Nigerian Export Commodity Exchange

The Nigerian Export Commodity Exchange is a blog aimed at creating a unique platform for buyers and sellers of exportable commodities in Nigeria to meet.

Most producers of exportable commodities which include farmers, Local Buying Agents (LBA) and Commodity Merchants in Nigeria today are constantly looking for buyers for their commodities while the buyers (which include Exporters, Cottage Industries, Big Manufacturing companies etc) are also looking for suppliers to meet their supply chain demands.

Through this platform therefore, sellers of different commodities in Nigeria can register for free on this blog and also post the products that they want to sell from time to time. This will enable the buyers visiting the blog to have easy access to the commodity suppliers all over Nigeria.The URL for this blog is http://tradelinkng.blogspot.com/

Export Business Options In Nigeria: Full Time Exporter

Full Time Exporter: these exporters only engage freight forwarders minimally for their port of loading operations. This option is suitable for those that are available 24hrs (retirees and those that just resigned or lost their jobs) and also existing businesses that will like to be fully involved in their export operations. The return on investment of this option could range from 30-45%. The exporter is involved in Export Planning , Export Financing, Export Contract sourcing, Export Product Sourcing, Pre-Export Documentation, Haulage To The Warehouse, Warehousing and Inspection, Freight Forwarding, Haulage To The Port Of Loading and Post-Export- documentations.       

    

Export Business Options In Nigeria: Part-Time Exporter

Part-time Exporter: these exporters depend on consulting firms and freight forwarders to carry out some of their export operations. This option is suitable for individuals that would like to start a business while still in a paid employment and also have some time to spare. It’s also a viable option for existing businesses that want to divest. The return on investment for this option could range from 25-35%. The exporter is involved in Export Planning, Export Financing, Export Product Sourcing, Pre-Export Documentation, Haulage To The Warehouse, Haulage To The Port Of Loading, Post-Export- documentations.

Export Business Options In Nigeria: Armchair Exporter

Armchair Exporter: these exporters depend on consulting firms, local buying agents and freight forwarders to carry out most of their export operations. This option is suitable for individuals that would like to start a business while still in a paid employment but do not have enough time to spare. The return on investment for this option could range from 10-25%. The exporter is only involved in Export Planning, Export Financing, Pre-Export Documentation and Post-Export- documentations.

Export Business Options In Nigeria

Export Business Options In Nigeria

The Non-oil export business is still at its very primitive stage in Nigeria with a very high potential for growth. Since the export market is all the countries around the world, the market is therefore inexhaustible (especially for Agricultural commodities and other consumables), therefore there space for everyone that will like to earn foreign exchange via the export business. If you are interested in the export business you can start as an Armchair Exporter, or enter the business as a Part-time Exporter and finally as a Fulltime Exporter. If you enter as an armchair exporter then you should grow to become a part-time exporter and finally as a full time exporter depending on your strategy.

Cashew Nut Specifications In Detail

The crop season in West Africa is from March to June.

There is not a general standard for cashew nuts but some parameters can establish the quality of the cashew and the appreciation on the market

1 - Out-turn / Yield
It is the quantity of cashew kernel that can be obtained after decorticating (remove the shell of a cashew nut) 80 kg of raw cashew nuts. The count is in pounds per 80kg.
A good out turn is from 43 to 48 lbs
An excellent out turn is from 48 to 55 lbs

2-. Nut count
It is the number or raw cashew nuts per kg
170 excellent
180-190 very good
190-200 good
200-210 middle
210-220 low middle
230 limit acceptable
lower: poor
Please note that:
- It is necessary to balance this information with the out-turn
- In West Africa most of the raw cashew nuts, depending the year, have a nut count from 190 to 210.
3- Moisture / Humidity
For export 12% and less otherwise there are risks for the goods during the shipping                    
4- Foreign matter 
5% max
5- Defective 
Lower than 10%
6- Float Rate
This is the total number of cashew nuts that will float when poured into water.  A good float rate is  18%max

Export Product Profile: Cashew

Description: Cashew (Anacardium Occidentale L.) is a tree crop of considerable economic importance to Nigeria and other tropical countries. Apart from being a source of useful products and byproducts for food, medicinal and industrial applications, cashew gives also a useful shade, while ornamental and alley trees are suitable for the control of soil erosion, particularly for the protection of watersheds and dams.

Harvest: Cashew nut setting begins in the middle of dry season, while harvesting takes place mainly in February or March. The entire harvest period occupies about 16 weeks. In the Eastern and Western parts of the country, where quality cashew nuts are grown, nuts are allowed to drop to the ground before they are collected. This practice ensures that only ripe nuts are collected. Nuts normally fall to the ground with their apples attached; the two are normally separated with a twisting action during collection. The remnants of the apple flash adhering to the nuts are removed with a sharp knife. After picking, the nuts are dried in the sun for 2 to 3 days, to reduce their moisture content to about 12 %. Properly dried nuts are packed in jute bags and can be kept for 6 to 10 months, if stored in suitable condition.

Locations: Major cashew growing areas in Nigeria are, by order of importance: Enugu, Abia, Imo, Anambra, Ebonyi and Cross River States in the eastern part of the country; Oyo, Osun, Ondo, Ekiti and Ogun States in the Western part, as well as Kwara, Kogi, Nassarawa, Benue, Taraba, Niger and FCT in the Middle Belt and also Sokoto and Kebbi States in the North West part of the country. The majority of export quality nuts come from the Western and Eastern parts of the country.

Specification: According to SGS (quality inspectors), the standard for raw cashew nuts, unshelled, is specified as follows:

i. Nut count 180-200 per kg

ii. Moisture content 8-10% max

iii. Defective nuts 15% max

iv. Float Rate 18% max

v. Admixture 0.25% max

vi. Foreign matter 0.25% max

vii. KoR, or shelling out-turn 48-50 Ibs/bag

(Obiazu, P. C.,(2000) ‘Quality Requirements for Nigeria Agricultural Products’. Unpublished Seminar Paper.)

Uses: The cashew nut is a popular snack, and its rich flavor means that it is often eaten on its own, lightly salted or sugared. In addition to this, cashew nutshell liquid (CNSL), a by-product of processing cashew, is mostly composed of anacardic acids. These acids have been used effectively against tooth abscesses due to their lethality to bacteria.

Export market: The major buyers of cashew nut from Nigeria are mainly India and Singapore. Smaller percentage goes to Europe.

Export price: The export free on board (fob) price of raw cashew nut varies from about USD 500-600/MT. However, when an exporter adds value to this product by processing it into kernels, the fob price could quadruple that of raw cashew nut.

Local price: The local price per metric tonne MT for raw cashew nuts delivered EXW Lagos (delivered in Lagos) varies from NGN40,000.00 during the peak season to about NGN80,000.00 at the off season.