₦airaland Forum

Majaliwa revealed this when speaking in Western Tanzania’s region of Kigoma soon after inspecting an oil palm farm of the National Service Department (JKT), Bulombora camp.

The Tanzanian leader said the money would be spent in developing the crop so that its farmers are on the same level as growers of other cash crops.

He also directed the ministry of agriculture to prepare a demonstration farm in the region where farmers can learn modern methods of oil palm production.

“The government will not tolerate anyone, who goes against the strategy to revive the crop in the country,” the premier cautioned.

Omary Mgumba, Tanzanian Deputy Minister for Agriculture, said the government’s strategy in reviving the crop is meant to save foreign currency used to import edible oils.

Kigoma region accounts for more than 80 percent of palm oil produced in the country and given its soils and weather, it has the potential to make Tanzania one of the world’s top palm oil producers and exporters.

Tanzania imports 55.5 percent of its total edible oil in spite of having a vast and promising production potential in palm oil and sunflower sub-sectors.

In spite of the huge potential, the country relies on imported raw materials for producing edible oils and soaps.

Tanzania has similar weather conditions as Malaysia from where it imports most of its palm oil.

Read more at... https://www.commodity-port.com/tanzania-to-spend-4-3-million-on-oil-palm-farming/

A TRILLION and over 20 years could pour into the country if a gas discovery in the Outeniqua Basin, off the southern Cape coast, is tapped.

French oil and gas company Total announced on Thursday that it had found gas condensate on the Brulpadda Prospects, which is located on Block 11B/12B in the Outeniqua basin.

It represents about a billion barrels of oil equivalent and is found about 175km off the southern Cape coast.

President Cyril Ramaphosa shared news of the find during his State of the Nation Address on Thursday night.

He said: “This could well be a game-changer for our country and will have significant consequences for our country’s energy security and the development of this industry. We congratulate Total and its various partners and wish them well in their endeavors.”

Ramaphosa said some had described it as a “catalytic find”. Several economists and experts in the field of oil and gas explorations shared his enthusiasm.

They believed there could be other significant finds which would have a positive impact on the country’s fuel costs. South Africa imports crude oil and pays in American dollars.

Read more at... https://www.commodity-port.com/gas-discovery-could-rescue-south-african-economy-experts/

According to the report, food safety deserves urgent attention because foodborne hazards account for 91 million acute illnesses and 137,000 deaths annually in Africa. The World Bank estimates show that each year unsafe food costs economies of low- and middle-income countries about US$110 billion in lost productivity and healthcare expenses.

“The report is a call to action to develop and implement feasible, locally relevant interventions that we know can reduce the severe consequences of foodborne illness,” says Michael Taylor, co-author of the Global Food Safety Partnership report released last week (6 February).

For instance, the report found that less than five percent of donor investments addressed specific public health risks, such as Salmonella and E.coli, that local consumers face when purchasing from informal food markets.

The report is based on data collected on 518 donor-funded food safety initiatives in Sub-Saharan Africa between 2010 and 2017, and interviews with almost 200 experts.

“Donor food safety investments are overwhelmingly focused on supporting overseas market access, trade, and formal markets rather than on the public health problem of foodborne illness,” says the report.

Read more at...https://www.commodity-port.com/food-safety-projects-in-africa-benefiting-donor-nations/

In 2018, South Africa’s agricultural exports grew by 7% y/y to US$10.6 billion, a record level in a dataset starting from 2001. This was underpinned by increased exports of oranges, grapes, wine, maize, apples, wool, lemons, mandarins, and pears, amongst other products. Over the same period, imports increased marginally to US$6.7 billion. The key imported products were rice, wheat, offal, palm oil, whiskey, live cattle and oil cakes for animal feed. Overall, this subsequently led to a 21% y/y increase in South Africa’s agricultural trade balance to a record US$3.9 billion.

From a destination point of view, the African continent and Europe continued to be the largest markets for South Africa’s agricultural exports, collectively absorbing 66% of total exports in 2018, measured in value terms (see Figure 1). In more detail, Africa remained South Africa’s largest market, accounting for 39% of agricultural exports. The leading products to these markets were beverages, fruit, vegetables, wool, sugar, and grains.

