Connect with us

Markets

Nigerian Food Industry Worth Over 1trillion Naira, AFFCON

Published

on

food
  • Nigerian Food Industry Worth Over 1trillion Naira

The Association of Fast Food and Confectioners of Nigerian (AFFCON), an umbrella body of Quick Service Restaurants (QSR) has revealed that the Nigerian food industry is estimated to worth over a trillion Naira, with the Fast Food segment gulping over N250 billion, and this number is still expected to rise in the future.

Euromonitor, a leading research firm also stated that the Nigerian food industry is one of the best-performing industries in country despite the economy downturn and huge decline in consumer spending power over the years. The industry has grown so well and consumers are still making the switch from unpackaged and unbranded products to packaged products as they become more aware.

They further revealed that apart from providing aesthetic appeal, the packaging of food products also has a protective role to play. This was revealed at a stakeholder’s forum held at the La Casera factory this week.

Another segment they said worth examining is the Carbonated Soft Drink (CSD) segment, which undoubtedly has become the most competitive and aggressive in the food industry as a whole. This is as a result of changes in consumer’s lifestyle and their demand for quality, durability and convenience, which saw the transition from the use of glass bottles for beverages to highly versatile PETs and Tetrapak designs.

The CSD market in Nigeria has continued to grow despite economic difficulties even as new brands make their way into Africa’s biggest market. CSD’s share joint demand with food and fast foods, which further helps both segments to stay afloat.

Reacting to health concerns over its use as a packaging material, the Food and Drug Administration (FDA), Health Canada, the European Food Safety Authority and NAFDAC have all agreed that “PET is a biologically inert material that doesn’t react with foods or beverages and it is resistant to attack by micro-organisms, as it has been thoroughly reviewed and approved as safe for contact with food and drinks.”

Food processing offer consumers a range of products which comes in different forms such as nuts, baked foods, canned drinks, carbonated beverages and several others, the Nigerian market has also witnessed this array of products, especially in the Carbonated Soft Drink (CSD) segment like La Casera, who pioneered the use of PET bottles in Nigeria.

The beverage, which is a leading CSD brand, made its debut in the Nigerian market in 2001 as the first of its kind in PET bottle, containing 4% apple juice concentrate, which makes it distinct.

The Special Assistant to the Director General, NAFDAC, Mr. William Effiok who represented Mrs. Yetunde Oni, the NAFDAC DG at the forum, praised the company on its state-of-the-art ultra-modern production line, which is operated with no human interference in the process. On his part, the Director, Product Certification, Standards Organisation of Nigeria (SON), Mr. Bayo Adigun, told Nigerians that his visit to the production facility was more of an exercise to foster greater relationship, as SON already certified the company since its inception, and its consumption as a healthy drink is guaranteed.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

Continue Reading
Comments

Energy

Unlocking Investments into Africa’s Renewable Energy Market

Published

on

green energy - Investors King

The African Energy Guarantee Facility (AEGF) is launching a virtual roadshow of free webinars allowing a deeper understanding of risk issues for renewable energy projects on the continent, and conversations around risk mitigation solutions. The first webinar will take place on Thursday, 23 September from 14:30-16:00 hrs. EAT. 

The session will be oriented on how to get more energy projects from the drawing board to the grid. While the energy demand in African economies is expected to nearly double by 2040, and although the potential for renewable energy is 1,000 times larger than the demand, only 2GW out of almost 180GW of this new renewable power were added on the African continent.

Clearly not good enough! To improve the situation within the next two decades, new solutions need to be implemented urgently. De-risking and promoting private sector investments will play a crucial part of it.

In this 90-min interactive session, AEGF partners: the European Investment Bank (EIB), KfW Development Bank, Munich Re and the African Trade Insurance Agency (ATI) will share their experience and provide valuable insights on how they were able to come together and design practical solutions for investors and financiers of green energy projects in Africa aligned with SDG7 objectives.

Across Africa, the complexity of renewable energy projects and their long tenors hold back crucial energy investment. Tailored to the specific needs and risk profiles of sustain­able energy projects, AEGF will tackle the investment challenge by providing underwriting expertise and capacity tailored to market needs.

The AEGF will significantly boost private investment in sustainable energy projects, both expanding access to clean energy and contribute to achieving UN Sustainable Development Goals. The scheme supports new private sector investment in eligible renewable energy, energy efficiency and energy access projects in sub-Saharan Africa.

Continue Reading

Energy

Shell Signs Agreement To Sell Permian Interest For $9.5B to ConocoPhillips

Published

on

Shell profit drops 44 percent

Shell Enterprises LLC, a subsidiary of Royal Dutch Shell plc, has reached an agreement for the sale of its Permian business to ConocoPhillips, a leading shales developer in the basin, for $9.5 billion in cash. The transaction will transfer all of Shell’s interest in the Permian to ConocoPhillips, subject to regulatory approvals.

“After reviewing multiple strategies and portfolio options for our Permian assets, this transaction with ConocoPhillips emerged as a very compelling value proposition,” said Wael Sawan, Upstream Director. “This decision once again reflects our focus on value over volumes as well as disciplined stewardship of capital. This transaction, made possible by the Permian team’s outstanding operational performance, provides excellent value to our shareholders through accelerating cash delivery and additional distributions.”

Shell’s Upstream business plays a critical role in the Powering Progress strategy through a more focused, competitive and resilient portfolio that provides the energy the world needs today whilst funding shareholder distributions as well as the energy transition.

The cash proceeds from this transaction will be used to fund $7 billion in additional shareholder distributions after closing, with the remainder used for further strengthening of the balance sheet. These distributions will be in addition to our shareholder distributions in the range of 20-30 percent of cash flow from operations. The effective date of the transaction is July 1, 2021 with closing expected in Q4 2021.

Shell has been providing energy to U.S. customers for more than 100 years and plans to remain an energy leader in the country for decades to come.

Continue Reading

Crude Oil

Oil Gains 1 Percent on Possible Tight Supply 

Published

on

Oil prices - Investors King

Oil prices rose on Tuesday as analysts pointed to signs of U.S. supply tightness, ending days of losses as global markets remain haunted by the potential impact on China’s economy of a crisis at heavily indebted property group China Evergrande.

Brent crude gained 95 cents or 1.3% to $74.87 a barrel by 0645 GMT, having fallen by almost 2% on Monday. The contract for West Texas Intermediate (WTI) , which expires later on Tuesday, was up 91 cents or 1.3% at $71.20 after dropping 2.3% in the previous session.

Global utilities are switching to fuel oil due to rising gas and coal prices, and lingering outages from the Gulf of Mexico after Hurricane Ada that imply less supply is available, ANZ analysts said.

“While slowing Chinese economic growth and uncertainty around the (U.S.) Fed’s tapering timetable weighed on market sentiment, other developments still point to higher oil prices,” ANZ Research said in a note.

Still, investors across financial assets have been rocked by the fallout from heavily indebted Evergrande (3333.HK) and the threat of a wider market shakeout in the longer term.

“Evergrande’s woes are threatening the outlook for the world’s second-largest economy and making some investors question China’s growth outlook and whether it is safe to invest there,” said Edward Moya, senior market analyst at OANDA.

While that view of the state of China’s economy is weighing on markets, the U.S. Federal Reserve is also expected to start tightening monetary policy – likely to make investors warier of riskier assets such as oil.

Continue Reading




Advertisement
Advertisement
Advertisement

Trending