Analysts advocate export of value-added agro commodities

Business specialists have emphasised the necessity for Nigeria to shift from exporting uncooked agro commodities to value-added merchandise, citing the numerous financial advantages of processing and worth addition.

In response to information from the Worldwide Commerce Centre, Nigeria’s export of uncooked agro commodities reminiscent of cocoa, cashew nuts, and sesame seeds has left a considerable quantity of potential income untapped.

As an example, cocoa exports price $708m left $404m in unrealised potential, whereas cashew nuts had $220m in precise exports and $437m in untapped potential.

Talking with our correspondent on this problem, an agro commodities trade skilled, Friday Maghouga famous that Nigeria’s predominantly uncooked export of cashew nuts means the nation is lacking out on substantial financial advantages.

 “Exporting processed cashew kernels is markedly extra worthwhile than exporting uncooked nuts,” he mentioned.

Maghouga emphasised that transitioning from uncooked exports to processed merchandise can considerably improve income, create employment alternatives, and stimulate financial progress.

“Investing in cashew processing services can catalyze job creation and financial improvement,” he added.

Affiliate Professor Unekwuojo Onuche of the College of Africa, Bayelsa State, additionally confused the significance of worth addition.

“The actual fact is that whenever you add worth to a product, you create employment and enhance GDP. But when all you do is export uncooked supplies, you might be creating alternatives for the importing nations,” he mentioned.

Onuche famous {that a} product with worth addition provides extra to the economic system than the uncooked materials.

“We have to transfer away from simply exporting uncooked supplies and concentrate on including worth to our merchandise. That is the one method we will create jobs, enhance income, and stimulate financial progress,” he emphasised.

Consultants advocate that the federal government ought to implement insurance policies to assist the event of processing services and encourage worth addition within the agro commodities sector.