Asia is also an important market for South Africa’s agricultural exports, demanding a 25% export share in 2018. Wool, fruit, grains, beverages, vegetables, and meat were the leading products exported to this particular region.

Read more at... https://www.commodity-port.com/south-africas-agricultural-exports-grew-by-7-y-y-in-2018/

The demand was made by farmers at a programme organized by the Nigeria Economic Summit Group, NESG, with the theme: Regional Sensitisation for Smallholder Farmers in North-Central in collaboration with Alliance for a Green Revolution in Africa, AGRA and supported by the United States Agency for International Development, USAID.

Speaking on behalf of the farmers drawn from Niger, Nasarawa and Federal Capital Territory, FCT, the National Programme Coordinator, ASSAPIN, Yarima Charles, expressed dismay over the delay in passing the bills by NASS, and also emphasized the impact the bills would make in promoting agribusiness and food security. Charles called on NASS to speed up passage of the bills into law before the inauguration of the 9th Assembly in June 2019 because farmers are frustrated.

He said: “Specifically, you cannot do farming activities in Nigeria first without having access to improved seeds and without fertilizers. These two things are critical even though the land is also one of the critical aspects of it.

“By the time you have improved seeds and access to fertilizer so that you would be able to engage in appropriate farming techniques and you embark on effective farm management it would increase yield to farmers per hectare, and when the yield increases, the farmers will have a surplus in productivity and sell, also to take care of other issues concerning them and their families.

“When these three bills are passed into law, it has a multi-sectoral impact, it would lead to improved quality of manpower in the agricultural sector

Read more at...https://www.commodity-port.com/farmers-demand-passage-of-fertilizer-seed-and-warehouse-bills/

The report stated that at N2,412.21 billion, federally-collected revenue in the fourth quarter of 2018 was lower than the proportionate quarterly budget estimate of N3,321.36 billion by 27.4 percent. It also fell below the receipts in the preceding quarter by 4.8 percent.

An analysis also uncovered that the moderate price of Nigeria’s crude oil, Bonny Light rose by 26 percent to $70.66 per barrel in 2018 from $52.51 per barrel in 2017.

Oil revenue has been and still is the mainstay of the national economy and is likely to remain so for a long time to come, as it currently provides the bulk of government revenue and most of the foreign exchange earnings.

Read more at...https://www.commodity-port.com/nigerias-oil-revenue-hits-n9-4-trillion-in-2018/

The Minister of State for Agriculture, Senator Heineken Lokpobiri, has disclosed that the country is losing a staggering sum of $9 billion annually due to poor investment in agribusiness.

The minister said that Nigeria was also losing over 240 million metric tonnes of fish in the world market that could have increased foreign earnings and boost the economy before the advent of President Muhammadu Buhari’s administration.

Lokpobiri stated that due to government’s laxity, many of the country’s agricultural products were being exported to other West African nations and branded in the names of those countries after processing, making Nigeria to lose revenue earnings.
The minister spoke at Afe Babalola University, Ado Ekiti (ABUAD) on Sunday during a lunch organized in his honor by ABUAD’s founder, Chief Afe Babalola (SAN).

Lokpobiri urged all Nigerian universities to emulate ABUAD’s landmark exploits in farming, describing the university as setting a pace for the country to actualize food security status.

He expressed fear that the country may witness serious famine in future with the projection that its population may hit 250 million by 2030, warning that it is high time governments started planning to checkmate such occurrence.

Read more at...https://www.commodity-port.com/nigeria-losing-9bn-revenue-annually-in-agric-sector-says-minister/

According to the report, oil palm is currently the most consumed edible oil in the world with Malaysia and Indonesia being the top major producers. Indonesia (41.5 million metric tonnes) and Malaysia (39.5 million metric tonnes) accounted for an average of 80.1 percent of global production between 2016 and 2018.

Other leading producers of oil palm as at 2018 included Thailand (2.9 million metric tonnes), Colombia (1.5 million metric tonnes) and Nigeria (1.0 million metric tonnes).
The report pointed that in Nigeria, oil palm production and export historically contributed substantially to the country’s external reserves and agricultural gross domestic product (GDP), as palm oil and palm kernels exports were between 15 percent and 20 percent of the country’s total exports.

