Stakeholders seek expanded portfolio to boost agric export
Stakeholders are seeking an expanded export portfolio with stronger contributions from other agricultural sectors such as cashew, pepper, fruits, and vegetables. Experts believe that, with increasing international market demand, producers
- By Daniel Essiet
Stakeholders are seeking an expanded export portfolio with stronger contributions from other agricultural sectors such as cashew, pepper, fruits, and vegetables.
Experts believe that, with increasing international market demand, producers can supply more commodities to boost the nation’s competitiveness. They note that there are ample opportunities for agricultural, forestry, and fishery products, as well as textiles and footwear, to achieve sustained export growth.
Chairman, Board of Trustees of the Federation of Agricultural Commodity Association of Nigeria (FACAN), Victor Iyama, said the Federal Government should intensify efforts to promote the export of key commodities as bilateral economic and trade ties continue to expand.
He noted that the government needs to deepen economic and trade relations while expanding opportunities for cooperation with other countries. He emphasised that such cooperation should be guided by the principles of mutual benefit, respect, and practical effectiveness.
Nigeria has an opportunity to boost its export earnings by up to $3.9 billion if it fully exploits untapped global demand for high-value products, according to findings from the International Trade Centre (ITC) Export Potential Map.
The report estimated Nigeria’s total export potential at $7.6 billion. Products with the greatest export potential include cocoa beans, urea, and cashew nuts (in shell). Cocoa beans show the largest absolute gap between potential and current exports in value terms, with additional export opportunities worth $749 million, representing 19 per cent of unrealised export potential.
Cocoa beans currently account for 59 per cent of their export potential, urea 62 per cent, cashew nuts (in shell) 35 per cent, processed cashew nuts 49 per cent, sesamum seeds 52 per cent, and soya beans 16 per cent. Soya beans, however, present the strongest global demand potential.
Export potential for cocoa beans is estimated at $1.8 billion, with baseline exports of $1.1 billion, leaving an unrealised potential of $749 million. Global imports stand at $13 billion, while Nigeria’s exports are about $1.2 billion.
For cocoa butter, fat, and oil, export potential is put at $121 million, with baseline exports of $102 million and an unrealised potential of $91 million. Cocoa paste (defatted) has an export potential of $53 million, with baseline exports of $23 million and additional unrealised opportunities across various markets.
Urea exports have a potential value of $1.6 billion, with current exports at $1 billion and an unrealised potential of $634 million. Global imports stand at $25 billion.
Cashew nuts (in shell) have an export potential of $767 million, with baseline exports of $268 million and an unrealised potential of $501 million. Sesamum seeds have a potential of $628 million, with current exports at $340 million and an unrealised potential of $302 million. Frozen shrimps and prawns have an export potential of $100 million, with baseline exports of $66 million and an unrealised potential of $79 million.
According to the organisation’s trade statistics report, Nigeria’s export data from 2020 to 2024 shows Spain, India, and the Netherlands as consistent top importers. These destinations accounted for over 50 per cent of Nigeria’s exports annually, led by European countries and India.
Commenting on Nigeria’s inability to improve its export competitiveness, the Executive Director, Institute of Export Operations and Management (IEOM), Dr. Ofon Udofia, noted that not much has been done to support private individuals involved in export business.
His words: “You must make it attractive first of all. Is it attractive? That’s the question you should first ask yourself. Is the Nigerian Export Promotion Council, as it were, promoting export? Are we developing export? Do we have an export strategy? Do we plan what we can do in the next five, six years as a nation?
“That’s just the truth. We are trying to do what we are doing from the private sector, but government is not also helping matters. Are the agencies more concerned about your product being ready for export or about collecting money from you? What of the Standards Organisation of Nigeria (SON)? What of the Nigerian Customs Service? What is the Central Bank of Nigeria (CBN) doing? They collect 0.5 per cent from every export done from Nigeria, and they say they are supposed to do what they call the Nigerian Export Supervision Scheme. What do they supervise? If they supervise, why would there be export rejects?
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“We need to bring stakeholders together and improve collaboration. Bring the technocrats together. Bring the civil service. Let them think the same way we are thinking. Customs doesn’t care whether your product is rejected or not. CBN is interested in collecting proceeds from exports.
“We need to know what the challenges are now. There is a whole lot of lacuna. The knowledge gap is large. The Shippers’ Council is busy increasing tariffs. How will export thrive?
“Let me just give you one example. A few years back, if you were to do bulk loading of palm kernel cake from Ivory Coast compared to Nigeria, it was about $15 for the whole transaction, including loading and terminal operations per ton. Now it is already $25 per ton. So how do you compete with them? It becomes an issue.
“So we are playing pranks and politics with export. We are not doing what we are supposed to do.”
