Post by Trade facilitator on May 11, 2023 20:47:05 GMT 1
Great And Bold Steps: How Nigeria’s Export Processing Terminals Will Boost Intra-African Trade And Non-Oil Exports – Five New Export Terminals Have Been Licenced Across The Country
Recall that in November 2022, the Federal Government of Nigeria, through the Nigeria Ports Authority (NPA), licensed five new Export Processing Terminals (EPTs) across the country to begin the operation of handling and processing of export cargoes.
Establishing and licensing these export processing terminals are critical to increasing Nigeria’s foreign exchange earnings and boosting intra-African trade.
The African Free Trade Agreement (AfCFTA) seeks to create a $3.4 trillion economic bloc and end food insecurity in the continent.
Through these EPTs, Nigeria could maximize this advantage by creating an agricultural value chain hinged on production, processing, and export. Also, in line with the current administration’s commitment to diversifying the economy, EPTs are a timely innovation to boost exports in Nigeria.
The EPTs will also seek to address quality concerns over Nigeria’s export through the timely processing of export cargo and onward delivery to the port. In the past, exports from Nigeria arriving at destination ports were rejected because they either expired or halved their shelf-life because of longer waiting time accessing the port and longer time spent on sea-going vessels. Exporters have been losing about N700m worth of exports annually due to rejection.
The EPTs serve as a pre-gate facility, especially for Agro-exports, by sorting, processing, sealing, and certifying exports arriving at the terminals.
The five export processing terminals licensed are:
1)Diamondstar Port & Terminals Ltd, Ijora;
2)Esslibra Terminal, Ikorodu;
3)Sundial Global Trade & Service Ltd, Kirikiri, Lagos;
4)Bellington Cargo Ltd, Okokomaiko; and
5)Tenzik Energy Ltd., Kirikiri Lighter Terminal.
Speaking at the inauguration of the DiamondStar terminal in Lagos, the Managing Director of NPA, Bello Koko, remarked that exports will now undergo sorting, processing, certification, and packaging at the EPTs.
He reiterated the EPTs will “reduce the cost to the exporters, reduce the time that it takes to export these goods out, and then make the process faster and seamless, actually.”
In November 2021, Nigeria ratified its membership of the AfCFTA, which aims to create a single continental market for goods and services. Establishing these EPTs will position Nigeria to benefit from intra-Africa free trade policies.
As a major producer of agricultural produce, the EPTs will further improve Nigeria’s export processing capacities and volume of exports.
In the first half of 2022, Nigeria recorded N343.4 Billion (without the EPTs) only from Agro-exports, which accounted for 4.92% of Nigeria’s total foreign earnings within the same period.
It is expected that the commencement of operations at the EPTs will further increase the volume of (agro) export, estimated at $250B in revenue yearly, thereby leading to an increase in foreign inflow.
Despite the global economic recession, Nigeria’s non-oil export hit $2.6b in the first half of 2022 alone. These impressive statistics show the EPTS will further enhance Nigeria’s economic outlook and boost intra-African trade.
The EPTs, through their improved logistic operations, will lead to an increase in export activities. As export activities increase, it creates more opportunities for foreign exchange earnings and foreign direct investment. Another dynamic effect on the host economy is adopting technology to ease export processes.
Establishment of Agriculture And Mineral Resources International Organization for Standardization (ISO) Certification Laboratory in Abuja.
Recently, it was in the news that the Federal Government through the Raw Materials Research and Development Council (RMRDC), has established an agriculture and minerals resources International Organization for Standardization (ISO) certification laboratory in Abuja.
The lab will analyze Agro and Mineral resources produced in line with International Standards for exportation.
Our worry here is how the organization will coordinate activities between Abuja and the various locations of the Export Processing Zones. As you must have known, the zones are scattered across the country.
We will keep track and bring to your notice all that will be going on in this very important event in our non-oil export pursuit so that you can key in early and profitably too.
Stay with us for more as this is just the first part of the series of articles that will follow.
