Nigeria must export tomato pastes to earn FX, says FG
The Federal Government says Nigeria needs to be self-sufficient in tomato production and export the commodity to other markets to earn the desperately needed foreign exchange.
Ogbonnaya Onu, minister of science and technology, said this during a facility tour of Erisco Foods Limited, Nigeria’s largest tomato paste maker, in Lagos.
“Nigeria can grow tomatoes, and this is a major advantage Nigeria has over so many countries. I encourage our farmers to produce enough tomatoes for our use in the country. We should also be in the position to export what we produce in Nigeria so that we can diversify our economy and earn foreign exchange,” Onu said.
Nigeria has relied on crude oil revenue over the years, to the detriment of the non-oil sector. But this has now become the country’s albatross as oil price fall plunges government revenue by over 50 percent, putting many states in financial crises.
According to Onu, Africa’s biggest economy cannot continue to rely on oil and gas as its only economic mainstay, adding that a resilient economy is needed to withstand the shock arising from the falling crude oil prices.
The minister said Nigeria cannot have food security if it does not have sufficient local capacity, stressing that no nation has ever become truly great without science and technology.
“We want all Nigerians to have access to tomatoes at every period of the year. So, what we have done over the years is to the tomatoes in season. But Erisco Foods CEO knows that if tomato is left with its moisture, it will get bad. So he decided to dry it first before bringing it here, so that whenever he wants to use it he can reconstitute it by adding water to it. Its very creative and it’s something that should be commended,” the minister said, stating the method meets international standards.
On his part, Eric Umeofia, CEO and chairman of Erisco Foods Limited, said the company has created about 2,052 jobs as part of its commitment to support government’s effort to reduce poverty and unemployment in the country.
Umeofia said the company’s tomato processing plant has 450,000 metric tonnes capacity per annum, adding that tomato industry in the country is stymied by the importation of substandard paste by foreigners and unpatriotic Nigerians.
“Nigeria is one of the few countries that have opened its borders to importation of all kinds of finished goods, including those goods that can locally be produced better here in Nigeria,” he stated, adding that his company has been buying forex from the black market in order to acquire essential machinery and raw materials for expansion, which is a disincentive to an investment like his.
“With the new technology we have in place, we will address those challenges and ensure that tomatoes are converted into paste. Thus, we are in a position to meet the tomato needs of the country by December 2016 and even begin export in 2017 as long as there is adequate government support. In line with our aspiration to meet the nation’s tomato paste needs, our backward integration projects are at advanced stages in Sokoto, Jigawa,and Katsina State, where we have commenced work with the target of producing from our Katsina factory in the first quarter of 2017,” Erisco CEO added.
ODINAKA ANUDU & CHINYERE OKEKE