It added that oil palm prices in Nigeria are relatively higher than international prices primarily due to import restrictions on the commodity following the introduction of the Central Bank of Nigeria (CBN)’s list of 42 foreign exchange (FX) excluded items.

This policy, when introduced in 2015, according to report, led to a surge in oil palm prices as local demand for crude palm oil (CPO) soared while importation and total industry supply tapered.

It further noted that based on this, listed companies Okomu Oil Palm Plc and Presco Plc witnessed notable and faster pace of improvements in revenues and profitability even as growth in production expansion has been slower.

“Also, we highlight that listed companies have focused on expanding production, especially over the last three years by investing in increasing total land area under cultivation, expanding milling and refining facilities to meet up with the expected additional output.

Read more at...https://www.commodity-port.com/experts-foresee-bright-prospects-in-oil-palm-companies/

The National President of the Catfish and Allied Fish Farmers Association of Nigeria (CAFFAN), Mr Rotimi Oloye, said the USA had banned Nigerian smoked fish from February 18, 2018, following the failure of the department to respond to no fewer than six letters written by the US Department of Agriculture to regularise export to the US.

While giving the account of the genesis of the crisis, the CAFFAN boss said, “Between November 2017 and February 18, 2018, US Department of Agriculture wrote six letters to the Federal Department of Fisheries, Nigeria, calling their attention to inflows of substandard products to their country and improper documentation of the imported fish.

“A lot of farmers went into fish production with a lot of investments. So, fish production increased with investments, but at a point, there was an excess supply of fish. So, value addition came in, and I must give the credit to the Department of Fisheries in the Ministry of Agriculture, Food and Agricultural Organisation (FAO) and US Agency for International Development (USAID) for they trained us about value addition and we started processing.”

With the ban one year ago, investments have been wasting away; many processing plants have been shut or producing below capacities; many small-scale farmers have either scaled down production of fish or closed operations entirely, leading to frustration and erosion of capitals in the sector.

Read more at...https://www.commodity-port.com/agric-ministry-frustrating-our-export-businesses-say-fish-farmers/

The agricultural sector contributes some percentage of the Nigerian Gross National Product and the majority of the rural populace are employed in this sector. The dominant role of agriculture makes it obvious that even minor climate deteriorations can cause devastating socioeconomic consequences.

Several decades ago when the story of the shrinking of the Lake Chad Basin first became public not much attention was paid to its implication on Nigeria’s national life but decades down the line, it is obvious that its implications are very grave, BENJAMIN UMUTEME reports

Presently, Nigeria is experiencing adverse climate conditions with negative impacts on the welfare of millions of people. Persistent droughts and flooding, off-season rains and dry spells have sent growing seasons out of orbit, on a country dependent on rain-fed agriculture. Alarm bells are ringing with the continuous shrinking of the Lake Chad Basin, the River Niger among other water bodies in the country. The result is fewer water supplies for use in agriculture, hydropower generation and other users.

Therefore, when stakeholders in the water, mining, and energy sector gathered in the nations’ capital, it was to address what is obviously a time bomb that is almost about to explode

Read more at... https://www.commodity-port.com/lack-of-access-to-clean-portable-water-threatens-nigerias-security-global-rights/

Dangote said this on Monday in Lagos during the 2018 Dangote Customers Celebration and Food Distributors’ Award Night, organized by Dangote Foods. The News Agency of Nigeria (NAN) reports that Dangote Foods comprises of Dangote Flour Mills, Dangote Sugar Refinery and NASCON Allied Industries. He disclosed that the company invested massively in the sugar sector across the country in line with its Backward Integration Project targeted at the production of 1.5 million metric tonnes per annum of refined sugar in the next 10 years.

Dangote said that the award was to appreciate customers and distributors who through their dogged and persistent efforts had made Dangote Foods products a household name in Nigeria. “You are all aware that we are celebrating 2018 against all odds. Our Food businesses recorded mixed results in the year with NASCON growing while Dangote Sugar Refinery and Dangote Flour Mill had a very difficult year. “Fluctuations in performance are known to occur in the life of businesses but the greater part is that you persevered with us. This underlines our theme of ‘Better. Stronger.

