Growing non-oil export from Nigeria

Nigeria's economy has long been heavily reliant on oil exports, but recent reports by the National Bureau of Statistics reveal a significant shift. The value of total exports in the second quarter surged by 74.72 percent compared to the first quarter, largely due to the rise in crude oil exports. However, the export of manufactured goods witnessed a decline of 15.45 percent during the same period. This disparity raises the crucial question of how Nigeria can expand its non-oil exports beyond raw materials. To delve deeper into this pressing issue, Dr. Obiora Madu, the CEO of Multimix Academy, recently joined CNBC Africa for an insightful discussion. Dr. Madu emphasized the importance of strategic focus and value addition in driving non-oil exports. Reflecting on the current economic landscape, he highlighted challenges hindering Nigeria's export growth and provided valuable insights on potential solutions. One of the fundamental issues Dr. Madu raised was the lack of strategic planning in Nigeria's export initiatives. While efforts have been made to promote non-oil exports, he stressed the need for a more coordinated and targeted approach. Dr. Madu pointed out that simply training farmers or producers without addressing critical gaps in the value chain was insufficient. He cited an example where a large number of farmers were trained, but the impact on international agricultural production remained limited. This underscored the importance of aligning training programs with market demands and enhancing the overall competitiveness of Nigerian products. Central to enhancing non-oil exports is the focus on quality control and value addition throughout the export process. Dr. Madu highlighted challenges in the value chain, particularly in the processing and packaging stages. He emphasized the need for improved storage facilities, tracking mechanisms, and quality infrastructure to meet international standards. These deficiencies have led to instances of Nigerian products being rejected in foreign markets, such as the EU, due to quality control issues. Dr. Madu called for greater accountability among government agencies responsible for export certification and quality assurance. He emphasized the importance of raising awareness and educating exporters on international quality requirements to enhance Nigeria's reputation as a reliable export destination. Another key aspect Dr. Madu addressed was the role of international partnerships and promotional efforts in boosting Nigeria's export competitiveness. He cited the example of a chocolate factory in Ekiti that could significantly impact Nigeria's export potential if it reached full production capacity. Collaboration with foreign entities and promotional campaigns are essential for showcasing Nigeria as a quality export destination on the global stage. In conclusion, Dr. Madu's insights shed light on the critical steps needed to revitalize Nigeria's non-oil exports. By prioritizing strategic planning, quality control, and international partnerships, Nigeria can overcome existing challenges and leverage its export potential in the evolving economic landscape.