‘Nigeria spends $480m annually on ethanol importation’

Audu Ogbeh, Minister of Agriculture and Rural Development, has said that the country spends $480 million (N96 billion) annually in the importation of ethanol.

 

The minister, who spoke at the Ogun State Investors’ Forum held recently at the state headquarters, described the situation as unhealthy for the country.   

 

He identified cassava farming as one unique aspect capable of generating employment opportunities and said derivatives from cassava; especially ethanol and starch can generate millions of dollars in foreign exchange.

 

“About $480million is being spent to import ethanol every year. So I suggest Ogun State and of course, Nigeria, should take advantage of this and diversify in the cultivation as well as processing of this all- important farm produce,” Ogbe said.

 

 

Ogbe said all over the world, agriculture has been serving as a major foreign exchange earnings, noting that Nigeria as a nation would continue to be underdeveloped if agriculture is not given special attention.

 

According to the minister, because of 10 percent viscosity and starch found in Nigeria’s cassava, the product is in high demand in China, urging Ogun State government to take advantage of the opportunity and invest in cassava farming and processing.

 

“The Chinese are asking us for cassava chips, and Ogun State can do wonders here. The reason why cassava chip export to China is not profitable is because of transportation cost from the north and other parts of the southwest. Ogun State is close enough to take that market,” the minister further said.

 

“We are lobbying with the Chinese now to remove the duty of five per cent on Nigerian cassava chips because they also offer duty free importation to Thailand which also exports cassava chips,” he added.