₦airaland Forum

Great news!
Indigenous companies from all geozones doing us proud. Everybody should do something. Come and see what Indians/Chinese/Lebanese are doing here.
I'm particularly interested in diary products they're trading.

Oya now, let's blow it up. $510m in non oil export is quite ridiculous for a country of Nigeria's caliber but it's a start. Let's blow it up. Can we push it to at least $1bn by this year end? Let's get to work. There's a lot of hidden treasures for export in our country.

Believeintruth:
FreeStuffsNG stop using another moniker.

Lol.. Just see how low you can be! That you do this doesn't mean others do.

Someone shared a very good info in my line of business that inspired me and see what you just posted, SMH. Kids too full this forum!

Anyways feel free to check my topics for commodities i deal in: Charcoal, Cashewnut, Sesame, Ginger, SheaButter, etc.

OkCornel:
Just followed you

Thanks

commoditiesnig:
Lol.. Just see how low you can be! That you do this doesn't mean others do.

Someone shared a very good info in my line of business that inspired me and see what you just posted, SMH. Kids too full this forum!

Anyways feel free to check my topics for commodities i deal in: Charcoal, Cashewnut, Sesame, Ginger, SheaButter, etc.

Oga it is not about kids here. Leave matter abeg, please stop playing ostrich here FreestuffNG is know to post lies and deceptive posts.

Believeintruth:
Oga it is not about kids here. Leave matter abeg, please stop playing ostrich here FreestuffNG is know to post lies and deceptive posts.

chinedu how far

Believeintruth:
Oga it is not about kids here. Leave matter abeg, please stop playing ostrich here FreestuffNG is know to post lies and deceptive posts.

Who is "FreestuffNG"?

You wrongly accused me of impersonation. When I responded, you're now saying something else.

It shows you're GUILTY of exactly what you accuse others of.

Thanks and have a good day!

(1) Real question about a really important related issue - Why is Nigeria's role in the cocoa market still predominantly the export of beans and minimally processed beans?

A lot of those cocoa beans go to Europe, where they're used in factories that employ thousands, maybe tens of thousands of Europeans. Many Nigerians surely have good paying jobs at major cocoa using companies like Nestle and Unilever, in fact I met a Nigerian in Houston whose husband works for Unilever in London. I believe...without checking...that Europe and other processing countries and their companies make more money from Nigerian cocoa than Nigeria and Nigerian farmers and marketers like Starlink. I welcome any evidence to the contrary.

So why is the Nigerian role in cocoa markets still concentrated in export of raw and minimally processed cocoa? Or is there a Nigerian company that adds value to cocoa I'm not aware of?

(2) Another important thinking point - this Starlink is essentially doing the work of the Nigeria Cocoa Board that was abolished via SAP by President Ibrahim Babangida in 1986.

Hopefully Nigerians realize the import of the results after 40 years? This is EXACTLY what should happen to NNPC and all the crude oil & natural gas resources in the country. Privatize all resources and companies AND deregulate all prices.

Good Luck to Nigeria.

LegendHero:
So if I have a huge warehouse, get commodities, buy and sell some, and then help people ship abroad for export and $1bn pass through my company for example, I shouldn’t lay claim to that achievement? Won’t I generate revenue from that $1bn?

What is called a business?

Visit those guys in Lagos, it will clear your doubt. Cocoa and sesame are very expensive, if I can have a system that will attract large volume of farmers to use me to export their proceeds abroad and buy/sell some for them, I’ll be controlling huge $$ in no time.

You're very correct. Commodity trading, wholesale and warehousing is a vital service. In fact I think it's one of the biggest sectors in the Nigerian economy when you look at NBS data.

Off the top of my head, I think Kase Lawal, the Nigerian owner of CAMAC oil trading company, first tried to trade in agric related commodities and failed. I don't know if that was BEFORE or AFTER the commodities market was liberalized by SAP in 1986. That's worth looking into for some lessons.

Good Luck to Nigerians.

IbeOkehie:
(1) Real question about a really important related issue - Why is Nigeria's role in the cocoa market still predominantly the export of beans and minimally processed beans?

A lot of those cocoa beans go to Europe, where they're used in factories that employ thousand, maybe tens of thousands of Europeans. Many Nigerians surely have good paying jobs at major cocoa using companies like Nestle and Unilever, in fact I met a Nigerian in Houston whose husband works for Unilever in London. I believe...without checking...that Europe and other processing countries and their companies make more money from Nigerian cocoa than Nigeria and Nigerian farmers and marketers like Starlink. I welcome any evidence to the contrary. So why is the Nigerian role in cocoa markets still concentrated in export of raw and minimally processed cocoa? Or is there a Nigerian company that adds value to cocoa I'm not aware of?

