ultron12345:



1000 cows is even small.

There's a dairy company called Almarai in Saudi Arabia. They milk over 22 litres per day each cow, and they have 94,000 cows. They produce 1 billion litres of milk annually. They process this milk into different products. They have 38,000 staff, do $3.9B in revenue annually, with market cap of $13.1B (that is packaged Fulani herdsmen company = dangote cement x 2, or dangote cement + MTN Nigeria)

They do their dairy farming in the Saudi desert. They imported management from Ireland. Imported all their cows (modified breeds). They even had to put AC (air conditioning) in all the farm sheds for all the cattle to protect them from the harsh desert heat which can sometimes reach as high as 45C. Since they can't grow grass to feed the cattle, they bought land in Argentina and the US, grow the grass there then import them to Saudi Arabia to feed the cattle.

All this struggle and stress yet they are able to produce products that in terms of price are competitive in the international market, hence they also export to other countries. If it's Nigerians, they'll come up with 1000 reasons why it can never work and blame the government. Nigerians will be waiting for Dangote or indians/lebanese/chinese. If Dangote does it finally, they'll say it's monopoly. If it's Lebanese or Indian, theyll say it's money laundering.

Fonterra, a dairy cooperative owned by 10,500 farmers in New Zealand makes $12B in revenues exporting milk and other dairy products. That's 30% of the world's dairy exports, from tiny New Zealand.

Chiquita is doing $3B in revenue growing ordinary bananas in South America and selling in US. Dole does $4.5B doing same along with ordinary water melon and pineapple.

Ecuador, Philippines, Columbia, Costa Rica, Guatemala make $3.3B, $1.9, $1.6B, $1B and $1B annually from exporting ordinary banana. Ivory Coast and Cameroon get $340M and $250M from the same banana. Nigerians will be blaming government. Thank God banana is not an electricity intensive business. I wonder what excuse will be given for this. It's labour intensive and we have cheap labour, cheap land, conducive tropical climate and a weak currency, yet we can't do anything.

All these are the kind of things we need in this country, this is what will grow our economy, not coding another ride-hailing app or biscuit ordering app.

Even if we want to do tech, we should go for IT outsourcing like India, not to be coding apps that our people are too poor to use. Where we can use our massive university educated and cheap labour resources to provide labour intensive IT services to companies in the developed world. Instead of them playing Americans $60,000 per annum, they'll outsource to Nigerian companies at quarter that price. This is what TCS, Infosys, Tech Mahindra, Wipro and many others do in India. These 4 companies employ 450000 (yes, not 4,500, not 45,000 but 450,000. Four hundred and fifty thousand employees), 242000, 125000, and 175000 people respectively and made $23B, $13B, $5B and $9B in revenues respectively. Over 95% of this revenue is "exports", meaning the money came in foreign currency. And they have over 20 of such companies in India, employing in hundreds of thousands. Imagine we had just one in Nigeria. But no, it's only hotel and filling station we can build. Ordinary call center, we could not do. We had to wait for an Indian company disguised as an "African Company" to come and get BPO contracts from our Telecom companies. That Indian company is employing thousands of Nigerians across several locations today. Only in Ibadan, they have over 2000 staff at their call center. All this while Nigerians blamed the government.

As we talk about making policies for ease of business, we should also ask, making these policies for who? Because it seems Nigerians are not ready to do anything apart from blaming the government.

So sorry to digress oo, back to your post.

I don't like the idea of CBN or government owning enterprises. They should just create policies and try to make things easier. In my opinion, the CBN is really trying, one can get low interest loans through the bank of agriculture and bank of industry. CBN is now the one doing the work of ministry of agriculture.

Even if they must own farms, they should have minority stake of 40% maximum, so that the private shareholders make the decisions. Before some stupid Nigerians enter government and kill the farm by using the management positions to reward their incompetent friends and relatives.

ultron12345:


Lol... It seems Abdulsamad Rabiu's strategy at BUA group is "Copy Dangote". Dangote went into sugar and flour. They did same. Dangote sold his flour business. They did same. Dangote is into cement. They did same (at least, this broke the myth that government will kill destroy anyone who tries to enter cement business to protect dangote). Now, they recently gave out contract to a French company to build a 200,000bpd refinery in Akwa Ibom.

Reminds of one business case I came across a while back about MacDonalds and one other restaurant company (I think its Pizza Hut). Pizza Hut waits for McDonald's to do all the business and site analysis and immediately MacDonalds open a new branch, Pizza Hut does same and opens a branch opposite them.

NL1960:


Good strategy. No need re-inventing thd wheel.

emmanuelewumi:
An average Nigerian enterpreneur or business man wants fund in form of equity or debt for expansion, but still want to retain total control of the business.

It doesn't work that way

emmanuelewumi:



Founders can be so emotional to the title CEO.


With $10 million in my account after selling my shares and I still have 48% of the profit from the business, why should I be bothered that I have been removed as the CEO.

$10 million is big money even in US.

SteveOfu:
I will be bothered, my business I should be in charge or employ the CFO myself.

SteveOfu:
I will be bothered, my business I should be in charge or employ the CFO myself.

RayRay06677:


I got the 30m, against all sane advise I have commenced investing it in forex. Will finish the process as soon as I get to town as the concluding part needs my presence. I did 5m for 5 friends at Barafinance at 20%, we share the proceed 50/50 and I get my capital at the end of two years. 25m is for my mediate family and will need to open account for them and sign some documents on their behalf. Will do that as soon as I get back. I just feel justified wasting that much, 35m in all.

emmanuelewumi:



Founders can be so emotional to the title CEO.


With $10 million in my account after selling my shares and I still have 48% of the profit from the business, why should I be bothered that I have been removed as the CEO.

