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34% Drop in Global Price Threatens Cashew Exports

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Nigeria to expand Cashew Nut export by 2020
  • 34% Drop in Global Price Threatens Cashew Exports

The 2018 crash of commodity prices in the global market has had a huge impact on the Nigerian cashew sector. It has forced many exporters to hold excess stocks of raw cashew nuts bought at a time when prices were more favourable, our correspondent gathered.

Price of raw cashew nuts fell by 50 per cent from N600, 000 ($1,666) per metric tonne in April 2018 to about N300, 000 ($833) in July of the same year.

Currently, cashew sells for $1,100 per MT, signalling 34 per cent drop in price from last year.

While speaking during a cashew investment and exhibition forum in Lagos on Wednesday, the Executive Director and Chief Executive Officer, Nigerian Export Promotion Council, Mr Segun Awolowo, noted that the programme was informed by the persistent downward prices of RCN that had, in turn, resulted in supply glut in producing countries including Nigeria.

Awolowo, who was represented by the Director, Product Development department of the agency, Mr William Ezeagu, stressed the need to increase investment in cashew processing to add value to the cashew value chain.

The forum brought together cashew processors, intending processors and exporting companies planning to venture into cashew processing as well as the relevant government ministries, departments and agencies that have a role to play in the cashew value chain.

Also, development financial institutions were invited to lend support to willing investors in the cashew processing business.

Awolowo noted that Nigeria was currently one of the major exporters of raw cashew nuts in the world but lacked processors.

He said, “It is important to invest in processing. Cashew kernel export is a major opportunity for Nigeria. Nigeria exports RCN whereas 50 per cent processing will create 9,000 jobs with a chain of economic multiplier effects.

“Cashew processing in Africa is not prominent as raw cashew nuts/cashew kernels dominate exports.”

The Managing Director, African Cashew Alliance, Ernest Mintah, said although Africa produced 55 per cent of RCN globally, only five per cent processing was happening on the continent.

By so doing, jobs meant to be created in Africa were being taken to countries where the processing was being done, he said.

He lamented the lack of investment and interest from financial institutions in the sector which he described as capital intensive, adding that at least $2m was required to start a cashew processing business and most banks in Africa were not ready to give out a huge amount of money on a long term basis.

The Vice Chairman, National Cashew Association of Nigeria, Garba kontagora, said sensitisation was needed to enlighten operators and farmers about good agricultural practices in the sector, saying that some farmers removed cashews from trees before they were ripened and even used carbide to force them to ripen.

A cashew processor and Managing Director, Foodpro, Mr Ayo Olajiga, said the cashew processing industry in Nigeria was fraught with challenges ranging from infrastructure to poor quality cashew nuts and lack of local market for processed cashew.

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.

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Npower News Today: Npower Salary Update, Npower Latest News on Permanency

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Latest Npower News Today: Npower Salary Update and Npower Latest News on Permanency

The Federal Government continues to engage private businesses and organisations on the absorption of exited batch A and batch B of the Npower program.

The Minister of Humanitarian Affairs, Disaster Management and Social Development, Sadiya Umar-Farouq, disclosed this in Abuja.

On continuity and sustenance, the Federal Government allocated N420 billion to Npower and other social investment programmes in the 2021 proposed budget before the National Assembly.

President Muhammadu Buhari also made mention of it in his last speech regarding the #EndSARS protest.

Buhari said, “In furtherance of our inclusiveness agenda, the sum of N420 billion has been provided to sustain the Social Investment Programmes, while N20 billion has also been set aside for the family homes and our Social Housing Programme.”

Speaking on unpaid exited Npower beneficiaries of batches A and B, the minister said “the ministry has directed that opportunity be given to the affected beneficiaries to verify and re-validate their eligibility so that qualified beneficiaries can be paid for their participation in the N-Power Programme.

“Beneficiaries are hereby directed to report to their State Focal Persons immediately with their bank account details including bank statements from March 2020 to date, NYSC Discharge Certificates, birth certificates and other related screening documents.

