The Nation Newspaper

Tag: Business

  • Small business owners decry rates

    A group of small  business  owners are demanding  reforms of the business rates system  to  provide a competitive environment where small and medium enterprises  can thrive.

    The group, Association of Micro Entrepreneurs of Nigeria (AMEN),  highlighted  the problems caused by business rates, and requested that the government  commit to a “fundamental review” of the system.

    Its President, Prince Saviour Iche,  said  small  business owners   want  the  government’s economic plan to continue to support small businesses, while looking ahead to business rate reform.

    This, Iche  explained,  should be in form of lower taxes  to support  small businesses and   local shops.

    He argued that  business rates review should  consider options for longer-term administrative reform of business rates that balance the need for the system to deliver simplicity, fairness, stability and predictability to ratepayers.

    According to him, business rates have put a disproportionate burden on small and medium enterprises (SMEs).

    Recognising   that small and medium businesses are a key part in building a stronger economy, he  urged  the  government to   take action to limit business rate increases to  provide a competitive environment where SMEs  can thrive.

    He   took  a  gloomy view of the impact of an interest rate rise, adding  that an interest rate rise might tip the balance for struggling companies that are right on the edge.

    According  to him, interest rate rise has  made a tight situation  for  small businesses, adding  that  the majority of the  businesses have  continue to fight on despite the challenges  of the  tough  operating  environment.

    According to him, operational and financial fitness are vital to ensure companies make the most of any top line growth and attract investment.

  • Union Dicon Salt Plc reviews strategy, plans to diversify business

    Union Dicon Salt Plc reviews strategy, plans to diversify business

    The management of Union Dicon Salt Plc has hinted of plans to turnaround its business in the coming years.

    Chairman of the company, Gen. (Rtd.) T. Y. Danjuma speaking on the future prospect of the company at the 21st annual general meeting in Lagos yesterday said, the company is embarking on a major diversification exercise by investing in the Agricultural and industrial goods sector of the economy.

    He said that the company intends to amend its memorandum and articles of association to accommodate the diversification.

    He assured the shareholders that the management and board of Union Dicon are committed to the continuous review of company’s strategy and operations.

    “Our company will experience a significant improvement in fortunes, before the end of the next financial year,” Danjuma said.

    The financial statement of the company at the end of 31st December, 2013 shows an improvement as its profit after tax moved from negative figure of N20.415 million in 2012 to N11.814 million at the end of the 2013 financial year.

    Although, its current liabilities still exceeded its current assets by N917.499 million and the company had a negative shareholders fund of N1.082 billion at the end of 2013 financial year.

    It would be recalled that in the last quarter of 2013, CBO Capital Partners became a significant minority shareholder in Union Dicon Salt, by acquiring 44 million units at the par value, having 15 per cent of Union Dicon and also being awarded a board management contract.

  • Plantain business as money spinner

    Plantain business as money spinner

    Rising demand for plantain has created a new breed of farmers who have abandoned the traditional way of farming for a supposedly more lucrative aspect.  Daniel Essiet reports.

    A farmer, Shelu Abu,  was  tired of the meagre earnings from tomatoes and  foods sales   and  planned  to leave the country  in  search  of  greener  pastures. His trip  to  Cameroun

    made him to discover plantain cultivation as a goldmine.

    He said: “One day, a friend of mine suggested we travel to Cameroun and from there, I could sneak into any country of my choice because I had no money then.

    “When we got to Cameroun, I saw a farm close to where we were staying. I decided to apply for a job there since I studied agronomy. Fortunately, I was employed. What we do is that we plant the plantain suckers and when we harvest, they are taken to a production site where they are prepared for export to Europe and America.”

    He added: “Before they finish packaging, buyers are already waiting to pick them up and I saw the kind of money coming in.  We had about 300,000 suckers which multiplied. We were well paid so I told myself that the best thing is for me to go back to Nigeria and start my own farm.”

