Showing posts with label Job creation. Show all posts
Showing posts with label Job creation. Show all posts

Wednesday, 8 February 2023

Made in Nigeria Ingredients - Boosting Our Gems Through Tourism and Hospitality

 


Hotels have a unique opportunity to serve as a cultural ambassador, showcasing the essence of a country to foreign visitors. From the food they serve, to the music they play, to the traditional artifacts they display, hotels have the power to bring the rich culture, history, and traditions of a nation to life. By highlighting the local cuisine, music, and customs, hotels can provide a truly immersive experience for guests and offer a glimpse into the soul of the country. In doing so, hotels not only create memorable and authentic experiences for guests but also play a critical role in promoting the cultural heritage of the nation and supporting local communities. Let’s delve into the significance of hotels in advancing the utilization of produce from Nigerian farmers and locally made products in Nigeria, and the reasons why this should be a top priority for the Tourism and Agric sector across the country.

Visitors who arrive at the airport often check into a hotel as their first stop in the country. Many of these travelers, particularly those visiting for business purposes such as meetings or conferences, may not venture outside the hotel grounds during their stay. For these individuals, the hotel they are staying in serves as their primary point of exposure to the country they are visiting. If the hotel fails to showcase the culture, food, music or other aspects of Nigeria, these visitors may leave without truly experiencing the essence of the country, even if they spend several weeks here.

One of the most important reasons why hotels should prioritize cooking with local produce and condiments is that it allows guests to experience the authentic flavors of the local cuisine. These ingredients, often unique to the region, are not only delicious but also rich in cultural and historical significance. By incorporating these ingredients into their dishes, hotels can give guests a taste of the local culture, offering them a true sense of place and a more memorable dining experience.


Incorporating local ingredients in their offerings has substantial economic advantages for both the hospitality sector and the surrounding community. By procuring produce and condiments from local farmers and suppliers, hotels can aid the local agriculture industry and stimulate the regional economy. For example, they can serve coffee brewed with locally grown coffee beans and provide snacks, chocolates, and sweets made with indigenous ingredients. This approach not only supports local farmers and suppliers, but it also generates job opportunities in the agriculture and food industries, thereby contributing to the economic growth of the region.

Furthermore, promoting the use of local ingredients in cooking in hotels and restaurants can also help to promote their export to other countries. By showcasing the unique flavors and quality of these ingredients, hotels can raise awareness and increase demand for them globally, helping to expand the local agriculture industry and support the development of the local economy. This can also help to promote the country's culinary heritage and contribute to its reputation as a foodie destination, further boosting its tourism industry.

Exposing local producers and farmers to international hospitality businesses can provide valuable insights into global best practices and quality standards. By observing the processes and systems used by these businesses, local producers can identify areas for improvement and adopt similar strategies to enhance the quality of their products and services. This can help to raise the bar for local agriculture and food production, making their products and services more competitive and appealing to a wider range of customers.

Working with international hospitality businesses can also provide local producers with access to training and development opportunities, helping them to build their skills and expertise in areas such as food safety, quality control, and sustainable agriculture practices. This can help to increase the quality and consistency of their products and services, making them more attractive to international hospitality businesses and helping to create a sustainable supply chain. Furthermore, exposure to international hospitality businesses can also help to increase the visibility of local producers, allowing them to reach new markets and expand their customer base, both locally and globally.

To motivate hotels and restaurants, the government needs to offer various incentives that make it more appealing and cost-effective for hotels to choose local ingredients, thereby creating a mutually beneficial situation for all parties involved. One such incentive is tax benefits, such as lower tax rates or tax exemptions for hotels that prioritize local ingredients in their cuisine. This can lower the cost of acquiring local ingredients, making it more attractive for hotels to select local producers instead of international suppliers.

Governments can also offer marketing and advertising support to hotels that emphasize the usage of
local ingredients. This can involve establishing a "local sourcing" certification scheme, which hotels can display to promote their dedication to local ingredients. Governments can collaborate with hotels to initiate local sourcing programs and promote them through advertising efforts and events, elevating awareness and boosting the demand for locally sourced ingredients.

By lending their support to hospitality sector for the promotion of local agriculture produce, spices, and condiments, the government can play a critical role in fostering economic growth and job creation in Nigeria. Simultaneously, hotels and restaurants can provide their guests with a one-of-a-kind, genuine dining experience, thereby elevating the standing of local cuisine and stimulating the tourism sector. Overall, this creates a mutually beneficial outcome for all involved parties.

