AFEX Commodities Exchange has stated that Sesame, Cocoa, and Cashew led the non-oil export charts, as they grossed $84.97 million by the end of the third quarter of 2019. this was disclosed in the AFEX’s latest annual report.
The report stated that the agriculture sector in Nigeria received significant
attention, rivalling what was witnessed in the 2011-2013 period. The renewed drive has been broad-based with virtually all sub-sectors (Livestock, Crop, and Fishery) benefitting
from the public, private and developmental investments in the sector.
Details: At the end of Q3 2019, Sesame, Cocoa and Cashew led the non-oil export charts, grossing $41.19million, $30.03 million and $13.75 million over the period.
The commodities exchange, in the report, found that Kaduna, Niger and Taraba remain the largest producers of maize in Nigeria with an estimated production of 937,820 tonnes, 745,110 tonnes and 608,730 tonnes respectively.
It attributed the increased production levels to high demand from baby food and animal feed companies which service an increasing population with expanding dietary awareness.
The consumption of maize is expected to grow by at least 1.2% per annum with the fundamental drivers remaining strong.
According to the report, the Nigerian commodity markets experienced more structure, with the market seeing a wide range of players getting involved from the producers to final off-takers with trader, merchants and other marketing agents serving as the backbone of the industry and helping to provide the much-required linkage services.
However, AFEX said, in spite of the export potential of cocoa and other cash crops, maize and soybean remained the most liquid commodities in the country owing to their much wider use for industrial and household consumption across the country.
Paddy rice and sorghum have begun to assume more importance in the local landscape with the country’s sesame and ginger gaining more traction in the international consumption markets.
Meanwhile, in the global market, commodity prices witnessed wide fluctuation as the combined effects of trade wars, geopolitical tensions and the global economic slowdown pressured commodity performance in 2019. Specifically, the US-China trade war and the global economic slowdown, as investors and producers grappled with tariffs and reduced access to key export markets, the report noted.