Saturday, 30 June 2018

PROCESSED CASHEW NUT EXPORT: NIGERIA PLANS TO RAKE IN $1.7BN

The Federal Government is planning to get more cashew nuts processing machines nationwide that will enable the country double her export earnings from $800 million to $1.7 billion yearly. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html

Minister of Agriculture and Rural Development, Chief Audu Ogbeh, who disclosed this said that government was already thinking of completing the building of cashew nuts processing facilities nationwide.

Hmmm!!! Folks, let us say the truth and shame the devil. Many Nigerian non-oil products exporters have been defrauded of huge amount of money in the process of exporting agricultural commodities and solid minerals to foreign countries. Do you know why? They were not trained on export operations, management, documentations and the best methods of payment in export trade. This is terrible!!! Nigerians cannot continue to lose money to foreigners in the course of export business. Exporters, would you like to keep on being scammed? Why don’t you get a practical manual that explains the stages of export trade from processing and packaging of commodities to receipt of payment by the foreign buyers? It explains export operations, export management, export documentations and methods of payment in export trade? Yes, it is a contemporary step-by-step guide to export trade. It tells all the contemporary dynamics in export trade. To get it, click on the link below:

According to Chief Ogbe, government will work with the cashew nuts processors and other relevant associations in the value chain to ensure the success of the facility in order to bolster cashew nut production.

He described cashew nut as one of the key non-oil export products the current administration is looking at in order to increase its revenue base, adding that its contribution to national export earnings had been on a steady increase since 2015.

Chief Ogbeh insisted that the current $800 million revenue being realised from cashew nut export to countries like Vietnam, India and United States was not enough considering its inherent potential. He explained that Nigeria was among the top three exporters of cashew nuts to Vietnam and India yearly. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html

“Government would assist with cashew nuts processing machines to enable the country double her export earnings from $800 million to $1.7 billion annually. We send raw cashew nuts to Vietnam and India; they process, create jobs and make two-and-half times the profit that we make. Vietnam earns $3.5 billion a year from cashew nuts bought from Africa – Nigeria, Ghana, Cote d’Ivoire, Mozambique, Guinea Bissau and Tanzania. So, why can’t we process?” Ogbeh noted.

He said despite the challenges facing cashew production, Nigeria was able to increase its production volume with the country becoming the fourth largest producer of the commodity globally.

Particularly, the minister said the country was able to produce 220,000 metric tons in 2017 and exported 120,000 metric tonnes of cashew nuts. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html He also commended the contribution of the National Cashew Association of Nigeria to the improvement of cashew farming, processing and production.

This, he said, had boosted the contribution of the sector to foreign exchange earnings, job creation and the growth of the Nigerian economy. The minister, however, promised that urgent steps would be taken to ameliorate the problems facing cashew farmers and exporters.

This, he said, would be achieved in collaboration with other agencies directly involved with the identified challenges to cashew production, packaging and exportation. He stressed that Nigeria’s exports in 2017 witnessed some positive developments, given the establishment of cashew plantations across the country.

Chief Ogbeh disclosed that only 10 per cent of Nigeria’s annual cashew productions of 150,000 tons were processed in the country. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html Recall that Vetnamese cashew processing firms were forced to close shops recently as exporters in Nigeria explored new markets to boost income. According to NCAN, Nigerian exporters are targeting $3 billion earnings annually to match its Vietnamese counterparts as Central Bank of Nigeria (CBN) decided to support the exporters through its Export Stimulation Fund.

The fund would enable the exporters to acquire processing plants and technology, which will enable them earn N1.08 trillion ($3 billion) income yearly in the global market. According to the President of NCAN, Mr. Tola Faseru, Nigerian cashew brand is presently gaining popularity and referred to as the best at the international market. However, cashew nuts imported by Vietnam from Nigeria are not processed, but when processed, the Vietnamese traders earn a huge trade surplus of $1.85 billion.

It would be recalled that Nigeria had approached Vietnam in 2006 for technology transfer, but the country objected to the idea in order to control the global market. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html The country feared that if Nigeria should obtain the technology, its sales would reduce and this would halt the $2 billion revenue earned annually from the nuts in the global market. Last year, it was gathered that Vietnam sold a ton of processed cashew nuts for $10,000 at the international market, while Nigerian traders earned only $1,200 per ton.

However, this year, the trend has changed as Vietnam Cashew Association’s Vice President, Dang Hoang Giang, explained that shortage of raw materials from Nigeria and other West African countries had affected their firms. He explained that many cashew processing factories, especially small cashew processing firms, had stopped operations. Giang explained that raw cashew nut imports from Africa and the recovery rate had decreased.

On the other hand, Nigeria realised N144.7 billion ($402 million) from the 220,000 metric tons it exported in 2017 to other countries. NCAN president said that about N20 billion was needed to finance cashew exports this year. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html

Faseru explained that if the crop comes out better, the country would have bigger result. He explained that the association was also targeting export earnings of about $3 billion annually to match its Vietnamese counterpart in cashew production.

The president said, “This can only be done or achieved by scaling up production with our value addition and setting up factories.” Faseru said that CBN had agreed to support the produce, especially for its value addition to move beyond the export of raw cashew.” (NewTelegraph)

Have you heard this? Many Nigerian exporters have been defrauded of huge amount of money in the process of exporting commodities to foreign countries. Do you know why? They were not trained on export operations, management, documentations and the best methods of payment in export trade. This is terrible!!! Nigerians cannot continue to lose money to foreigners in the course of export business. Exporters, why don’t you get a practical manual that teaches the stages of export trade from processing and packaging of commodities to receipt of payment by the foreign buyers. It teaches export operations, export management, export documentations and methods of payment in export trade? It is a contemporary step-by-step guide to export trade. It tells all the contemporary dynamics in export trade. To get it, click on the link below:

Hmmm!!! Folks, have you ever imagined how the financial status of your firm will be when more than 20,000 CEOs and other key decision makers of blue-chip corporations pay for your products and services or even give you very juicy deals. The link below will tell you more: http://www.tectono-business.com/2015/07/tectono-business-review-in-conjunction_21.html

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