As we discussed the last time on this topic:

Gerrard59:
The same could be said of Ghana and Ivory Coast. These chocolate firms generate money because they spend a lot on marketing. It is like Nike or Adidas - make the shoes somewhere in China, and sell them in the West at high prices due to marketing. Two, the major consumers are Westerners, and the companies selling chocolates are theirs. So it won't be easy to disrupt the system. This is unlike electric vehicles, where China is a major consumer, so she can engineer homegrown EV companies.

Since Africans don't consume chocolates like Westerners and the major companies are in the West, the best alternative is to sell to rich Asians - Japanese, Chinese and South Koreans. Also, target Emiratis and Indians. Another alternative is to encourage private investors to establish companies semi-processing cocoa. The final production takes place in the West. Ednut mentioned having constant electricity to preserve it in good condition. That is another issue.

But then, compared to cassava where the West does not participate, Thailand is the major exporter of value-added products, not Nigeria, which is by far the biggest producer globally. That is where successive governments have to support the private sector to add value to it because the Thai folks did the same thing. The major advantage the Thai enjoy is proximity to China - the major consumer of products derived from cassava. Companies are doing the same in Nigeria, but there is so much work to be done. But it is way easier than upsetting the West in chocolate manufacturing. Palm oil is also a case study - we don't have homegrown companies like Wilmar and Sime Darby, which dominate the industry, even though it is said that Malaysia built their industry with oil palm seeds from Nigeria. The major companies behind palm oil production in Nigeria are dominated by foreigners - Europeans, especially Belgians and South East Asians (Malaysians, Thais and Indonesians).

In conclusion, Nigerians are not really as good at long-term entrepreneurship as we claim to be.

Also, the cost of doing business in terms of power supply has made cocoa processors to be uncompetitive compared to European producers.

(2) Another important thinking point - this Starlink is essentially doing the work of the Nigeria Cocoa Board that was abolished by IBB in 1986. Hopefully Nigerians realize the import of the results after 40 years? This is EXACTLY what should happen to NNPC and all the crude oil & natural gas resources in the country. Privatize all resources and companies AND deregulate all prices.

Agreed. I think you should have mentioned some of those monikers who push for a national oil company, national power provider and national food subsidy program.

Believeintruth:
Oga it is not about kids here. Leave matter abeg, please stop playing ostrich here FreestuffNG is know to post lies and deceptive posts.

The thread isn't a lie. The folks behind Starlink are stupendously wealthy and are very silent at it. For them to beat Olam is a testament to their dominance and growth.

When you see a good thing even from your perceived enemy, admit it is good. It is the right thing to do.

Oga Gerrard how are you? I hope you're well.

Gerrard59:
Also, the cost of doing business in terms of power supply has made cocoa processors to be uncompetitive compared to European producers.

The major reason for lack of value addition in Nigeria and Africa as a whole is rigged currency markets.

I think electricity and infrastructure and such things are relevant but not the major constraint. That telecoms providers, banks, broadcasters and cement manufacturers and even Starlink itself can function profitably in Nigeria right now is enough evidence.

Gerrard59:
The thread isn't a lie. The folks behind Starlink are stupendously wealthy and are very silent at it. For them to beat Olam is a testament to their dominance and growth.

When you see a good thing even from your perceived enemy, admit it is good. It is the right thing to do.

Thanks.

Good Luck to Nigeria.

Gerrard59:
The thread isn't a lie. The folks behind Starlink are stupendously wealthy and are very silent at it. For them to beat Olam is a testament to their dominance and growth.

When you see a good thing even from your perceived enemy, admit it is good. It is the right thing to do.

Tribalism has really damaged people’s ability to think critically

IbeOkehie:
You're very correct. Commodity trading, wholesale and warehousing is a vital service. In fact I think it's one of the biggest sectors in the Nigerian economy when you look at NBS data.

Off the top of my head, I think Kase Lawal, the Nigerian owner of CAMAC oil trading company, first tried to trade in agric related commodities and failed. I don't know if that was BEFORE or AFTER the commodities market was liberalized by SAP in 1986. That's worth looking into for some lessons.

Good Luck to Nigerians.

Exactly. It’s a very lucrative one especially for those high valued cash crops.

I don’t know much about Kase Lawal dealings but that name rings a bell.

LegendHero:
Exactly. It’s a very lucrative one especially for those high valued cash crops.

I don’t know much about Kase Lawal dealings but that name rings a bell.

https://www.referenceforbusiness.com/biography/F-L/Lawal-Kase-L-1954.html

Interesting person to know about for anyone interested in Nigerian business, especially the cross links with other African countries and the USA.

Good Luck to Nigeria.