Despite being a huge revenue earner which accounts for $5 billion, many local farmers, producers of ginger, an important spice of huge health potentials, continue to wallow in want, due to inability to meet global standards recognised under the World Trade Organisation’s (WTO) Agreement. DANIEL ESSIET writes on ongoing efforts to reverse the situation
Dr. Victor Iyama, the National President, Federation of Agricultural Commodities Association of Nigeria (FACAN), sees the $5billion global ginger market as an opportunity for farmers, especially now that the country is in need of growing its export mix.
Nigeria, he said, has an immense potential to develop ginger on a massive commercial scale as it could grow virtually everywhere in the country.
He said value-added ginger products will not only boost economic growth, it could also create massive job opportunities.
Ginger has long been a revered spice, used in many cultures as a major spice ingredient, in a wide array of ways -dishes, wine, candy and food seasoning.
Powdered ginger is used in the production of flavour, which is utilised in a variety of recipes such as cakes, cookies, bread, crackers, ginger ale and beer. In Nigeria, it plays a major role in the preparation of vegetables and curries.
It is marketed in different forms such as raw, dry, bleached, dry, or powdered. Other forms in which it is found are oil, oleoresin, ale, candy, beer, brine, wine, squash, and flakes etc.
Ginger consumption has continued to expand, with analysts putting its global agro market share at $5billion annually.
The figure, which reflects the total revenue of producers worldwide, according to experts, could play a vital role in earning substantial dollars for the country as local and global demand for the crop rises.
Experts agreed Nigeria’s land is suitable for producing the crop in abundance for local and export purposes.
Present state of the industry
Presently, Nigeria is among the top three world top exporters of ginger, coming after China and India. Jamaica and Sierra Leone equally made the list of top five exporting nations.
The major market destinations are the UK, USA, Japan, Canada, Belgium, Germany and the Middle East.
Nigeria’s ginger production is put at 31 million metric tons, while demand is put at 65 million metric tons (MT), leaving a supply-demand gap of 34 million MT, according to data from the Federal Ministry of Agriculture and Rural Development.
Despite the potential in the production of the crop, the country is yet to fully harness the economic benefits from growing ginger, on account of low quality seeds and low use of technology.
Challenges
But Nigeria is having challenges accessing big markets. Importers want Nigerians to meet Conformity Assessment Standards (CAS), which include Organic & Global Good Agriculture Practice (Global GAP) Certification.
In the lucrative international market, there is a huge and growing demand for ginger certified for conformity with Global GAP and Organic Production standards.
On the whole, ginger cultivation is proving to have issues.
The Chairman, Ginger Farmers Association, Nuhu Najira, in a report, put some of the challenges squarely on the lack of modern inputs, and facilities to accelerate farming. These challenges also include quality seeds, tractors, fertiliser and chemicals.
Kaduna production base
Research has shown that ginger, produced in some southern part of Kaduna, is of high quality compared to those being produced in other parts of Africa.
Among the ten communities in southern Kaduna that produce high quality ginger are, Jaba, Kagarko and Kachia Local Government Areas. The favorable nature of the soil as well as climatic condition of these areas have been attributed to why farmers in these communities are able to produce ginger not only for domestic use but also for commercial purposes.
But production has declined drastically. Local farmers in communities where ginger was harvested in large quantities in the past, are now begging the government, especially Kaduna State government, to embark on an agricultural revolution to boost the economy of the country, instead of depending on crude oil.
One of them is the President Macedonia Ginger Farmers Co-operative society; Squadron Leader Nuhu Daudu (retd).
Daudu lamented the exploitation of ginger farmers by middlemen, and subtle moves by some organisations to displace genuine ginger farmers.
Other challenges facing ginger production include poor researches, lack of organic fertiliser, lack of loan facilities, modern farming implements, dearth of direct link with international buyers and exploitative middle-men, who are reaping off local farmers.
