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Accessing Better Market Advantage In Cassava Chips Production Through Cluster Op - Investment - Nairaland

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Accessing Better Market Advantage In Cassava Chips Production Through Cluster Op by Pafetkazzy: 9:09am On Oct 01, 2023
ACCESSING BETTER MARKET ADVANTAGE IN CASSAVA CHIPS PRODUCTION THROUGH CLUSTER OPERATIONS

Some farm areas (towns and villages) in Oyo state; particularly Oke-Ogun/Ibarapa have always being a go-to for bulk buyers of cassava chips (unpeeled) within the South West, Nigeria. This is not only because of the large volume of cassava grown in the state, but also because of combine Enterprise efforts of people in the areas to churn out large volume of chips that attracts interest of bulk buyers. Women in these areas have been exposed to the comparative margin advantage in cassava chips production and they are taking full advantage of it.

Despite the distance from Igangan to connect to major cities, lots of big buyers still prefers to go to the area when sourcing for unpeeled cassava chips, simply because they are sure of getting large volume they desire. And the main secret to this is the fact that clusters production of cassava chips in there areas are in hundreds and thus enable the bits produced from different clusters amount to hundreds of tonnages when aggregated.

Unless a stand-alone cassava chips producer is able to generate enough volume - say up to 30 tons, he may find it difficult to attract good buyers except he has a proximity or delivery cost advantage. Such producers may explore selling to toll millers and medium scale livestock feed producers while they make efforts to grow their volume either through expansion or through gathering more interested processors to operate within same area. Nevertheless, they still make their profits.

As the demand for cassava Chips is fastly increasing, opportunities abound for prospective processors in other parts of South West where cassava production is also in high volume. Only that the business approaches need to properly understood. There are couples of large volume buyers, particularly for export orders that I recently spoke with and are much interested in developing production/supply chains in Osun, Ogun and Ondo state. In this, I see a lot of opportunities to develop Enterprises for the local women which will in turn helps bring better society especially at the grassroot level.

We are approaching the dry season which offers opportunity to conveniently dry cassava chips at comparative cheaper cost. Cluster Cassava farmers and Farmers' Cooperative societies growing large volume of cassava should look into exploring this opportunity.

The good sides of cassava chips production is not only limited to its high economic opportunities and high demand, it is also good to mention that its entry and operational costs are also relatively low, except for situation where large capacity dehydrator may be required. Need to mention that many people are still unaware of what cassava chips is despite its industrial popularity. Cassava chips simply means dried cassava tubers highly sourced industrially for production of Ethanol, livestock feeds and other high valued industrial products.

We are yet to even scratch the surface in cassava business opportunities in Africa. We should all keep exploring the products and business approaches opportunities.

God no go shame us.

Kazeem Lamidi

https:///2348100975775
Re: Accessing Better Market Advantage In Cassava Chips Production Through Cluster Op by TreasureHunter(m): 9:32am On Oct 01, 2023
Pafetkazzy:
ACCESSING BETTER MARKET ADVANTAGE IN CASSAVA CHIPS PRODUCTION THROUGH CLUSTER OPERATIONS

Some farm areas (towns and villages) in Oyo state; particularly Oke-Ogun/Ibarapa have always being a go-to for bulk buyers of cassava chips (unpeeled) within the South West, Nigeria. This is not only because of the large volume of cassava grown in the state, but also because of combine Enterprise efforts of people in the areas to churn out large volume of chips that attracts interest of bulk buyers. Women in these areas have been exposed to the comparative margin advantage in cassava chips production and they are taking full advantage of it.

Despite the distance from Igangan to connect to major cities, lots of big buyers still prefers to go to the area when sourcing for unpeeled cassava chips, simply because they are sure of getting large volume they desire. And the main secret to this is the fact that clusters production of cassava chips in there areas are in hundreds and thus enable the bits produced from different clusters amount to hundreds of tonnages when aggregated.

Unless a stand-alone cassava chips producer is able to generate enough volume - say up to 30 tons, he may find it difficult to attract good buyers except he has a proximity or delivery cost advantage. Such producers may explore selling to toll millers and medium scale livestock feed producers while they make efforts to grow their volume either through expansion or through gathering more interested processors to operate within same area. Nevertheless, they still make their profits.

As the demand for cassava Chips is fastly increasing, opportunities abound for prospective processors in other parts of South West where cassava production is also in high volume. Only that the business approaches need to properly understood. There are couples of large volume buyers, particularly for export orders that I recently spoke with and are much interested in developing production/supply chains in Osun, Ogun and Ondo state. In this, I see a lot of opportunities to develop Enterprises for the local women which will in turn helps bring better society especially at the grassroot level.

We are approaching the dry season which offers opportunity to conveniently dry cassava chips at comparative cheaper cost. Cluster Cassava farmers and Farmers' Cooperative societies growing large volume of cassava should look into exploring this opportunity.

The good sides of cassava chips production is not only limited to its high economic opportunities and high demand, it is also good to mention that its entry and operational costs are also relatively low, except for situation where large capacity dehydrator may be required. Need to mention that many people are still unaware of what cassava chips is despite its industrial popularity. Cassava chips simply means dried cassava tubers highly sourced industrially for production of Ethanol, livestock feeds and other high valued industrial products.

We are yet to even scratch the surface in cassava business opportunities in Africa. We should all keep exploring the products and business approaches opportunities.

God no go shame us.

Kazeem Lamidi

https:///2348100975775

Do you have experience in export of cassava chips?

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