Together’ “My special commendation goes to Dangote Sugar and Pasta customers who, despite the price challenges posed by the influx of unlicensed and substandard grey imports stood by us. “We have remained the dominant brand in most of the sectors where we play in the food sector, and we are delighted to have you as our partners through thick and thin,”

Read more at... https://www.commodity-port.com/nigeria-on-map-of-global-sugar-producers-dangote/

Dry weather in most of Ivory Coast’s cocoa growing regions last week could hinder the development of the April-to-September mid-crop, farmers said on Monday.

The world’s top cocoa producer is in the midst of the dry season, which runs from November to late February. Harmattan winds sweep in sand from the Sahara, which can ravage cocoa pods and sap soil moisture, leading to smaller beans.

Farmers said the Harmattan was mild this week and that there were many flowers and pods on trees. They said high soil moisture content was sustaining trees through the dry season, but more rain was needed to help the mid-crop develop.

Supply from the bush had started to drop, the farmers added.

In the western region of Soubre, farmers complained about the heat and lack of rain.

“The past two weeks have been very hot. We need rain to protect the flowers and pods,” said Salame Kone, who farms on the outskirts of Soubre.

“The weather is sometimes cloudy. We hope it will rain this week,” Kone said.

Read more at... https://www.commodity-port.com/ivory-coast-dry-season-could-impact-cocoa-mid-crop-farmers/

The cashew nuts export ban has affected Tanzania’s balance of payments after recording a deficit of $500 million in one month. All cashews harvested in Tanzania during the 2018/19 farming season are still in warehouses, waiting to be processed before being exported. In the previous harvest season, the crop fetched $575 million exports earnings.

The ban on cashew nuts exports has resulted in a gap in Tanzania’s balance of payments, widening the deficit by about $500 million in the month of November last year.

The monthly economic review of the Central Bank of Tanzania (BoT) for December 2018 has it that the country’s overall balance of payments (BoPs) recorded a deficit of $753.0 million in the year that ended on November 30, 2018, as against the deficit of $171.6 million recorded in October that year.

The review says that export earnings for cashew nuts– currently Tanzania’s most valuable export crop–dropped due to a decline in export volumes that is attributable to the government decision to halt raw cashew exports and opt for domestic processing of the crop.

Cashew exports fetched $575 million, which was equivalent to the combined exports earnings from five commercial crops, namely tobacco, tea, coffee, cotton, and sisal.

In a related development, the government recently announced that it had bought more than 200,000 tonnes of cashew nuts from farmers in the cashew farming regions, ready to be exported after they are processed locally.

Read more at... https://www.commodity-port.com/cashew-nuts-ban-affects-bops/

Products like honey and nuts can be sold. Plants and plant fiber can be used to create furniture, cloth, and crafts; herbs processed to make herbal remedies and leaves and flowers sold for ornamental uses. All this contributes to income generation and is a valuable resource for alleviating poverty in rural communities.

Yet Non-Timber Forest Products (or NTFPs) don’t often feature in discussions about poverty reduction and alleviation. One of the reasons for this is probably the lack of qualitative studies on the topic; the kind which features stories from people who have used them to escape poverty. Users’ voices haven’t been heard enough to help scholars and policymakers understand the links between these products and poverty alleviation, and to harness these in poverty reduction strategies.

Non-Timber Forest Products are dwindling worldwide; climate change and overuse of land are contributing to this trend. But such products are still common in many parts of the world and – while there is no one-size-fits-all solution for poverty alleviation – they should be studied and considered in governments’ poverty reduction plans.

read more at... https://www.commodity-port.com/how-harvesting-natural-products-can-help-rural-people-beat-poverty/

The plan is still on, like we said earlier, we selected 10 commodities now, last year we did first 10 export certification value chain out of which we did the Improvement Initiative of 3, that is vegetable, Sesame, and Hibiscus, this time we are doing another 10, and from that 10 we will eventually choose about 4 or 5 to do the export improvement initiative, the essence of this is to focus on some commodities, bring out the highlights, areas where either the farmer or the exporter of the financial consultant will have an in-depth as to the profitability of going into the production and export of those commodities.