For instance, the low-lying plains in Southern Kaduna State should be the perfect place for growing ginger. The weather is warm, the soil moist. And yet farmers are not making enough money.
Daudu said some farmers are unable to meet international standards and benefit from opportunities to increase their incomes though trade.
If well supported, he explained, income from ginger should contribute in many ways to food security and strengthening of livelihoods in the area.
He disclosed that ginger farmers in Southern Kaduna require processing, drying and packaging machines to meet the international standard.
The farmers want to access new markets beyond the country as they do not see local markets as rewarding enough.
Within the context, the Kaduna State government identified the development of the ginger sector in general, as a priority of its economic development strategy to generate income for farmers.
The growers’ society has also found an ally in Farmcrowdy, a digital agricultural investment platform combining farm investment with economic market development.
The firm is partnering the Society to support farmers with technical assistance, provision of seeds and organic fertiliser.
The Cooperative does not have official organic certificate as requirements are strict and take at least two years.
But FarmCrowdy has taken responsibility to get them fully certified as organic ginger producers.
The firm is working with them to ensure they don’t use artificial chemicals, pesticides, herbicides and fertiliser.
Under the partnership, the process is on, to set up a locally focused quality assurance system that certifies producers based on the active participation of stakeholders.
The Managing Director; FarmCrowdy, Mr Kenneth Obiajuju said ginger crop generates cash income to ginger-farmers.
However, he said many farmers were unaware of good practices to have better harvest and post-harvest management of the produce ensuring optimum price available to them.
Finding a path forward
As a plant, ginger has a wide possibility of being cultivated in different agro-ecological zones of the country. In line with this, Farmcrowdy made a preliminary assessment of the supply and demand conditions. Working with Macedonia Co-operative, farmers will achieve more yields and export organic ginger. Tests will be conducted to ensure the ginger is of good quality, free of aflatoxins, and meets the European Spice Association (ESA) standards.
Farmcrowdy will finance the quality assurance test, which will help obtain higher revenues for exporters.
Obiajuju said the challenge to tackle is low quality of ginger, leading to lower prices for the commodity on the world market.
The company has identified low level of production and inefficient value chain service delivery mechanism as challenges for ginger growers.
As part of the agreement, Farmcrowdy will work with the Society to equip farmers with the skills, knowledge and confidence to produce higher quality and quantities of ginger.
With FarmCrowdy partnership, Daudu said ginger production for the coming season is likely to be higher than the previous year with more area coming under the crop. The target of the association is 120,000 metric tons annually. The society has 10,000 members:
Daudu said with rising health-consciousness, consumers across the globe are preferring organic food products, which is providing a boost to the growing popularity of organic ginger.
FarmCrowdy boss reiterated that ginger is a major cash crop for Southern Kaduna and an important source of income for the country’s small farmers.
Obiajuju said the partnership with the Society aimed at strengthening the country’s ginger value chain and opening up new markets, thereby creating more solid ground for those whose livelihoods depend on the contemporary spice trade.
With the latest technology to further improve its quality and output, Obiajuju said the much sought-after ginger will be able to break into the international scene,
The major achievement for FarmCrowdy, according to him, is that the producers will be able to access new markets. With ginger that now adheres to international standards for export, farmers will be eyeing European Japanese and Middle East markets.
Prospect
According to the Centre for the Promotion of Imports from Developing Countries (CBI) Trends study on spices and herbs, European demand for spices and herbs is increasing.
Demand for spices is also increasing globally, especially in Asia. China and India, which were traditionally European suppliers, are becoming the main spice importers because their domestic crop cannot meet domestic demand.
As a result, there is a difference between Chinese and Indian markets compared to European markets. Whereas China and India import cheap products, European importers are looking for higher-quality products.
Although European imports of spices are increasing, analysts said there is a global scarcity of high quality and sustainably produced spices.
This means that high quality and sustainably produced spices can provide opportunities for suppliers in Nigeria.
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