By Joshua Yousouph
Nigerian exporters have given real reasons agricultural products exported from the country are rejected in European and other international markets.
The exporters blamed the neglect on lack of product quality and improper packaging amongst others.
Recall that the Minister of Industry, Trade and Investment, Otunba Adeniyi Adebayo, recently inaugurated a committee to examine and also end the rejection of Nigeria agro produce in the international market. The committee which is headed by the Director, Commodities and Export Department, Mr Suleiman Audu is charged with the responsibility of identifying the major causes of the rejection of the agro produce and proffering appropriate recommendations.
But, speaking with Shipping Position Daily last week, an exporter, trader and Public Relations Officer of the West African Road Transport Union (WARTU), Alhaji Salami Nasiru, noted that due to high cravings for quick money, most Nigerian exporters of agro produces do not follow due processes and regulations.
He also lamented that many of these exporters are not educated and enlightened on the necessary regulatory processes required to export their produce, thereby suffering rejection in the international market.
Speaking further, Nasiru noted that the quality and packaging of agricultural produce determine its acceptability. He cited an example of some exporters who exported 15 bags of beans out of Nigeria and when it was examined and screened in Ghana, they lost five bags due to the presence of foreign bodies and harmful objects contained in the export.
Nasiru also informed that Nigeria is a very big market with more small-scale manufacturers having a highly expensive purchasing power compared to the export price. According to him, this has greatly discouraged the export rate in the country, as exporters cannot export due to the expensive purchasing power of the country.
In his words: “We don’t follow regulations in Nigeria. Everyone is looking for quick money. You don’t go into export without knowing the many procedures. Most of the agricultural exporters don’t register their products and don’t have good quality. Also, many of Nigerian exporters are not educated and not enlightened. If people are not well enlightened, we would always get the same issues. The two major advantages of exports are their quality and packaging. They need to consider the packaging and quality of the products.
“When exports from Nigeria arrive in Ghana, they have to use a machine to remove all bad particles from the beans and later wash it, which most times results to loss concerning the cost of transporting the exports.
“Also, our products are expensive, even more than imports. Nigeria is a very big market with a highly expensive purchasing power compared to the export price. This is because Nigeria is the market itself. When you talk about neighbouring countries such as Ghana and the rest, you will notice that Nigeria has more manufacturing companies. Nigeria has more small-scale manufacturers. If you want to export agricultural products, what you are selling in the Nigerian market can be higher than export. So how can you export something that the purchasing power is expensive in Nigeria?
“When we talk about the cross border, this is the grass root. Before you go into export, you have to consider the purchasing power which is most important. The need to know the local cost of the product, the export’s selling price, the local policy, physical law and various taxes of the export. You need to also consider the grade of the export products. For example, Nigeria has the best tomatoes in Africa because it can stay for three to four days but that of other countries cannot stay more than two days” Nasiru concluded.
On his part, the National President of Barge Operators Association of Nigeria (BOAN); Mr Bunmi Olumekun lamented the gross rejection of Nigerian exports by shipping companies who prefer to visit other neighbouring countries like the Benin Republic to lift export containers rather than coming to Nigeria but prefer to go empty back to their destinations.
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He noted that despite several pleas, the government has refused to come to their aid, but rather succumb to the lobby of foreigners. He informed that exporters pay very high freight rates, compared to neighbouring countries.
He however called on the relevant government agencies to look into challenges faced by Nigerian exporters and take swift actions in proffering long-lasting solutions in order to encourage and develop export in Nigeria.
“Some goods are in the port for about one to two months without sailing with the vessels. Exporters are lamenting and nobody is doing anything about it. I have had some goods in the port for over two months and all documentation has been done. These shipping companies will even come with their vessels without picking goods and go away. To the extent that they will go to the Benin Republic and other neighbouring countries and pick up their containers and return back to their destinations, forgetting Nigerian goods and nobody is talking about it. And we are also paying higher freight rates. Our freight is even higher than that of others because they give them a concession.
“The prices of Cotonou goods are higher than our own. If they are taking our product for 500 dollars, Cotonou goods will attract additional 200 dollars making it 700 dollars. Their ports are well-organized, and their goods are very cheap, but here we face expenses upon expenses and I can tell you, that is why we are not making it. We are on our own”, he lamented.
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