Some of them are readily available in the country, but probably there is no organized market for it, by the time it is highlighted, you will see what the commodity stands in the world market production level, and if he has an organized structure, he can approach the Nexim Bank to look for facilities that will help him, Nexim Bank too have their conditions.

So all these opportunities that are available in the financial sector should be made accessible to the farmers to go into very serious business. An Army General has just established a farm and already he is doing the third export (vegetable) to the UK, so the market is limitless and Nigerians needs to know what they should do to be able to access those individual markets and it is our responsibility to expose them to the need for them to do these things properly, so that’s where we are, we are bringing in some unconventional agricultural commodities and we want to introduce them to those areas

Read more at... https://www.commodity-port.com/how-nigerian-farmers-can-make-money-from-exporting-vegetables-dg-naqs/

Nigeria has commenced a historic process of leading other African nations on smart and innovative agriculture with the recent application seeking the commercial release of the genetically modified insect-resistant cowpea.

If approved, the pod borer-resistant (PBR) cowpea will become the nation’s first genetically modified food crop. It is expected to increase yields and massively reduce the use of pesticides in cowpea production.

Cowpea — commonly referred to as “beans” — is an indigenous food crop and cost-effective primary protein source for Nigeria’s urban and rural poor. It is also beneficial to agriculture because of its nitrogen-fixing properties and uses in livestock feed.

Globally, an estimated 5.4 million tonnes of cowpea are produced annually. Nigeria accounts for about 3.1 million tonnes, or more than 58 percent, of this total output. Aside from being the world’s largest producer of this crop, Nigeria is also the highest consumer, requiring some 3.6 million tonnes of cowpea annually.

Nigeria continues to rely on countries like Cameroon and Burkina Faso, which are primary net exporters, to bridge the gap between production and demand. This places a significant burden on the economy, as............

Read more at... https://www.commodity-port.com/nigeria-could-lead-africa-to-innovative-future-in-agriculture-by-approving-gmo-cowpea/

Nigeria recorded crude oil export worth N11.5 trillion in nine months, from January to September 2018, rising by 48.01 percent from N7.77 trillion recorded in a similar period in 2017.

According to data obtained from the National Bureau of Statistics’ [NBS], Foreign Trade Statistics for the Third Quarter of 2018, crude oil export in the nine-month period accounted for 81.8 percent of total exports recorded in the Nigerian economy in 2018.

Specifically, the report stated that crude oil export in the first quarter of 2018, appreciated by 51.05 per cent compared to N2.37 trillion recorded in the first quarter of 2017; while in the second quarter of 2018, crude oil export stood at N3.77 trillion, appreciating by 55.14 percent from N2.43 trillion recorded in the same period of 2017. Third quarter 2018 crude oil export, according to the report, appreciated by 39.17 percent from N2.97 trillion recorded in the third quarter of 2017 to N4.15 trillion.

“Crude oil exports in the third quarter 2018 was 10.03 percent more than the value recorded in the second quarter 2018 and 39.5 percent higher than the value recorded in the third quarter of 2017.

Other oil products export in third quarter 2018 was 5.3 percent more in value than second quarter 2018 and 12.68 percent higher than the third quarter of 2017,” the NBS report noted.

In its breakdown of exports in the third quarter of 2018, the report stated that crude oil and Liquefied Natural Gas [LNG], export stood at N4.147 trillion, N469.87 billion respectively, other petroleum gases export stood at N27.85 billion.

Others are liquefied butane and liquefied propane export which stood at N17.66 billion and N13.73 billion respectively; kerosene-type jet fuel export stood at N7.4 billion, while the lubricating oil export stood at N6.84 billion.

Read more at...https://www.commodity-port.com/crude-oil-earnings-up-by-48-to-n11-5trn-in-9-months/

The oil price rebound, yesterday, reached a significant point, selling at $60 per barrel, as the Organisation of Petroleum Exporting Countries, OPEC, continue to withdraw excess oil from the international market.

Further check by Vanguard showed that the development came, mainly as a result of the ability of OPEC to mobilize its members and others not to pump excess oil into the volatile market. But a source from OPEC, who preferred not to be quoted, said the market was still covered with an air of uncertainty, meaning that many factors can still compel price to leap further or drop, even beyond expectation.