    Abu‘s fortune  changed for the  better when he discovered  the  potential  in plantain farming.

    As a result, he set out to look for capital to see off his dream.  He got in touch with other successful model farmers  to learn more and got tips for starting off.

    Shelu  plantain  farm in Ikorodu  is one such  farms that is successful. Its  success  is  a testament to the fact that plantain   farming could become  a fledging industry.

    The boom is partly due to the  exploding market  for  plantain  chips and  increasing  supply  of  plantain to top hotels and restaurants, where demand has gone up by 60 per cent. One of the benefits of plantain  farming is that wastage is very minimal.

    Shelu told The Nation that   plantain farming is  the  business  of  the future  for   entrepreneurs and  retirees.

    “When I came back, I  leased a plot of land and planted the 200 suckers I brought with me. People were mocking me, asking what on earth I was doing with plantain instead of getting a good job. After about eight months, I started harvesting.

    “My plantain trees are up to 18 feet high; they are so tall because of the nutrients and the taller they are, the bigger the fruits,” he said, adding: “I was making N7,000 to N8,000 weekly.  When I told the Baale (traditional ruler) of the area that I needed land for plantain farming, he pointed to this place (farm site) which was a thick forest then. He asked for only N5,000 and a bottle of Schnapps.

    “So I told myself that I could plant 1,000 suckers or more, to multiply my income. I placed an order for 5,000 suckers and planted them. Before this time, I had approached a first generation bank for loan. I discussed with them, but they asked for land, or C of O. If I have all that, why would I go to the bank to ask for loan? he queried.

    “It will be better to sell the land and use the money on the farm. If I have money, instead of using it to get C of O, I will put it in the farm. That is why I don’t bank with any bank in Nigeria. I save my money with my cooperative society because when I sold the idea to them, they bought it and came to my aid.

    “I brought the bank here and explained to them that I have 40,000 suckers on the farm and even if I sell for N500, I will make the money and pay back.” When the bank refused, Shelu approached his cooperative group. They provided the money and we were able to plant 40,000 suckers on that land.

    “When the plantain was six months old, I called the cooperative members and said, ‘look, there is war.’ When they came and saw the farm and the fruits, I told them the best thing is for us to buy the land. We discussed with the owners and they sold to us. The cooperative paid and kept the document thinking I would not be able to pay. But as I sold my plantain, I paid into their account and to God be the glory, I was able to offset the loan and I have 40 acres of land today.”

    According  to him, Plantain farming is good, anybody who goes into it will not have any problem because he will not need to weed. “One, you don’t weed, you use herbicides and harvesting is not stressful. Before it matures, buyers are already waiting. If you plant 60,000 suckers, you will be making about N800,000 weekly,” he said.

    Since he  started harvesting, he  has  created a lot of employment for  people  in this area. He  has  set up farms in various places for  people.  He  told The Nation  that one  can be succe4ssfulit   if one  plants 1,000 suckers. “In first harvest, one   can  get his  money back and make profit. After four months, one  can  come back to the same place and still harvest more,” he said.

    According to him, the  second harvest maybe better than the first as the trees would have multiplied to about 3,000.

    The Chief Executive Officer, www.farmingbizsetup.com  Opeyemi  Lawson, said  the  demand for plantain in the country is high, with suppliers struggling to meet the demand.

    To make money in  the  long  term, he  said,  one  has  to prepare a business plan. He explained  that   plantain plantation has  a long productive life  and  can be  done  alongside cocoa , which could  feed  one with good foreign exchange. Lawson  has therefore, produced a plantain farming business plan/ feasibility study on five   acres which  are practicable  across the  farming belts.

    A typical expenditure for  five acres, include 5000 suckers at the rate of N100 per sucker N500, 000; cost  of planting of suckers N250,000 at N50 per sucker, transportation  N80,000,weeding four  times in a year,N160,000 and fertilizer N25,000. He said  the  total expenditure  would be N1,040, 000.

