INTRODUCTION: Nigeria in brief SOME INCENTIVES FOR PRIVATE SECTOR

INVESTMENT IN AGRICULTURE CONCLUSION CONTACTS

•Highly diversified agro-ecological condition, which makes possible the production of a wide range of agricultural products

Nigeria: Base Agric Resources • Total agric land – 79 million Ha (only 44% currently

cultivated) • Fresh surface water – 267 billion cubic meters

discharged into the Atlantic annually (37 billion stored in dams)

• Underground water – 58 billion cubic meters • Annual rainfall range – 300mm to 4000mm • Potential irrigable area – 3.14million Ha (under 7%

currently utilizes)

ECOLOGICAL ZONE STATES LYING IN THE ZONE

KEY CROP OTHER AGRICULTURAL POSSIBILITIES

1. Dry Savanna Sokoto, Katsina, Northern Kaduna, Kano, Kebbi, Jigawa, Bauchi, Borno and Yobe

All cereals, grain, legumes, vegetables, seeds, and nuts

Cattle, fisheries, aquaculture, goats, sheep, rabbits, poultry, wildlife pigs

2. Intermediate Savanna

Abuja, Niger, Southern Kaduna, Kwara, Plateau, Adamawa, Taraba, Northern Benue, Northern Oyo, Northern Ogun, Edo North.

Roots and tubers, cereal, rice, maize, legumes, seeds and nuts, fruits and industrial tree crop

Inland fisheries, aquaculture, cattle, goats and sheep, rabbits, poultry, wildlife pigs.

NIGERIAN AGRICULTURAL PRODUCE ECOLOGICAL ZONES/SPECIALISATION

ECOLOGICAL ZONE STATES LYING IN THE ZONE

KEY CROP OTHER AGRICULTURAL POSSIBILITIES

3. Forest Savanna Mosaic

Benue (South), Kwara (South), Anambra (North), Kaduna (South).

Tree crops, cereals, roots and tubers, vegetables, fruits seeds and nuts, grains, legumes.

Inland fisheries, cattle, aquaculture, goats and sheep, pigs, snails, rabbits, wildlife.

4. Western Moist Forest

Southern Oyo, Northern Ondo, Ogun and part of Lagos State.

Industrial tree crops and tubers, vegetables roots, fruits, seeds and nuts, cereals, legumes

Inland fisheries, aquaculture, goats and sheep, pigs, rabbits, poultry, wildlife.

5. Central Moist Edo, Delta Tree crops, roots and tuber, vegetables, fruit, seeds and nuts, cereals, snails.

Marine and inland fisheries, aquaculture, goats and sheep, pigs, rabbits, poultry, wildlife

NIGERIAN AGRICULTURAL PRODUCE ECOLOGICAL ZONES/SPECIALISATION

ECOLOGICAL ZONE STATES LYING IN THE ZONE

KEY CROP OTHER AGRICULTURAL POSSIBILITIES

6. Eastern Moist Forest

Rivers (Northern Port-Harcourt), Imo, Anambra (South), Cross River, Akwa-Ibom

Tree crops, roots and tuber, vegetables, fruits, seeds and nuts, cereals, legumes.

Marine and inland fisheries, aquaculture, goats and sheep, pigs, rabbits, poultry, wildlife, snails.

7. Mangrove Lagos, Ogun (South), Ondo (South)

Fruits, vegetables, cereal, swamp rice and maize, coconut and kolanut, plantain, tree crops, tubers, grains, legumes, cereals, nuts.

Marine and inland fisheries, aquaculture, goats and sheep, pigs, rabbits, poultry, snails, wildlife.

NIGERIAN AGRICULTURAL PRODUCE ECOLOGICAL ZONES/SPECIALISATION

•Nigerian agricultural sector is open to private sector participation.

•Entire Agricultural Value Chain involved

PRODUCTION STORAGE

PROCESSING

MARKETING

1. Production •Large Scale commercial Production •Input Service Delivery •Fertilizer Manufacturing

2. Storage •Community Warehousing •Conditioning Centres

3. Processing •Cottage Industries •Agro industrial Parks

4. Marketing •Specialized market Development •Packaging & Branding •Integrated Retail outlets

5. Research 6. Biofuel Development

•Crops: Cassava, Millet, Sorghum, Wheat, Maize, Sugar cane, Rice, Cowpeas, Soya beans, Tomato, Cotton, Cocoa, Oil Palm •Livestock (Cattle, Fish, Pig, Poultry, Sheep )

Drivers − Demarcation of appropriate stock routes − Development of grazing reserves with essential infrastructure − Provision of animal health facilities and livestock extension services −Dairy Development −Feed lot development

•Fisheries ( Marine, Inland, Aquaculture): −Nigeria imports about 700,000 metric tonnes annually −Significant biodiversity −Abundant natural and human resources

China, 7,3%

Vietnam,5.69, 3%

India, 6.7,3%

Thailand,20.4, 10%

Colombia,2.22, 1%

Other,67.01, 33%

Indonesia,19.26, 9%

Brazil,24.04, 12%

Nigeria,38.18, 19%

Congo,14.95, 7%

Production Share in the World

Cassava

(million ton, 2004)

• Nigeria - largest producer in the world

• Food and industrial sectors growing rapidly.

• Africa’s domestic markets and intra sub Saharan Africa markets $8.9 billion/yr

• Large domestic import substitution market

• Domestic markets very lucrative, returns 50% -100% more with alternative global markets.

Wheat, Corn (Maize):

• Growing world demand

•Nigeria Imports about 3million Metric tons of Wheat annually

−Provision of Tractors and other implements

• Only 30,000 tractors available in the country • Planned Increase of at least by 10,000 tractors per annum

−Establishment and Operation of 774 Agro service centres- Fertilizers, seed, chemicals etc −Extension Services- Farmer education

• Target extension staff of 1:350 against current 1:10,000 Drivers: Complete deregulation of service delivery schemes

•Efficient subsidy management

•Nigeria Imports over 700,000 metric tons annually

•Current local production insignificant •Domestic demand of about 3.4million metric tons

•Availability of vast gas reserves

Construction & management of 7 Agro-industrial parks: Crops, Fish, Livestock,Tomato, Cotton & Vegetable, Fish, Shrimps & Rice, Cocoa, Cassava,Rice etc Drivers: Inadequate capacity to process available paddy rice Provision of N10.00 billion rice processing loan facility High post harvest loses High global demand for processed products, including tomato Over 70% of dairy need imported Unsatisfied demand for fish & beef & low domestic production

Nigeria set to maximize the potentials of cassava and jatropha as feedstock for the growing international biofuel market.

Cassava (for ethanol)

Drivers •Nigeria currently produces about 50million mt of cassava/annum

•Estimated ethanol domestic demand of 4b litres/annum

•Growing global market

•Guaranteed 10yrs. Off-take Contract from NNPC

•10 years income tax holiday with a possible extension for five years

•Exemption from all import & customs Duty in respect to importation of all equipments inputs, chemicals for use in Bio-ethanol production

•Withholding & capital gains Tax exemption on dividends, foreign loans and for services produced by foreigners to the Bio fuel firms