The Secretary-General of OPEC, Dr. Muhammad Barkindo, while speaking in Angola a few days ago, said: “OPEC knew it had to act in the face of this potential calamity. Throughout 2016, extensive consultations were undertaken with our non-OPEC partners, aimed at building consensus about the strategic urgency of rebalancing the global oil market in a collective manner.

“Twenty-four (now twenty–five) oil producing nations agreed at the first OPEC and non-OPEC Ministerial Meeting held on the 10th of December 2016 in Vienna, on a concerted effort to accelerate the stabilization of the global oil market through voluntary adjustments in total production of around 1.8 million barrels per day.

Read more... https://www.commodity-port.com/oil-price-hits-60-raises-hope-for-nigerias-2019-budget/

Tanzania named a new mining minister on Tuesday amid a prolonged spat between the government and gold producer Acacia over a $190 billion tax bill, which has severely limited the London-listed company’s operations in the East African nation.

Dotto Biteko, whose appointment was announced by presidential official John Kijazi on state television, is the third mining minister President John Magufuli has appointed since he was elected in 2015.

Biteko comes from Magufuli’s home region and has been deputy mining minister since January 2018. He previously leads a parliamentary investigation that concluded there were widespread tax evasion and smuggling in the gemstone business, allegations that companies working in the sector have denied.

“He knows the mining sector well, so we expect continuity of policy,” Tanzania Chamber of Minerals and Energy (TCME) executive secretary Gerald Mturi said.

In 2017, the government passed laws that the industry complained would be costly and onerous. Among other things, the laws hike taxes on mineral exports, mandate a higher government stake in some mining operations and force the construction of local smelters, a move some companies said was uneconomic.

Read more... [url]https://www.commodity-port.com/tanzania-names-latest-mining-minister-in-ongoing-industry-clash/
[/url]

The U.S.-China trade war and booming American shale production are among the top worries for the United Arab Emirates’ energy minister and former OPEC president. After a volatile year for oil prices, hydrocarbon-exporting countries are buckling down for what could be more turbulence ahead.

In terms of geopolitical headwinds for 2019, “One is the potential of heated war between China and the United States,” Suhail Al Mazrouei told CNBC’s Hadley Gamble on Wednesday. Mazrouei finished his term at the helm of OPEC on January 1.

“We’re not playing with President Trump or any other president,” he said.

I think this is one fundamental, not only affecting us but affecting the whole economics of the world. And I tend to be… more optimistic that we are not going to see a war. It’s negotiation tactics, they will end on a resolution, whatever it takes, this year or next year.”

While cautiously optimistic on the outcome of ongoing trade negotiations between the world’s two largest economies, Mazrouei stressed the impact of U.S. shale production on the market — something that’s increasingly putting OPEC members under pressure.

Read more...[url] https://www.commodity-port.com/trade-war-and-us-shale-are-the-biggest-concerns-for-outgoing-opec-chief/[/url]

According to a report on Radio Mozambique, the Minister of Mineral Resources and Energy, Max Tonela, said the new body will be charged with certifying the origin of any diamonds found in Mozambique.

Mozambique is already a signatory to the Kimberley Agreement. The Kimberley Certification Scheme was set up in 2003 to prevent “conflict diamonds” (also known as “blood diamonds”) from entering the mainstream diamond market. The purpose of the scheme was to ensure that the diamond trade was not financing violence by rebel movements seeking to overthrow legitimate governments.

Mozambique’s membership of the Kimberley scheme should allow it to sell diamonds on the international market. “We are now making the Executive Secretariat operational”, said Tonela. “This is important for certifying the origin of the diamonds, which in turn will open the doors for them to be accepted internationally”.

read more...https://www.commodity-port.com/mozambique-planning-to-certify-diamonds/

The Chinese Ambassador in Rwanda, Henry Rao Hongwei, has assured Rwandan coffee and tea producers of the ready market in the Asian nation.

He was speaking during a visit to Rwanda Farmers Coffee Company (RFCC), a coffee roasting plant located at National Agricultural Export Development Board (NAEB) headquarters in Kigali.

The visit, which followed the recent trade agreement signed between Rwanda and Alibaba Group, the Chinese e-commerce giant, aimed at having an idea of the coffee sector in Rwanda and the plan to export to the Chinese market.

