Nigeria’s Q1 2023 Agricultural Exports: A Deep Dive into Top 10 Revenue Generators.

by | Dec 27, 2023 | Agricultural Exports | 0 comments

Introduction: In the first quarter of 2023, Nigeria witnessed a substantial surge in agricultural exports, with the top 10 commodities raking in an impressive N279.64 billion in revenue, according to the latest data from the National Bureau of Statistics (NBS). This represents a significant year-on-year increase of 38.7%, showcasing the country’s growing influence in the global agricultural market.

1. Cocoa Beans: Cocoa beans emerged as the leading agricultural export, contributing N102.71 billion, equivalent to 36.73% of total agricultural exports. Nigeria, ranked as the fourth-largest global cocoa grower, primarily exported this commodity to countries such as the Netherlands, Malaysia, Indonesia, Belgium, Germany, and Italy.

2. Sesame Seeds: With an export value of N67.66 billion, sesame seeds secured the second spot, constituting 24.20% of Nigeria’s total agricultural exports in Q1 2023. China emerged as the primary importer, while Japan, Vietnam, Turkey, and South Korea also contributed to this significant export.

3. Soybeans: Nigeria’s soybean exports, valued at N38.63 billion, accounted for 13.8% of total agricultural exports. Driven by increasing production and high demand, the country exported soybeans to India, Canada, Turkey, Nepal, and Pakistan, showcasing its potential for sustained growth.

4. Cashew Nuts: With a notable presence in the cashew industry, Nigeria exported cashew nuts, both in shells and shelled, amounting to N34.02 billion, representing 12.17% of total agricultural exports. The country’s annual production growth and rising market share emphasize its growing influence in global cashew production.

5. Other Cut Flowers & Flower Buds: Generating N13.0 billion in revenue, other cut flowers and flower buds accounted for 4.65% of total agricultural exports, highlighting their ornamental appeal and market demand.

6. Ginger: Nigeria’s ginger exports, valued at N7.48 billion, constituted 2.67% of total agricultural exports. The country holds a significant share, accounting for 40% of global ginger production, according to statistics from the Food and Agriculture Organisation.

7. Frozen Shrimps and Prawns: Frozen shrimps and prawns contributed N5.13 billion, making up 1.8% of total agricultural exports. These versatile seafood products find applications in salads, pasta, and various culinary delights.

8. Cocoa Butter: Nigeria exported natural cocoa butter, amounting to N4.88 billion, contributing 1.75% to total agricultural exports. The Nigerian Export Promotion Council (NEPC) sees promising markets in the Netherlands, France, Canada, Turkey, and Poland.

9. Other Oil Seeds and Oleaginous Fruits: Accounting for N1.19 billion in revenue, other oil seeds and oleaginous fruits constituted 0.43% of total agricultural exports, showcasing the diverse range of commodities contributing to Nigeria’s export revenue.

10. Roasted Cocoa Beans: Roasted cocoa beans, earning Nigeria N1.01 billion, rounded off the top 10 list, indicating the country’s prowess in value-added cocoa products.

Conclusion: Nigeria’s thriving agricultural exports in Q1 2023 underscore the nation’s diverse portfolio and growing influence in global markets. With a strategic focus on key commodities, the country continues to position itself as a major player in the international agricultural landscape.

Nigeria’s Cashew Industry: A Growing Powerhouse.

by | Dec 27, 2023 | Agricultural Exports | 0 comments

Production Milestones

With a rich history spanning 60 years, Nigeria stands proudly as a major player in the global cashew production landscape. Producing between 220,000 to 240,000 tonnes of inshell cashews annually, the nation has secured its position as the 6th largest producer worldwide and the 3rd largest in Africa. This thriving industry spans across 22 states, involving both smallholders and commercial farmers in its cultivation.

Yields and Quality Improvement

Efforts to enhance productivity have borne fruit, with yields ranging from 300 to 800 kilograms per hectare. A crucial aspect of this success is the focus on improving quality. The introduction of new varieties like Brazil Jumbo and Medium has contributed to the sector’s evolution. Notable quality benchmarks include the “Ogbomosho” cashew, boasting an impressive 47-49lbs and 190 nut count, and the “Nigerian” variety with a range of 42-46lbs and 195-205 nut count. Early cropping from February to April adds to the strategic advantage of Nigeria’s cashew production.

Trends in Growth

Nigeria’s cashew sector is experiencing a remarkable growth trend, with a 10% Compound Annual Growth Rate (CAGR) over the past decade. The proactive replacement of aging trees further fuels this upward trajectory. Forecasts indicate that this positive momentum is set to continue. Emerging varieties and a commitment to quality are shaping the future of Nigeria’s cashew production.

Market Dynamics

A significant portion, 85%, of Nigeria’s cashew production is exported inshell, with Vietnam and India being the primary destinations, capturing 81% and 19%, respectively. The processing of kernels has become a pivotal aspect, amounting to 7-10,000 tonnes of Raw Cashew Nuts (RCN). Notably, the export of kernels is on a steady rise, experiencing an 8% CAGR over the past five years.

Transformative Developments

Nigeria’s cashew sector is undergoing a profound transformation. The replacement of aging trees with high-quality varieties signifies a commitment to sustainable and competitive agriculture. The surge in commercial cashew farming and advancements in post-harvest handling address historical challenges, particularly the cumbersome peeling process.

Export Dynamics

Nigeria boasts the lowest export taxes on RCN in Africa, adding a competitive edge to its international trade. While the nation possesses the capacity to process 25,000 to 35,000 tonnes of cashew annually, only about one-third of this potential is currently utilized. However, this scenario is evolving, reflecting the dynamic changes within the industry.

Domestic Market Leadership

Noteworthy is Nigeria’s position as West Africa’s leader in the domestic cashew kernel market. As the nation’s economy continues to develop, this market is poised for further expansion. The interplay between domestic consumption and international trade positions Nigeria at the forefront of the cashew industry in the region.

In conclusion, Nigeria’s cashew industry is not only steeped in history but is also charting an exciting path forward. With a commitment to quality, sustainability, and innovative practices, Nigeria is solidifying its standing as a key player in the global cashew market. As the sector undergoes rapid development, the nation’s cashew story is one of growth, transformation, and the promise of a flourishing future.

This information is at November 2021. New updates are coming your way soon.