 

Value Addition - Driving the Success of Nigeria's Local Producers

Food Producers with their products at the PHSB Workshop (2021)
for Stay-At-Home-Women in food business held by Mrs. Saudat Salami

In the late 1990s, I established one of my first businesses, a food processing company that specialized in packaging and processing spices and food condiments such as crayfish, locust beans, palm oil, Egusi, Ogbonno and others. I started this company after realizing that the supermarkets in Lagos only stocked imported spices and that local spices and condiments could only be obtained from open markets. My company successfully supplied packaged condiments to major supermarkets in Surulere, Lagos for a few years, before I launched another company, Easyshop Easycook. This experience opened my eyes to the untapped opportunities in the industry and the potential for job and wealth creation through developing the value chain by promoting the sector. Despite some progress, this sector remains largely untapped even after more than 25 years.

Thirty Six Foods Chocolate
Promoting the growth and development of local producers in Nigeria's food industry is critical to the country's overall economic and social advancement. Agriculture is a key sector in Nigeria's economy, employing a significant portion of the population, estimated at around 35%. In fact, agriculture contributes more to the country's GDP than even the petroleum industry. Given these important contributions, it is crucial to encourage value addition among small local producers in order to enhance their wealth and improve their standard of living. By supporting local producers, Nigeria can not only drive economic growth but also support the well-being of its citizens.


Value addition is the process of transforming raw materials into finished products that have higher value in the market. In the agricultural sector, this involves converting raw agricultural materials into processed products, such as cocoa into chocolate. The benefits of value addition for farmers, the economy, and small producers are substantial and can be seen across
Nigeria today.

Loshes Chocolate

 
One of the key benefits of value addition for farmers is that it increases their income. For example, many Nigerian, Kenya and Ghanaian companies have started processing cocoa into cocoa powder and chocolate; companies like Loshes Chocolate and Thirty Six Foods Chocolates are a few of them.  The sale of a ton of raw cocoa beans generates less revenue than the sale of a ton of chocolate. By processing their cocoa into chocolate, they earn more money and improve their livelihoods. This increase in income also helps to reduce poverty in rural areas and leads to the development of more sustainable farming practices.

 
Value addition also benefits the economy by creating jobs and increasing exports. The production of processed agricultural products creates jobs in manufacturing, packaging, and distribution. This helps to reduce unemployment and contributes to the growth of the economy. Additionally, by exporting finished products rather than raw materials, countries can earn more foreign currency and improve their balance of trade.

Ady's Foods Mart
 According to a study by the Central Bank of Nigeria, the value addition of agricultural products has led to a significant increase in the earnings of farmers in the country. The study found that the value addition of agricultural products in Nigeria increased by 12% between 2015 and 2020, contributing to a 20% increase in the average earnings of farmers during the same period. This highlights the positive impact that value addition has had on the agriculture sector in Nigeria and demonstrates the potential for further growth and development. Additionally, the study found that value-added agricultural products, such as processed food, accounted for over 60% of Nigeria's total agricultural exports, further emphasizing the importance of value addition in the sector. These statistics highlight the significant role that value addition plays in improving the earnings of farmers and supporting the overall development of Nigeria's agriculture sector.

 

Xtar Kitchen Sauces
One of the main benefits of processing raw ingredients into finished goods is preservation. For example, turning tomatoes into Sauces, ketchup, puree or juice allows for the tomato to have a longer shelf life and be used throughout the year. Tomato Jos based in Kaduna, Nigeria is one of the new companies in this sector. The company started with farming tomatoes and later went on to producing their purees. When raw tomatoes are harvested, they have a short shelf life and can quickly spoil if not used or processed promptly. However, by processing the tomatoes into other products, they can be stored for longer periods, reducing food waste and ensuring that they are available for use when needed. This not only benefits consumers but also helps to increase the income of local producers as they can sell their products for a longer period of time and to a wider market.

Timdol Snacks
 
Another area is producing local snacks, spices, condiments, oils and
other products
that can generate significant income for women and youths in Africa. Most of our local condiments and snacks are still being produced traditionally and have still not been packaged in forms that can make it to our supermarkets or exported abroad. According to a study by the African Development Bank, women are often involved in the production of these goods and make up a significant portion of the informal economy in Africa. This means that by producing and selling local snacks, spices, oils and other products, women can create new income-generating opportunities for themselves and improve their financial stability.

 Many things hinder value addition of raw produce, affordable technology, access to capital and infrastructure are some of the major issues. Solving these problems can help local producers to standardize their processes and improve their bottom line by increasing efficiency, improving production capabilities, and supporting business management and competitiveness. By providing access to capital, investing in technology and infrastructure, governments and organizations can help to spur economic growth and support the development of local producers.

