#1NEPC NIGERIAN EXPORT PROMOTION COUNCIL NEPC/CBI NIGERIA SUSTAINABLE GINGER PROGRAMME: MARKET ORIENTATION MISSION TO NETHERLANDS AND FRANCE PRESENTED AT THE NEPC STAFF MENTORSHIP PROGRAMME 3RD APRIL 2023#2INTRODUCTION • The Centre for the Promotion of Imports from Developing Countries (CBI) is part of the Netherlands Enterprise Agency and is commissioned by the Netherlands Ministry of Foreign Affairs. • CBI connects Small and Medium Enterprises (SMEs) in developing countries to the European market. • The Nigerian Export Promotion Council (NEPC) is collaborating with CBI on the Nigeria Sustainable Ginger Programme which aims to support the transition to a sustainable and high-quality ginger sector in Nigeria between 2021 - 2025. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#3THE GINGER SECTOR IN NIIGERIA . Nigeria is the 2nd largest producer of ginger in the world. India is ranked 1st China is 3rd. Nigerian ginger is among the best in the world because of its aroma, pungency and high oil and oleoresin. • The Netherlands, Germany and the United Kingdom are the top importers of ginger in Europe. • The major exporters of ginger to Europe are China, Peru, Brazil and Nigeria. Source: www.cbi.eu/market-information NEPC NIGERIAN EXPORT PROMOTION COUNCIL#4THE GINGER SECTOR IN NIIGERIA... ● ● ● Nigeria has two major varieties of ginger: yellow ginger (Tafin Giwa) and black. ginger (Yatsun Biri). Yellow ginger has a higher yield (15 tonnes/hectare) compared to black ginger (11 tonnes/hectare). The major ginger producing states are Kaduna state, Nasarawa, Niger, Gombe, Bauchi, and Benue. Source: www.cbi.eu/market-information NEPC NIGERIAN EXPORT PROMOTION COUNCIL#5THE GINGER SECTOR IN NIIGERIA... Major challenges of the Nigerian ginger sector • Low yields High post-harvest losses Inadequate technical know how and infrastructure required to improve processing and product quality • Fierce competition from Asia, • Price fluctuations, • Poor and ineffective institutional support NEPC NIGERIAN EXPORT PROMOTION COUNCIL#6THE NIGERIA SUSTAINABLE GINGER PROGRAMME This Nigeria Sustainable Ginger Programme is designed to strengthen the ginger value. chain by focusing on 3 key areas: Market Development: to support Nigerian ginger SMEs to become competitive, add value and have market access. Public-Private Dialogue: to achieve effective coordination in the sector through the National Sustainable Ginger Platform (NSGP) Service improvement: to create a functioning service delivery model and coordination for the ginger export sector. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#7THE NIGERIA SUSTAINABLE GINGER PROGRAMME In May 2021, 17 ginger companies were selected from 98 applicants to participate in the Nigeria Sustainable Ginger Programme. 10 NEPC staff were nominated by the Council to serve as Export Support Officers. Their role is to provide guidance and support to the companies for the duration of the programme. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#8THE NIGERIA SUSTAINABLE GINGER PROGRAMME... The programme is divided into 4 phases: 1. Export marketing Plan: Decide on export strategy and action plan. 2. Export Readiness: Assess and close gaps to become "ready for export". 3. Matchmaking: Participate in trade fairs/video calls/emails. 4. Build Relationships: Suppliers trips/trade mission to Dutch spice sector. • Bonus: All participants will have the opportunity to collect market information and develop expertise. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#9THE NIGERIA SUSTAINABLE GINGER PROGRAMME... Methodology for each phase: A. EMP template based on SWOT B. Export-readiness question check-list and assessment including feedback/advice C. Match-making & introductions: Online by email and video call or advice on outreach to buyers Visit EU trade fair as visitor - Workshop before and guidance during trade fair - what info to collect / floor strategy / prepare USP / pitch and facilitate first talks D. Build trade relationships: prepare USP / email-pitch / facilitate video calls Online by email & video call - facilitate video calls / advice on outreach to buyers CBI pavilion stand - Workshop before and guidance during trade fair / samples / posters/pitch / template for notes of talks / structured follow-up with buyers Incoming trade mission of Dutch spice sector to Nigeria Organise buyer trip to Europe to visit (few) prospective buyers Facilitate incoming visits of buyers for supplier audit or onboarding process E. Collect market intelligence & expertise: Use CBI reports ITC database - FAO database on exports Internet search for companies or market intelligence Link them to experts or service providers - build their network