    He said one  could make  twice as much profit  in a year: “Plantain is a very lucrative business; a bunch of plantain costs N600-N800, some could be sold for a higher price in the  market. Now imagine how much N800 could fetch when  multiplied by 5,000- that translates to a whoping N4,000, 000,” he siad.

    Another area one can make  money, he  said,  is  through plantain chip’s production.

    His  words: “Plantain chips production is one of the easiest businesses you can  generate quick cash at home. With an initial startup capital of N15, 000, you can generate income of at least N10,000 per day when you are able to produce 1000 packets of plantain chips on daily basis. The street price for a small sachet pack of plantain chips sells for as much as N100 in Lagos and in other parts of Nigeria.”

    To start plantain chips production business , he  said  one  requires plantain chips cutter or table knife, big fry pan,portable nylon sealing machine, gas burner or kerosene stove and weighing scale.

    The   production materials include some bunch of ripe or unripe plantain,vegetable oil, table salt, sugar, plain packaging nylon or customised nylon and printed label.

     

  • ‘How I grew my hobby into a business’

    ‘How I grew my hobby into a business’

     Mrs. Denrele Titi Adesina is the Managing Director, Dainty Touches, an all-exclusive outfit involved in events management and other related activities. Titi- Adesina, who has a B.Sc and post graduate degree in Geology from the University of Ilorin and professional qualifications, in this interview with Rita Enosegbe, speaks on what informed her different career path other than Geology and more

    Why did you decide to go into events management and planning?

    My background and upbringing influenced my choice of career. I realised while I was growing up that I had passion for making parties and events within the family happen “as right as possible”. As at then, events management was not well-known. People fixed parties by themselves, without expertise, or professionalism put into it these days. After my NYSC in 2008, I decided to go for formal training in events management, which I had at Zapphaire Events. The CEO was an exemplary role model, teacher, motivator and mentor. After my training which ran for three months, I decided to stay beyond that – 11 months so as to learn more, which paid off eventually.

    What else are you into?

    After being into events for three years, I decided to take an aspect of events management to specialise, in which is “cocktails.” Running a cocktail company with full bar services, I realise, is a lot of work as well. Giving glory to God, it has been a season of blessings to us at Dainty Touches.

    When was your first job?

    My first job was my pastor’s wedding on December 1st, 2007. It was quite challenging, but I thank God for its success.

    How have you been able to get along all these years?

    Getting along over the years has been by God’s faithfulness and grace all the way. Nothing else.

    How do you find competition in the market?

    There is competition, I agree. But as I said earlier, most of the people competing are not as professional as required. They see it as an avenue to make money – no passion, so, there aren’t serious competitions as time will tell whom the industry requires.

    How do you see events management and planning in Nigeria?

    Events management and planning is not as easy as people seem to see it. Just that in Nigeria, the industry has not been well structured and standardised. That is why I feel everybody sees it as “what they can do,” and as a result, it is gradually losing some essence and relevance.

    It always beats my imagination when vendors quote ridiculous prices for services which they can’t deliver, and also how everybody has either a colleague or neighbour that is an event planner. I feel a strong need for scrutiny.

  • LCCI laments drop in Business Confidence Index in Q3

    Nigeria’s Business Confidence Index (BCI) dropped from 19.4 per cent in the second quarter of the year to 14.3 per cent at the end of the third quarter, a report by the LCCI, has said.

    In the report made available to The Nation, the body said the drop in aggregate BCI represents 5.1 per cent  slack of the confidence level among business operators in the last three months. The index had fluctuated over the last two quarters (10.5 per cent in Q1 and 19.4 per cent in Q2, 2014), the group said.

    BCI is a leading economic indicator designed to measure the degree of optimism on the state of the economy that business leaders are expressing through their activities of investing and spending.

    LCCI lamented that the drop of the BCI scores suggested that business leaders were largely pessimistic about expanding their investments over the next few months. The group said Nigeria’s BCI scores over the years continue to trail below the 50 per cent global business confidence.

