The Nigeria Export Promotion Council (NEPC) has disclosed that Nigeria can earn $3.4 million annually from cashew exports to five countries alone.
An export advisory report sourced from NEPC listed the countries as Germany, Poland, Netherlands, United Kingdom and France.
NEPC stated that largest potential can be found in Germany, followed by the Netherlands and the United Kingdom.
The council put the total amount of estimated untapped potential by 2021 for Nigerian exports towards these countries at $3.4m.
Vietnam is currently the largest export destination for Nigerian cashew kernels with average yearly export of $3.4m.
The council reckoned that Vietnam is also Nigeria’s largest competitor on a global scale and that this makes it imperative for exporters to seek alternative global markets.
It revealed that estimated untapped potential is largest in the German market, at around $860,000.
Germany is the fourth largest current market for Nigeria after Vietnam, USA and the Netherlands, while the Dutch market has the second highest untapped potential of $640,500.
Despite having less untapped potential than Germany, NEPC said current exports from Nigeria are greater to the Netherlands than to Germany.
The NEPC data showed that over the past five years, the Dutch and German markets grew with 17 and 24 per cent respectively per year, strengthening the estimation of huge potential.
It stated that, “The United Kingdom has the third highest untapped potential for Nigeria to more than double current exports. Poland is currently a small market for Nigeria, and France is a new market.”
The council further disclosed that both Poland and France have cumulative untapped potential of $522,700.
However, the report observed that Nigeria currently exports mainly raw cashew nuts, making the estimated untapped potential value possibly lower than in reality.
The way out for exporters is, instead of exporting to Vietnam, they should consider whether additional exports can be generated to Vietnam’s destination countries.
NEPC, therefore, advised exporters to, “Keep focusing on the Netherlands, Germany and UK, current markets with still large estimated growth potentials. Try to access the French market and increase market share in Poland.”
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