They envoy promised to attract more investors to Rwanda by providing them with more information on available opportunities in the sector.

“Rwanda is well known for its high-quality coffee and tea. I do believe there will be a big market, a big potential for Rwandan coffee in China. The bilateral relationship between Rwanda and China is at the best stage currently following the mutual visits by heads of state,” he said.

“The top priority for Chinese Embassy in Rwanda is to transform the consensus of our two heads of state, into benefits of the people of the two states,”

Read more...https://www.commodity-port.com/rwanda-chinese-envoy-pledges-market-for-rwandas-coffee-tea/

East African countries’ increasing restrictions on foreign investments are being blamed for the decline in foreign inflows into the region.
A new survey by the US-based advisory firm AT Kearney shows that investors are more concerned about the operating environment in emerging markets and prefer putting their money into the US economy due to the country’s large domestic market, improving economic performance and new, lower corporate tax rate.
Foreign direct investment into East Africa — the fastest-growing region on the continent — declined three percent from the previous year to $7.6 billion, according to the survey.
Regulations
Last year, an Australian mining company, OreCorp, announced plans to review its operations in Tanzania after the country revised its mining laws to enable the government to renegotiate all mining contracts.
The US Agency for International Development says foreign investors seeking to inject capital into the region are facing regulatory and policy restrictions, that have reduced their appetite for putting money into in the six-member economic bloc.

Read more...https://www.commodity-port.com/east-africas-investment-policies-hurting-foreign-inflows-into-region/

Major stakeholders in the sector like the Nigeria Extractive Industries Transparency Initiative (NEITI) and the Global Rights and Miners Association of Nigeria. Have also expressed worry over the development.

The full concentration by governments at various levels on hydrocarbon resources is said to have worsened the woes of the mining sector; thus, putting the economy at the risk of being a mono-economy.

PwC, in its assessment of the sector, said availability of reliable geological data, access to funding, regulatory requirements aimed at increasing government’s ‘take’, a shortage of skilled labour, preponderance of artisanal mining activities, weak infrastructure, pervasive corruption, environmental degradation an and increased stakeholder expectations are common features of mining in Nigeria.

Read more...https://www.commodity-port.com/illegal-miners-take-over-as-nigeria-ignores-solid-minerals-sector/

The NNPC, countering the impact of the shutdown said it holds 2.6billion liters of petrol and 90,000 metric tonnes of diesel.

It said the stock is expected to last 52 days, even if no single drop of products is imported. NNPC Group General Manager, Group Public Affairs, Mr. Ndu Ughamadu, gave the assurances on Sunday night. Ughamadu said the shutdown would not affect products distribution as NNPC has ordered all its depots across the country and those of bulk purchase Marketers it recently entered agreements with to undertake 24-hour operations to avert any shortages in products distribution in the country.

“All NNPC depots, Petroleum Products Marketing Company (PPMC) throughput partner depots, the Major Marketers depots and depots of Depot and Petroleum Products Marketers Association of Nigeria (DAPMAN) members who signed the Bulk Purchase Agreement, BPA, with PPMC as well as NNPC Retail stations, Major Marketers Association of Nigeria (MOMAN) and Independent Petroleum Marketers Association of Nigeria (IPMAN) filling stations, will continue to operate at maximum levels to ensure uninterrupted distribution of petroleum products nationwide

Read more...https://www.commodity-port.com/nnpc-counters-dappmans-strike-with-52-day-fuel-stock/

The world’s population currently sits at 7.3 billion and is predicted to rise to 9.7 billion by 2050. Because of Africa’s increasing population growth, the continent is expected to contribute to more than 50 percent of the global population growth by 2050. Thus, it is becoming increasingly obvious that Africa must rise to the challenge and start to make better and more efficient use of her resources in a bid to feed herself and the world.

Agricultural research has made significant strides in the last century in countries such as the United States, where farm efficiencies, including animal production, have improved. This led to the United States producing a fourfold increase in milk yield per cow between 1944 and 2007, with average maize yields increasing from 1.6 tonnes per hectare in the first third of the 20th century to over 8.5 tonnes in 2009.