 

BCF Oils and Flour

Another way to help the sector is building industrial hubs. An industrial hub can play a crucial role in supporting local producers by providing access to technology, infrastructure, and resources that can help to standardize their processes and improve their bottom line. Industrial hubs can also provide local producers with access to training and resources that can help to improve their business management skills and increase their competitiveness. This should be well situated as the location of industrial hubs is determined by a variety of factors, including the availability of natural resources, transportation infrastructure, access to markets, the availability of skilled labor, and government policies and incentives. The location of an industrial hub should be chosen based on the needs of the industries it will serve, such as proximity to raw materials or access to shipping ports.

 In addition to these factors, the cost of doing business and the quality of life in the region should also be considered, as these can impact the ability of businesses to recruit and retain employees. The availability of infrastructure, such as power and water supplies, should also be considered when selecting the location of an industrial hub, as these can have a significant impact on the competitiveness and viability of the businesses in the hub.

 Finally, we need regulation and standardization to compete and this is where NAFDAC comes in. NAFDAC can help small producers in Nigeria by streamlining regulations, providing technical assistance and training, offering incentives and support, and partnering with other organizations to provide resources. This can help to reduce the administrative burden on small producers and ensure that they are able to meet regulatory requirements and grow their businesses, promoting the growth and development of the food industry in Nigeria while ensuring food safety and quality.

Participants at a PHSB Workshop (2019) for women
in food business held by Mrs. Saudat Salami

Boosting the earnings of local producers in Nigeria's food industry is essential to the country's overall economic and social advancement. By encouraging value addition and supporting small farmers, we do not only drive economic growth but also improve the livelihoods of those in the agriculture sector. Investing in affordable technology, infrastructure, and industrial hubs can help standardize processes and increase competitiveness, leading to a more robust and thriving food industry in Nigeria. By working together to support local producers, we can ensure a bright future for Nigeria's agriculture sector and the well-being of its citizens.

Wednesday, 1 February 2023

Tackling Food Waste in Nigeria with E-commerce


Nigeria, a land of vibrant culture and rich history, is facing a major problem of food waste. Despite the fact that tons of food go to waste daily, many people still struggle to access food. However, there is a solution that can tackle this issue and save money for all. 

Online grocery delivery companies, such as Easyshop Easycook and other e-commerce businesses, are leading the fight against food waste. These companies provide a platform for fresh food to be delivered directly from the farm to the table, saving produce from being wasted on the farms or in wholesale markets due to infrastructure challenges like bad roads, lack of storage facilities and affordable cold chain vehicles. 
Tackling Food Waste in Nigeria


These delivery companies use various platforms, including websites, mobile apps, and social media, to connect farmers with consumers. They not only tackle food waste but also create jobs, empower people, add value, and create wealth through e-commerce. Small business owners who source directly from farmers have also become processors or manufacturers, eliminating food adulteration and offering easy-to-cook local foods. 

Food waste is a major challenge in the agriculture supply chain in many African countries. Although the number of businesses in this sector is increasing, they face infrastructure challenges that make operating expensive. Addressing this requires government intervention, community involvement, and a collective effort. 

E-commerce can play a significant role in reducing food waste by improving supply chain efficiency and reducing the amount of surplus food that goes to waste. One way e-commerce can do this is by connecting producers with consumers in real-time, allowing for more accurate forecasting of demand and reducing the amount of produce that is over-grown and goes unsold. This helps to ensure that food is produced and sold in a timely manner, reducing the risk of spoilage and waste.

Furthermore, e-commerce companies can play a role in reducing food waste by promoting more sustainable and conscious consumer behavior. For example, some e-commerce companies like Easyshop Easycook offer customers the option to purchase products in bulk, reducing packaging waste and allowing customers to only purchase what they need, reducing the amount of food that is wasted at the household level. E-commerce can also help to promote food waste reduction by making it easier for consumers to access surplus food from farmers and food producers, reducing the amount of food that is left unsold and ultimately discarded.

According to the Food and Agriculture Organization of the United Nations (FAO), up to 30% of food produced in Africa is lost due to inadequate storage, transportation, and marketing systems. By providing farmers with access to new markets and reducing food waste, e-commerce has the potential to increase the availability of food and improve food security in Africa.

As Nigeria takes advantage of the African Continental Free Trade Area agreement, it is crucial to recognize the role of the fresh grocery delivery companies in the agricultural value chain. Supporting them is vital to reducing food waste, creating wealth, and ensuring the success of the agreement. Whether small or big, these companies are essential to a thriving agriculture industry and must be supported to succeed.