Addendum:
Our company is one of the best companies in the Agro-Export business in Nigeria today. We train individuals and corporate organizations on how to do Export Business the right way; if you are interested, please contact the admin of this forum now for further details.
Recall that in November 2022, the Federal Government of Nigeria, through the Nigeria Ports Authority (NPA), licensed five new Export Processing Terminals (EPTs) across the country to begin the operation of handling and processing of export cargoes.
Establishing and licensing these export processing terminals are critical to increasing Nigeria’s foreign exchange earnings and boosting intra-African trade.
The African Free Trade Agreement (AfCFTA) seeks to create a $3.4 trillion economic bloc and end food insecurity in the continent.
Through these EPTs, Nigeria could maximize this advantage by creating an agricultural value chain hinged on production, processing, and export. Also, in line with the current administration’s commitment to diversifying the economy, EPTs are a timely innovation to boost exports in Nigeria.
The EPTs will also seek to address quality concerns over Nigeria’s export through the timely processing of export cargo and onward delivery to the port. In the past, exports from Nigeria arriving at destination ports were rejected because they either expired or halved their shelf-life because of longer waiting time accessing the port and longer time spent on sea-going vessels. Exporters have been losing about N700m worth of exports annually due to rejection.
The EPTs serve as a pre-gate facility, especially for Agro-exports, by sorting, processing, sealing, and certifying exports arriving at the terminals.
The five export processing terminals licensed are:
1)Diamondstar Port & Terminals Ltd, Ijora;
2)Esslibra Terminal, Ikorodu;
3)Sundial Global Trade & Service Ltd, Kirikiri, Lagos;
4)Bellington Cargo Ltd, Okokomaiko; and
5)Tenzik Energy Ltd., Kirikiri Lighter Terminal.
Speaking at the inauguration of the DiamondStar terminal in Lagos, the Managing Director of NPA, Bello Koko, remarked that exports will now undergo sorting, processing, certification, and packaging at the EPTs.
He reiterated the EPTs will “reduce the cost to the exporters, reduce the time that it takes to export these goods out, and then make the process faster and seamless, actually.”
In November 2021, Nigeria ratified its membership of the AfCFTA, which aims to create a single continental market for goods and services. Establishing these EPTs will position Nigeria to benefit from intra-Africa free trade policies.
As a major producer of agricultural produce, the EPTs will further improve Nigeria’s export processing capacities and volume of exports.
In the first half of 2022, Nigeria recorded N343.4 Billion (without the EPTs) only from Agro-exports, which accounted for 4.92% of Nigeria’s total foreign earnings within the same period.
It is expected that the commencement of operations at the EPTs will further increase the volume of (agro) export, estimated at $250B in revenue yearly, thereby leading to an increase in foreign inflow.
Despite the global economic recession, Nigeria’s non-oil export hit $2.6b in the first half of 2022 alone. These impressive statistics show the EPTS will further enhance Nigeria’s economic outlook and boost intra-African trade.
The EPTs, through their improved logistic operations, will lead to an increase in export activities. As export activities increase, it creates more opportunities for foreign exchange earnings and foreign direct investment. Another dynamic effect on the host economy is adopting technology to ease export processes.
Establishment of Agriculture And Mineral Resources International Organization for Standardization (ISO) Certification Laboratory in Abuja.
Recently, it was in the news that the Federal Government through the Raw Materials Research and Development Council (RMRDC), has established an agriculture and minerals resources International Organization for Standardization (ISO) certification laboratory in Abuja.
The lab will analyze Agro and Mineral resources produced in line with International Standards for exportation.
Our worry here is how the organization will coordinate activities between Abuja and the various locations of the Export Processing Zones. As you must have known, the zones are scattered across the country.
We will keep track and bring to your notice all that will be going on in this very important event in our non-oil export pursuit so that you can key in early and profitably too.
Stay with us for more as this is just the first part of the series of articles that will follow.
Addendum:
Our company is one of the best companies in the Agro-Export business in Nigeria today. We train individuals and corporate organizations on how to do Export Business the right way; if you are interested, please contact the admin of this forum now for further details.
