Over the years, the Nigerian agricultural sector, despite achieving some landmark in the production of certain agricultural products, has not translated into monetary value for producers.
Instead, produce from Nigeria has enriched other countries that become major suppliers of these varieties to other countries, having turned sourced raw produce into premium products meeting international standards.
This is notwithstanding however that Nigeria as a country has enough potential yet to be unlocked in the agricultural space based on some comparative advantages it has over other African countries.
As at 2017, about 36.6 percent of Nigeria’s population engaged in agricultural production at a subsistence level coupled with the fact that Nigeria has the largest market in Africa with a population of more than 200 million people, according to data from the National Bureau of Statistic (NBS).
There are over 30 million hectares of farmland under cultivation, season to season in Nigeria, according to the NBS. Agriculture remains the base of the Nigerian economy, employing about 36.6 percent of total workforce.
Nigeria also currently ranks sixth worldwide and first in Africa in farm output to mention but a few of her potential.
While we can ascribe the underperformance in Nigeria’s agro-produce exports to a number of factors ranging from lack of sensitisation and technical knowledge for subsistence farmers, about 40 percent of perishable food getting spoilt after harvest due to the lack of electricity, and also lack of infrastructure causing delays in the logistics of harvested crops from the farmland to markets in major cities, among others, opportunities therefore opens up for exports into United Arab Emirate (UAE).
Importantly, it is expedient to note why agro businesses should be included on the list of countries to export to, the UAE.
Currently, Nigeria’s major export partners include India with export worth $8.25 billion, United States ($6.68bn), Spain ($4.54bn), France ($2.81bn) and the Netherlands ($2.3bn), UAE not included.
The Nigerian government’s effort in advancing agro-processing will greatly pay off for export, as their most exported products – cocoa beans and cassava, are imported into the Gulf Cooperation Council region in which the UAE is a major importer.
Nigeria is currently the second-largest producer of sorghum in the world, the largest producer of rice in Africa, and also the second largest producer of sesame seed after Ethiopia. Nigeria also leads in yam and cassava production and is the largest producer of hibiscus flower exported to Mexico and Russia.
A research carried out by Crenov8 Consulting Group reveals that about 80 percent of needed food to the tune of $100 billion in the UAE are imported, and the country ranking the second most visited destinations after the USA is expected to rise to $400 billion in current food import in the next six years.
Every year, Africa exports over $35 billion worth of agro produce to other parts of the world, and analysts have speculated that this figure will rise to $400 billion in the next 31 years i.e. by 2050, Crenov8 Research shows.
More so, Dubai is a re-exporting hub to other GCC countries. This, therefore, widens the agro market for agro products for importers, coupled with free zone opportunities.
To this end, major Nigerian agriculture businesses such as Farmcrowdy, Farmcenta, Farmconnet to mention but a few, on perceived opportunities in this market have positioned themselves through a conference themed “Meet the farmers” organized by Crenov8, which is to hold in Dubai November 27 – 28, 2019, to seize opportunities.
Some of the perceived benefits to the Nigerian economy include: Attract foreign direct investments; Contribute to its goal of economic diversity; Improve bilateral trade and country relationships; Raise quality of production to world standards, and Drive innovation in Agriculture to optimize production.