$10 million is big money even in US.

ahiboilandgas:
The number of disturbing calls from agents to tenates begging or pricing rents like tomatos ....me and not a fan of build to rents

maishai:

Sir I can understand that feeling by giving an example...... A manager in my firm was once offered a job in another company(foreign), with 12 times his current salary with benefits and he blatantly refused........He basks under the fact that his job and current position keeps him in charge of so many people's life and he really enjoys the way staffs tremble to approach him, he enjoys the fact that the states security apparatus and governors number is just a phone call away and no foreign job could give him such clout, hence he couldn't leave the job even if promised *100 his current pay.......

emmanuelewumi:


This is different from someone who sold about 51% equity in his company for millions of dollars.

That $10 million can be used to start another company, which I can sell at a premium in another 10 years and the cycle will continue

innosolo:
SCAM ALERT‼️‼️

That is how I got scammed

....

Don't ever make payment to this account if you like your money

Be warned! Don't fall a victim like me. A word is enough for the wise

ahiboilandgas:
The number of disturbing calls from agents to tenates begging or pricing rents like tomatos ....me and not a fan of build to rents

ahiboilandgas:
The number of disturbing calls from agents to tenates begging or pricing rents like tomatos ....me and not a fan of build to rents

Nezzjnr:
I'm entering the Agric sector after school

I'm going into vegetable crops and Plantain

The problem I have with Plantain is the market... Which market will be ready to get plantains harvested from 50 acres

pluto09:



One of the major problems with agriculture in Nigeria is marketing/market..
Do your home work properly. Don't going into agriculture because you want to help build the country, go where you are sure you can recoup your capital and earn profit.

Nezzjnr:
I'm entering the Agric sector after school

I'm going into vegetable crops and Plantain

The problem I have with Plantain is the market... Which market will be ready to get plantains harvested from 50 acres

pluto09:



One of the major problems with agriculture in Nigeria is marketing/market..
Do your home work properly. Don't going into agriculture because you want to help build the country, go where you are sure you can recoup your capital and earn profit.

ahiboilandgas:
The number of disturbing calls from agents to tenates begging or pricing rents like tomatos ....me and not a fan of build to rents

ultron12345:


Lol... It seems Abdulsamad Rabiu's strategy at BUA group is "Copy Dangote". Dangote went into sugar and flour. They did same. Dangote sold his flour business. They did same. Dangote is into cement. They did same (at least, this broke the myth that government will kill destroy anyone who tries to enter cement business to protect dangote). Now, they recently gave out contract to a French company to build a 200,000bpd refinery in Akwa Ibom.

Reminds of one business case I came across a while back about MacDonalds and one other restaurant company (I think its Pizza Hut). Pizza Hut waits for McDonald's to do all the business and site analysis and immediately MacDonalds open a new branch, Pizza Hut does same and opens a branch opposite them.

ultron12345:


There is no learning curve joor. Anyone who is serious will import the necessary expatriate management and specialized manpower from India at the beginning. Then they can transfer skills to local staff. Is farming rice more complicated than manufacturing cement that Nigerian companies are doing.

These small small farmers are not the one who will move agriculture forward in Nigeria. They can't take us anywhere. We need people and corporations who are ready to do agriculture on a large scale, who can afford the necessary mechanization and processing equipment and will farm land in thousands of hectares. Those small farmers will then be employed on these large farms and be paid salaries. Only the economies of scale alone will be able to bring down costs. Someone farming on 2000 hectares will produce at a lower cost per unit than someone farming on less than half hectare. Small farmer will buy bag of fertilizer at N5000 from middlemen because he's buying in small quantities. Big farmer will buy at N3000 direct from manufacturer because he's buying in hundreds of trailers. Such large farms will more productive as they will be able to afford the necessary seeds and fertilizers and best farm practices. This will solve the problem of small Nigerian farmers yielding 1 ton per hectare when their counterparts abroad are doing 8 tons per hectare.

All these tiny 2 plot farms cannot take us anywhere. These small farms lack economies of scale, are inefficient, poorly managed and unproductive. They are one of the reasons why food is expensive.

The way we look for people to invest billions in factories is the same way we need people to invest billions in farming. Or at best, cooperatives can be formed, where a group of small farmers or just ordinary investors can pull land and funds together to form a company underwhich they will be employees earning salaries monthly and then dividends at the end of the year. This cooperative will employ proper expatriate management who will manage the farm properly. If 5000 people pull N1Million each, that is N5B. Bank loan can be taken from bank of agriculture to make it up to N12-15B. Invest all this in a single sizeable rice farm with a rice mill of good capacity, and a plant to convert the remaining bran into animal feed or bran oil. Or invest that into a single cattle or poultry farm and tell me whether your products will not be cheaper and of better quality. One can even start taking advantage of the weak currency and start exporting since such company will be able to produce to high quality standards required by developed countries. Not to expect illiterate 2 plots farmers to export yam to Europe that will be returned due to poor quality. Is it Fulani herdsmen that will export beef or milk? Can they process beef properly to EU standards? Can they pasteurize milk at ultra-high temperatures and package it aseptically?

Imagine we didn't have big cement manufacturers. Imagine we had just thousands of small households who go to the mine, use chisel and shovel to dig up limestone and other minerals. Then use wheelbarrow to carry it home. Then start using iron block to manually grind the minerals. Then mix manually, heat with firewood, then grind again, the pour into those black polythene bags or into one big basin to take to the market to sell. Imagine how wasteful and inefficient this process is. Of course, the end product will be of a higher price and lower quality than that of huge, well-organized cement plants. This is the problem of agriculture today.

Dsticks47:
please find below the Fixed Income rate guide effective, Monday 05/10/2020.

iamoyindamola:

Sell to those markets close to you and try estates since you will be distributing in bulk at once