Read more...https://www.commodity-port.com/boosting-rd-capacity-for-sustainable-agriculture/

The Federal Government on Wednesday said that it would collaborate with Saudi Arabia for the revamp of Nigeria’s refineries in Warri, Port Harcourt and Kaduna. Minister of State for Petroleum Resources, Ibe Kachikwu, said that Nigeria was currently tapping from the vast experience of Saudi Arabia, adding that both countries would take strong business decisions on the matter in due course.

Kachikwu spoke at the Abuja headquarters of the Federal Ministry of Petroleum Resources while playing host to the Minister of Oil and Energy for Saudi Arabia, Khalid Al Falih. Commenting on some of the discussions which the Federal Government had with the delegation from Saudi Arabia with respect to refineries during a press conference at the FMPR, Kachikwu said they looked at what the experience had been for the two countries.

He said, “As you know, the refineries have been very close to my heart. So, I did bring up the issues of experiences that we’ve had so far and he shared his own experiences in terms of successes that they’ve had. “We’ve got an understanding to come to look deeper into how they’ve done their own trajectory to get to where they are today and what experiences we can pick from there.

Read more... https://www.commodity-port.com/index.php?page=article&&view=292

By Yaw, Kyei Government has announced its intention to discuss the possibility of replacing the free fertilizer distribution programme with a subsidy programme. President Nana Addo Dankwa Akufo-Addo announced this on Monday when the National Farmers and Fishermen Award Winners Association called on him at the Jubilee House in Accra.
The issue came up in the course of the deliberations when the farmers appealed to the government to subsidise the prices of fertilizer, instead of distributing it free to selected farmers. According to them, the distribution programme benefited a small fraction of farmers in the industry while a vast majority of them are left to buy the product at very high prices.

[url]Read more... https://www.commodity-port.com/index.php?page=article&&view=291[/url]

•Marketers insist on VAT removal The Department of Petroleum Resources has said delivery of Liquefied Petroleum Gas (LPG), otherwise called cooking gas, to consumers in their homes, is illegal as it defies environment and safety rules.

The agency said such acts were susceptible to explosion, as people who undertake such ventures cannot guarantee the presence of accident triggers like fire and intense heat, among others. The Operations Controller, Ibadan Office, DPR, Yemi Olaonipekun, said this at the seminar of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) Ibadan Chapter. Speaking on the theme: “Promoting a Sustainable Environmental for Best Practices in LPG Marketing, Olaonipekun said the DPR was worried about the proliferation of LPG plants, as in most cases, safety and standards were being compromised.

Representative of the Standards Organisation of Nigeria also hinted that the agency might come after plant operators who undertake cylinder-to-cylinder transfer of LPG. Marketers of the product also expressed further concern over the Valued Added Taxes levied on LPG produced in the country, while calling on the Federal Government to remove such charges to enable the industry grow.

They also decried the importation of gas products into the country, saying: “It is a thing of shame that Nigeria, a huge producer of gas, still ranks very low in LPG usage. “We are meant to pay VAT on LPG produced locally while the imported ones are VAT-free. With this, we are not making the market conducive for local investors in the business.”

Read more... https://www.commodity-port.com/index.php?page=article&&view=288

South Africa’s Sibanye-Stillwater (JSE: SGL) (NYSE: SBGL) has halted all its gold mining operations in the country after violence broke out overnight during a strike by workers demanding higher wages.

Operations at the Driefontein, Kloof and Beatrix mines, major sources of revenue for the precious metals miner, were suspended late on Wednesday due to increasing levels of brutality and intimidation, it said in the statement.

Read more...https://www.commodity-port.com/index.php?page=article&&view=284

Chairman, Green Energy International Ltd., Prof. Anthony Adegbulugbe, has said marginal oil field producers in Africa must leverage unique opportunities in the oil and gas business to survive.

Adegbulugbe, who spoke at the African Marginal & Independent Oil and Gas Producers Conference, in London, argued that marginal oil producers hold significant promise for the robust participation of skilled African human resource in the sector.

He adding that more incentives are needed from government to encourage sustainability of marginal fields, and was quoted: “sustainability of Africa’s one asset marginal field producers may depend on leveraging on their unique opportunities and eventual transformation into integrated energy companies.”

Read more... https://www.commodity-port.com/index.php?page=article&&view=280