Nigeria consume a total of 4.6 million tons of wheat per annum with local production below 500,000 tons per annum leaving a huge gap to be covered by importation. Yet the country has over 650,000 hectares of arable that can support Wheat Production in about 13 States in Nigeria. At the international market, wheat is been sold at $250-430.2 per ton and these means that Nigeria will be losing an estimated $1.7Billion to import the shortfall. Convert same amount to Naira that will be over N612,000,000,000.00 that will be expended to import wheat to meet our local demand for wheat adding all import related cost
Nigeria producing less than 500,000 tons and thus depends on import to meet the huge deficit. Wheat importation gulps the country’s hard-earned foreign exchange to the tune of not less than &1.7b. Nigeria is one of the biggest importers of United States wheat and the market continues to grow in an unprecedented rate. wheat demand is expected to surpass 4.6 million tons for the subsequent year as consumers’ demand for wheat-based foods continue to climb in response to changing tastes as in domestic supplies of other substitute staple products within Nigeria and neighbouring countries is not increasing to match population growth.
In order to breach the gap between what we consume and what we produce, we need to expand our scope by opening more lands and fits in more irrigation facilities and involve more youths in the production of this commodity. Engaging young people along the value chain opportunities in wheat production, processing, branding and packaging, transportation and deliveries of finished products will create more wealth while reducing the country’s youth unemployment. Although, wheat is mostly grown in the Northern part of the country, research has shown that it can also do well in the South and North Central States such as Niger, Plateau and Cross River States. it is a crop that can adapt to new environment.
Therefore, there is need to sensitise farmers in the areas mentioned above and prepare their minds towards engaging in wheat production also, Nigeria has the potentials to be self-sufficient in wheat production with 650,000 hectares of land for wheat production in the North and about 80,000 hectares for wheat production during the rainy season in Cross River, Jos and Taraba.
Wheat is a major staple crop that investors should explore investing on – In Nigeria. Also, very recently, the Federal ministry of Agriculture and The Federal ministry of Trade and Investment are exploring options in policies that would limit and control the import of wheat and consequently protect local farmers’ investment.
Wealth would be created for prospective investors by investing to close the current gap and deficit of about 4.3 Million Metric Tonnes which is currently filled by import. With a projected Nigerian population of 400 Million in 2050, the demand for wheat in Nigeria would continue grow in geometrical projection. This is a green flag for investors to explore investment opportunities in wheat in Nigeria.
Seed & Mech Hubs has positioned herself with vast local industry knowledge to play active investment roles along the sector and is seeking for Collaborators and Investors to explore the wheat sector for shared prosperity.
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