*urges FG, Lagos govt to wade in on challenges facing NOPPMAN
By; BAYO AKAMO , Ibadan
National President of the National Onion Producers, Processors And Marketers Association of Nigeria (NOPPMAN), Alhaji Aliyu Maitasamu Isah on Monday disclosed that Nigeria stand to generate $420 million annually from its export if there is value addition.
The National President who made this know at the inauguration of the South West zone executive of the association, maintained that there is the need for provision of enabling environment for the association to achieve its aims and goals in the area of contributing to the increment of Nigerian Gross Domestic Product (GDP) and creating job opportunities through effective and efficient onion production.
Alhai Isah stressed that with the commitment of the association in increasing onion production in the country NAPPOMAN is faced with challenges as ” double conversion rate, shortage in production, high interest rate from the commercial banks “
According to him, ” some of the major challenges faced by the onion sub-sector include, double conversion rate, that is, the currencies of the countries that are importing our products are CFA and Cedis. But the window available for repatriation excludes these currencies”
” If we have to repatriate using the current window, we are going to incur losses arising from the conversion of these local currencies to Dollar and then the subsequent conversion from the USD to Nigerian Naira. This is a serious challenge when you consider the exchange rate at the parallel market”, he said.
Isah added, ” This will no doubt help small holder farmers and marketers facilitate access to quick credit and encourage huge investment in the Sub-sector. Ensuring accurate statistical record of Onion production and export in Nigeria. Create job opportunities for small holder farmers, MSME’s and thereby curb insecurity related to unemployment in the country. Furthermore, Nigeria will stand to generate four hundred and twenty million US dollars annually from Onion export if there is value addition. “
” Shortage in Production, Nigeria produces 1.4 million metric tons which fall short of its domestic demand of 2.5 million metric tons. This demand gap is largely occasioned by inability to access necessary farming inputs on a timely basis, post-harvest losses due to poor storage facility and inadequate processing plants due to lack of access to cheap credit facilities from government interventions. The high interest rate from the commercial banks does a lot to discourage our members across the value chain”,
Speaking further, he said, ” if this situation continues, with the increase in population and the fact that Nigeria export Onions to other countries, this demand gap will continue to widen except there is quick and timely intervention by Lagos state Government and the Federal government by extension.”
While calling on the Lagos state government and the Federal government to facilitate an understanding between the Association and the business environment, such that, Onions value chain would be developed,he stressed, ” it is our belief that once the above challenges are addressed, Onions and Onion products will contribute immensely to the following, increase in the Nigerian Gross Domestic Product (GDP), Position Nigeria’s Onion value chain in the global map of Onion exporting countries, Encourage repatriation of forex back to Nigeria.”
Emphasizing that “this will no doubt help small holder farmers and marketers facilitate access to quick credit and encourage huge investment in the Sub-sector. Ensuring accurate statistical record of Onion production and export in Nigeria. Create job opportunities for small holder farmers, MSME’s and thereby curb insecurity related to unemployment in the country”, the NOPPMAN President hinted ” furthermore, Nigeria will stand to generate four hundred and twenty million US dollars annually from Onion export if there is value addition.
“Based on the current challenges confronting Onion stakeholders along the value chain especially post-harvest losses, we request from the Federal and Lagos states, the repatriation of Onion export proceeds in CFA, which government can help in collaborating with the relevant MDAs of Government. Facilitation of an understanding between the Association, storage and off-take companies and other institutions. This will facilitate access to quick credit and encourage huge investment in the Onion value chain. Support NOPPMAN in the construction of modern onion storage and processing facilities in the country.
“Finally, I wish to reiterate the commitment of our Association to the attainment of the domestic demand of onion in Nigeria, which is 2.5 million metric tons, as well as have sufficient quantity of onions to export to regional and International markets. We therefore, solicit the support of Lagos and other states across the country as well as Federal government to enable us meet this objective. We shall forever remain committed to the promotion of the goals and visions of the Federal Government in implementing strategies that would facilitate the development of non-oil commodity sector for job creation and for export.
The newly inaugurated Chairmen of the six states of Lagos, Ekiti, Ogun, Ondo, Osun and Oyo are Alhaji Abdullahi Tukur, Alhaji Shuaibu Yusuf, Alhaji Usman Danbaba, Munzali Saffiyanu, Alhaji AddulMuminu and Alhaji Abdulaziz Ademola respectively and their other cabinet members.
