led actions geared towards sustaining the development of cassava-based industries are initiated and advocated. There should be fair public incentives and funding within the geopolitical zone of the federation,” he said.
By Osa Mbonu-Amadi, Vanguard
Monday, September 16, 2024
Video - Nigerian entrepreneur turns banana waste into business gold
Tera Korumene Robinson is transforming banana and plantain stems into organic hair extensions and eco-friendly products. Her innovative approach is turning waste into wealth, driving sustainability and business success in Nigeria.
Tuesday, June 25, 2024
Video - NEVs, digital economy are key areas for cooperation with China according to foreign minister of Nigeria
During his official visit to China, Nigeria's Foreign Minister Yusuf Maitama Tuggar said that the China-Africa cooperation framework, as represented by the Forum on China-Africa Cooperation and the Belt and Road Initiative, has provided rare development opportunities for a broad range of African countries, including Nigeria, in an exclusive interview with CGTN's China Africa Talk host Bridget Mutambirwa.
Related story: Rail projects in Nigeria drive home China's belt and road commitment to African infrastructure development
Wednesday, June 19, 2024
Nigeria Spends $600m Importing Palm Oil Annually
Alphonsus Inyang, the national president of the association, stated this in an interview with NAN yesterday in Abuja. He described the expenses as unhealthy for national development.
Inyang said the money could be saved and injected into the economy if the palm oil sub-sector was given due attention by successive governments.
The president regretted that Nigeria, which was self-sufficient in palm oil production in the past, now spends a huge amount to import the same product.
Inyang recalled that in the 60s, Nigeria was number one in palm oil production and exportation globally, controlling over 60 per cent of world palm oil.
He said that the reverse was the case at the moment as over 50 percent of what we consume is imported.
“At the moment, the country occupies the fifth position in the league of palm oil-producing countries after Indonesia, Malaysia, Thailand and Colombia.
“Nigeria may even lose the position to smaller countries who are investing heavily in the sector.
“Indonesia occupies the first position, producing 50 million metric tons, Malaysia second with 19 million metric tons, Thailand 3.28 million and Colombia 1.9 million metric tonnes,” he said.
The president attributed the challenge to the neglect of the sector by successive governments.
Inyang said that based on the U.S. The Department of Agriculture, Nigeria currently occupies fifth position in the league of palm oil-producing countries with 1.5 percent or 1.4 million metric tonnes of the world’s total output.
“Nigeria was overthrown as the world’s largest palm oil producer and exporter by Malaysia and Indonesia in 1966.
“Currently, Nigeria is the largest consumer of the product in the continent, consuming approximately three million metric tons yearly.
“Domestic production stands at less than 1.4 million metric tons, leaving a deficit of over 1.6 million metric tonnes,’’ he said.
Inyang specifically called on the federal ministry of agriculture and food security, to support NPPAN members with seedlings to develop 250,000 hectares per year.
“Our members can plant up to 250,000 hectares per year through the association’s National Oil Palm Strategy Development Plan; all we want are inputs.
“The government does not need to give and develop land for us, we need seedlings, fertilisers, logistics and implements to close this gap within four years.
“We will also create new millionaires in 28 states of the federation,” he said.
Related story: Video - Nigerian palm farmers eye lucrative opportunities in domestic market
Monday, May 20, 2024
Video - Nigeria sesame industry booms as global demand continues to surge
With experts predicting a 500 percent growth in the country's sesame seed exports in the coming years, stakeholders want to make sure the sesame seed supply chain is properly managed.
Related story: Video - Soaring fuel prices in Nigeria threaten agricultural prosperity
Wednesday, April 24, 2024
Video - Nigeria aims to ramp up cocoa production amid global shortages
With increasing global demand for chocolate and cocoa prices soaring due to the worst supply shortage in four decades, Nigeria is looking to boost local cocoa production to capitalize on this opportunity.
Related story: Video - Cocoa grown illegally in rainforest in Nigeria heads to companies that supply major chocolate makers
Thursday, April 18, 2024
Video - Trade ties deepen between China and Nigeria
China's growing demand for Nigerian goods is deepening trade relations between the two nations. Last year, trade volumes between Nigeria and China reached almost 23 billion U.S. dollars, marking a significant shift in the rising economic ties.
Related story: Rail projects in Nigeria drive home China's belt and road commitment to African infrastructure development
Wednesday, April 10, 2024
Video - Nigeria advocates for increased patronage of locally manufactured goods
In a bid to alleviate the country's over-dependence on imports, which has contributed to the devaluation of the Naira against the U.S. dollar, the Nigerian government is championing the consumption of domestically produced goods. However, this initiative faces challenges, with the Manufacturers Association of Nigeria citing the closure of over 700 companies and distress among 300 others due to various hurdles.
Related story: Video - Nigeria manufacturing sector braces for higher production cost
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