“The deadline for verification is October 13, 2020. Beneficiaries who fail to attend the verification exercise will forfeit their stipends.”

The fresh verification has now closed, however, the list of the successful candidates for Batch C would be announced soon according to the minister while the Federal Government continues to work on permanent placement for exited Npower beneficiaries.

On fake Npower news flying across social media, Rhoda Ishaku Iliya, the Deputy Director Information of the ministry, said the attention of the ministry has been drawn to series of fake news trending on social media.

She said “the attention of the Federal Ministry of Humanitarian Affairs, Disaster Management and Social Development has been drawn to the fake news trending on social media that President Muhammadu Buhari will broadcast to the nation the absorption of N-Power Volunteers Batch A, into the Federal Civil Service,” the statement reads.

“The Ministry is hereby calling on the public to disregard the message and consider it as fake news. Any information on N-Power or the National Social Investment Programme will be issued through the appropriate Federal Government channels.”

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Soldiers, Police Battle Hoodlums to Prevent Looting of Computer Village

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Soldiers and Police Battle Hoodlums Trying to Loot Computer Village

Hoodlums that hijacked the #EndSARS protest and turned it into a broad day robbery have continued to attack business districts, offices and properties of known establishments to loot and destroy years of labour despite the negative impacts of COVID-19 on these businesses.

Soldiers that were later joined by the Nigerian Police Force have been trying to repel hoodlums looking to break into computer village in Ikeja, Lagos State since the #EndSARS protest was hijacked.

According to residents and business owners contacted, the armed looters are still making an attempt to overpower security agents knowing there are valuables in the shops.

Right now they are still making an attempt (to overpower security agents) and considering the sensitivity of the business that we do, we sell very valuable commodities and they understand the liquidity of these products,” said Adeniyi Ojikutu, president, Computer and Allied Products Dealers Association of Nigeria (CAPDAN) said on the phone.

Ojikutu said the hoodlums, who were more than 500 in number, had shot in the air when they were discovered and remained close by for an opportunity to eventually break into the largest computer, mobile devices and ICT accessory market in Africa.

Also, because computer village is within close proximity to the Lagos State University Teaching Hospital (LASUTH), a new BRT station, Jara Mall, the Lagos State Police Command, Lagos State High Court and both the local and international Airports, it becomes imperative to protect it as a break-in by looters may spell disaster for other top establishments in the vicinity.

A resident said ‘Benin Boys’, a group of hoodlums, had earlier tried to invade computer village around 1 am but were prevented by security operatives. However, those that have been making attempts between the morning and afternoon of Friday were the Agege boys.

“The security were using megaphones to shout and warn all of us to stay inside,” said this resident.

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Dangote Sugar Refinery Postpones Board Meeting Amid Social Unrest

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Dangote Sugar Refinery Has Postponed Board Meeting Scheduled for Today Amid Social Unrest

The management of Dangote Sugar Refinery Plc on Friday said they have decided to postpone the company’s board meeting scheduled to hold today October 23, 2020 to a date they will communicate soon.

The management said the decision was due to the ongoing precarious situation in the country, especially the attacks on various establishments since governor Sanwo-Olu imposed a 24-hour curfew on all parts of the state.

In a statement signed by the company secretary, Mrs. Temitope Hassan, Dangote Sugar Refinery said “Further to our announcement made on October 8, 2020, the Company wishes to notify the Exchange and the investing public that the meeting of the Board of Directors of the Company earlier scheduled to be held on Friday October 23, 2020 to consider the draft unaudited financial statement of the Company for the Q3 ended September 30, 2020 has been postponed in view of the current precarious situation in the country.

“The new date for the meeting will be communicated as soon as normalcy returns. The Closed Period which has already commenced will continue till 24 hours after the filling of the Results.

“No insider of the Company, including its Directors, Employees, Advisers and Consultants and their connected persons may deal directly or indirectly in the Shares of the Company during the Closed Period.

All Dangote Sugar Refinery Plc Insiders have been duly informed.”

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