Cashing in on the export of local beverages

Experts on the nation’s economy have for years identified the export of non-oil products as a multi-billion dollar industry waiting to be properly tapped into. According to statistics made available by the Chamber of Commerce, the non-oil product export sector is also rapidly on the upswing.

This has been attributed to the Federal Government’s policy and sustained support for the non-oil industry, especially agriculture. With the fast dwindling revenue from oil and the policy thrust on agriculture, as the way out of the wood, there should be the streamlining of mechanisms to encourage growth, processing, preservation and standardization of food products good enough for export. One veritable sub-sector is that of locally-produced beverages.

It was therefore, a piece of cheering news when the Federal Institute of Industrial Research, Oshodi (FIIRO), Lagos expressed its readiness to export some local beverages such as the popular Zobo and Kunu drinks to parts of Europe and the Middle East.

This was made some three years ago by FIIRO’s resourceful Director General, Dr.(Mrs.) Gloria Elemo during a parley with some women who are fully engaged in the enterprise at Minna, Niger State.

This move, if seen to its logical conclusion would underscore the importance of using a pragmatic synergy between research institutes and the private sector. Furthermore, the hitherto huge potentials inherent in our vast raw materials would be unlocked through modernized local processing.

Just as our cocoa beans, sesame seeds, oil palm nuts, cashew nuts, cashew nuts and cassava sell more in the international market if they are exported as processed, intermediate products, Zobo and Kunu will attract more foreign exchange when processed to internationally accepted standards of food safety.

Also, coming at a time when youth unemployment has become a waiting time-bomb, this salutary move deserves support from both the public and private sectors. One can only imagine the spin-off effects this will add to the value chain. More farmers would be kept busy at increasing their production to increase the volume of the raw materials.

Similarly, more women would become local processors. And if the economic boom is well articulated and handled, it should rub off positively on the local machine fabricators, packaging companies, transporters, those who purchase these drinks in bulk, the retailers and of course, the exporters.

The question begging for answer is how to truly increase the intellectual and financial capacity of the rural farmers and women to meet local and international demands. The other is how to expand the scope to the urban centres.
For instance, it would be observed that on daily basis we see women from the Northern part of the country selling bottled, locally-prepared beverages such as Fura de Nono, Kunu and Zobo along the streets of Lagos.

Yet, some people who would have patronized them are scared because of the safety of those drinks. What is the source of the water used in making them? How thoroughly washed are the bottles used for their packaging? Are the vendors themselves hygienic? Why are they not under the purview of the National Agency for Food and Drug Administration and Control (NAFDAC)?

With a much-respected Agency such as FIIRO spearheading their production and packaging for export the level of confidence of the consumers here and other parts of the world is likely to increase. But there is still much more to be done than said. Critical amongst these is training and re-training of the local producers. On this, FIIRO will do well to partner with the local government councils, NGOs on women and rural community empowerment, local banks and Bank of Industry(BoI).

The re-introduction of the backward integration policy as enunciated during the IBB era has become imperative. What with the scarce foreign exchange to import some raw materials especially those found in abundance across the length and breadth of the country?

Another important step to take is that of the standardization of the local beverages to meet international standards on nutrition, quality assurance and safety. It would indeed be a global feat should these drinks command ISO Certification in a few years to come.

That will certainly boost their global rating value as wee as the attendant sales. To achieve this FIIRO should work hand-in-hand with NAFDAC and the SON. But they need more financial support from the government in this regard.
Not to be left out is the significance of mass sensitization and awareness campaigns.

The mass media should be carried along. Good enough, the Guild of Editors recently endorsed the federal government’s policy for a paradigm shift to agriculture. But to strengthen this resolve, governments at both the federal and state levels should assist the local entrepreneurs by way of providing stable electric power supply and good access roads for effective transportation.

Apart from the locally processed Zobo and Kunu the Nigerian market provides huge export market opportunities for U.S. exporters of fruit juice concentrate. Nigeria’s fruit juice market has grown by as much as 60 percent over the past few years.

This growth which came long before the current recession has been attributed to increasing incomes of Nigerian consumers, an expanding middle class, and greater health-consciousness of consumers. The snag however, is that though the federal government announced the total ban of importation of fruit Juice (either in bottled or packaged form) on the 29th January 2003, the implementation has not been sustained.

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With available fruits such as oranges, mango, tomato, paw-paw, guava and pineapple we can develop local juice concentrate industry.

To fully key into this opportunity you should be prepared for the challenges and protocols of exporting. You equally need to develop a sound and sustainable financial plan. You must understand the legal aspects involved in international transactions.

You should be ready to adhere to strict international standards and client’s specifications. But first, prepare an export marketing plan based on research and selection of one’s target market. The plan should include details that will help you determine the best methods of delivering the product or service to your target market.

But are you ready for this money-spinner? The answer lies in your hands.

.Baje is Nigeria’s first food technologist in the media