Use agencies to find intelligence or buyers (chamber of commerce, certifiers, trader or sector associations, tradefair search systems) Paid or free newsletter for market intelligence such as MINTEL and others NEPC NIGERIAN EXPORT PROMOTION COUNCIL#10THE NIGERIA SUSTAINABLE GINGER PROGRAMME... Activities so far: Strategic Conference on Sustainable Ginger held on 23rd February, 2021, at the NEPC Conference Hall, Abuja. Zoom meeting for briefing on Sectoral Export Marketing Plan on 7th May, 2021. NEPC-CBI Workshop on Sectoral Export Marketing Plan for Ginger on 10th May 2021, at the NEPC Conference Hall, Abuja. Virtual meeting on Microsoft Teams on 11th May, 2021, to brief Export Support Officers on the timeline, project goals and milestones of the Sustainable Ginger Programme. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#11THE NIGERIA SUSTAINABLE GINGER PROGRAMME... Activities so far... • Virtual meeting on 25th May, 2021, to finalize company selection for the Sustainable Ginger Programme. Phone interview of Export Support Officers by Mr. Hugo Lamers (CBI) on 1st June 2021. 1st Export Marketing Plan Workshop held on 9th - 10th June 2021, at the NEPC Conference Hall, Abuja. At the end of the programme, the 17 ginger companies were given an assignment to prepare a pitch as part of their Export Marketing Plan. Virtual Workshop on NEPC/CBI Export Marketing Plan (EMP) on 13th July, 2021. This was a brief meeting to discuss the EMP template with the selected companies and the Export Support Officers. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#12THE NIGERIA SUSTAINABLE GINGER PROGRAMME... Activities so far... Virtual Workshop on NEPC/CBI Export Marketing Plan (EMP) on 15th July, 2021. Virtual Export Marketing Plan (EMP) on 9th September, 2021. Sectoral Export Marketing Plan (SEMP) meeting with stakeholders on 14th September, 2021, at the NEPC Conference Hall, Abuja. Training on Sectoral Export Marketing Plan (SEMP) Implementation for Companies and Export Support Officers on 29th to 30th September, 2021, at the NEPC Conference Hall, Abuja. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#13MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE 4TH 9TH DECEMBER, 2022. Objectives: • To provide the platform for Nigeria exporters to understand the European markets better. • To carry out market research which would broaden participants' knowledge about market trends, trade legislations and food safety requirements for ginger in Europe. • To assist the participating SMEs in identifying the needs, primary concerns and buyers' preferences within the ginger value chain in Europe. • For participating SMEs to build strategic partnerships with buyers, network with experts, leaders of industries, generate new leads and be part of a community driving change and innovation to build a sustainable food future. • To ultimately increase foreign exchange earnings to the country. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#14MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... The Market Orientation Mission Team: Six (6) CBI officials, Nine (9) NEPC staff and Fourteen (14) SMEs in the ginger value chain participated at the Market Orientation Mission. The CBI Team: S/N 1. 2. 3. NAME Dorianne Wegen Lissanne van de Kerkhof Monsoor Raji Miguel Comacho 4. Hugo Lamers 5. 6. Daniella Beij DESIGNATION Programme Manager Programme Manager Local Senior Expert Business Export Coaching Consultant Institutional Development Cosultant Project Officer NEPC NIGERIAN EXPORT PROMOTION COUNCIL#15MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... The NEPC Team: S/N NAME 1. Mr. Akintunde Folorunso 2. Jumoke Abolaji 3. Obatimehin Adekunle 4. Godiya Gwani 5. Sarah Kwamegh 6. Israel Williams DESIGNATION Deputy Director Assistant Director Assistant Chief Trade Promotion Officer Assistant Chief Trade Promotion Officer Principal Trade Promotion Officer Senior Trade Promotion Officer 7. Opeyemi Malumi Trade Promotion Officer 8. Shamsuddeen Dalhat Trade Promotion Officer 9. Samirah Inuwa Trade Promotion Officer NEPC NIGERIAN EXPORT PROMOTION COUNCIL#16MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... The SMEs: S/N NAME COMPANY NAME Chukwuemeka Akubueze Muhammad Ibrahim 1. 2. Samuel Olatunji Suleiman Dikwa 3. Richard Isokrari 4. Adaku Chidume-Okoro 5. 6. 7. Chukwuemeka Ndichie 8 Abdulkhalid Baba 9. Nehemiah Nom 10. 11. 12. Deborah Apochi 13. Ngozi Ekechukwu 14. Achi Nojied Adebowale Abodunrin Charles Nduka AACE Foods Green Sahara Acier Limited Gum Arabic Company of Nigeria AFEX Commodities Daraja Int. Investment Atius Synergy Trappco Ranch and Resorts Belphins Nigeria Truvis Agro Services Hero Commodities Shield of Women Ltd. Afric Agro Achi Greens Farms Ltd. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#17MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE Rotterdam Harbour . Paris come to Fi Europ NEPC NIGERIAN EXPORT PROMOTION COUNCIL#18MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... Netherlands . France i. Visit to Rotterdam Harbour ii. iii. Meeting with Nigerian Ambassador to the Kingdom of Netherlands Dr (Mrs) Eniola Ajayi Visit to QAssurance B.V, Verstegen Spice & Sauce and Steinweg handelsveem Group i. ii. Food Ingredient Europe (FIE) Paris. Meetings held with Nedspice, Jayanti Herb & Spice, Catz International CEPEX, MATRADE and Import Promotion Desk(IPD) iii. Meeting with the Minister, Economic and Consular, Nigeria Embassy in France and the President, Nigerians in Diaspora Organization in France, Mr. Solomon Ogbaji. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#19MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... Key Takeaways ✓ Nigeria Ginger is in high demand in Europe. ✓ Quality issues needs to be address by adhering the quality requirements. ✓ Certification is highly recommended to appeal to buyers in Europe. ✓ There is a gradual shift from demand for conventional ginger to organic ginger in Europe. ✔ Ginger usage as food ingredient has increased post Covid-19 pandemic as more FBOs are exploring with ginger due to its health benefits. ✓ The export of ginger in it raw form is fast becoming old fashion, value addition is the future. ✓ To compete favorably, Nigeria ports must operate at optimal efficiency. ✓ There must be Institutional support for Nigerian SMEs to be globally competitiveness. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#20MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... Steinweg handelsveem Group Warehouse in Rotterdam NEPC NIGERIAN EXPORT PROMOTION COUNCIL 9#21MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... Retail Study • The team had a tour of three major supermarkets to check the origin and prices of the ginger products. o Lidl, a German supermarket which had fresh Chinese ginger for sale at the price of 4.6 Euros per kg. ○ Carrefour had fresh Chinese ginger for sale at the price of 6.7 Euros per kg. o Les Delices d'Orient, a Lebanese Shop which had a range of dried ginger powder in stock. Gingembre CHINE 4,99 Ducros ENGEMBRE NEPC NIGERIAN EXPORT PROMOTION COUNCIL#22MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... FINDINGS AND OBSERVATIONS i. Long-term trends: • There is high interest in innovative, organic, healthy and natural products. • Ginger companies should consider production of ginger powder, steam sterilization for product treatment, investment in laboratory facilities and machineries for testing ginger to ensure that it meets buyers' requirements. ii. Low hanging fruit for value addition: • Buyers are looking for alternative sources of ginger and they are more interested in dealing with exporters who have previously sold to their countries. Buyers are less willing to source ginger from India because of high pesticide residue level (PRL). • Certification makes it easier to secure new business deals, the essence of investing in European Certifications for Nigerian exportable products cannot be over-emphasized. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#23MARKET ORIENTATION MISSION (MOM) TO NETHERLANDS AND FRANCE... FINDINGS AND OBSERVATIONS... iii. Competition: . • Aside from China and India, Brazil, Peru, Tanzania and Sri Lanka are also upcoming competitors in the global Ginger and Spice industry. Companies at Peru's pavilion displayed machine-washed ginger. They also had 10 certifications which were acquired with support from their government. • There is more concentration on value added products, oils, extracts and flavours. iv. Global Trends • • . • The world is shifting more to natural, healthy and organic foods. More than 90% of the food ingredients exhibited at the FIE 2022 Fair fall within the aforementioned categories. Buyers of ginger are opting for direct market linkages, as against sourcing from third party. Value addition is the main stay and not export of raw materials or commodities. Traceability, sustainability and innovations are of utmost importance to European buyers which are considered as very important. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#24CONCLUSION The NEPC/ITC Sustainable Ginger Programme has been a learning experience for the ginger companies and their Export Support Officers. The Market Orientation Mission (MOM) provided much needed exposure to the realities of the European market, where buyers are becoming more interested in Nigerian ginger. NEPC NIGERIAN EXPORT PROMOTION COUNCIL#25a alamy a alamy THANK YOU www TRADE amy