    “Investors and business leaders remain wary about the state of the economy and the challenging business environment,” LCCI said.

    LCCI listed the key factors that mostly depressed the confidence level of business leaders as security challenges, political transition/electioneering and associated risks; cargo clearing issues and access to and from the nation’s foremost ports – Apapa and Tin Can; policy uncertainties and regulatory concerns; and worsening public power supply.

    The group noted that all sectors reported positive business confidence levels in third quarter. It said  the manufacturing sector posted a positive confidence level of four per cent for the second time over the last seven quarters. “This sector has consistently remained at the bottom of BCI league table by steadily recording negative confidence levels. Medium and small manufacturing enterprises are the most hit by the lingering challenges constraining productive activities in the country,” LCCI said.

    The Chamber said the most disturbing factors for manufacturers include power supply, logistics,  influx of imported and substandard products, preference for imported goods by Nigerians, low access to credit, high cost of doing business, inadequate infrastructure  and inhibitive activities of government regulatory/monitoring agencies.

    It, however, said the financial sector (banks, e-payment operators, finance houses and Bureau De Change, BDCs) continue to top the league table of business optimism with 32 per cent BCI score in the third quarter.

    It noted that impressive corporate reported for the period, which ended on June 30, this year and the recovery of the nationalised banks contributed to the sustenance of optimism among the financial sector operators.

    The impact of the recapitalisation of the BDCs and finance firms would be seen over the subsequent quarters, it said.

    LCCI noted that the optimism among players in the agricultural sector, which was relatively strong in first and second quarter, is beginning to moderate. “This is a pointer that operators expectation in the agricultural sector is beginning to wane. The BCI third quarter 2014 survey confirmed an increasing level of uncertainty among the private sector players due to rising electioneering activities and the build up to the 2015 general elections,” the survey said.

    LCCI also said the operators in the oil and gas sector are mostly disturbed by the uncertainty surrounding delayed passage of the Petroleum Industrial Bill (PIB) coupled with the emerging developments in the global oil and gas market. Also, long delay in releasing the 2014 budget, influx and rising patronage of offshore advisers and business consultants in the country were attributed mostly as the concern of players in the professional business services sector.

    In Information Communication and Telecommunication (ICT) sector, LCCI said insecurity, double taxation, regulation and monitoring issues were on the top of concerns for operators.

  • Section on Business Law Sessions today

    The  Minister of  Labour and Productivity , Chief Emeka Wogu and the Chairman, National Population Commission (NPC),  Eze Duruihuoma (SAN),  will today at the International Conference Centre, Owerri, venue of the ongoing Annual General Conference of the Nigerian Bar Association (NBA),  chair the break out sessions  of  the  NBA  Section on Business Law (SBL).

    A statement from the Chairman of SBL, Mr. Gbenga Oyebode reads in part: “This year, we will look at the topic: ‘The  contributory pension scheme as a catalyst for economic development in Nigeria’, which is in line with the theme of  NBA Conference this year “Nigeria, 100 years after”.

    The Director-General, National Pension Commission, Mrs. Chinelo Anohu-Amazu, will be the lead Speaker in the first session under the chairmanship of Mr. Wogu. Discussants at this session are: Mr. Kehinde Aina, Mr. Nick Opara-Ndudu, Mr. Misbahu Yola, Mr. M. S. Muhammad and  Mr. Bayo Yusuf.

    The second session will focus on “ Providing affordable housing in Nigeria: Bridging the funding gap” under the chairmanship of Mr. Duruihuoma (SAN)

    President, Pison Housing Company  and Managing Director, Federal Housing Authority Mortgage Bank, Mr.  Roland Igbinoba will lead discussion in this session while Mr. Ken Njemanze (SAN), Dame Aleruchi Cookey-Gam, Mr. Iheukwumere Alaribe and Mr. Joseph Jibunoh will lead discussions in this session.

    The Annual General  meeting (AGM) and election of members of 2014-2016 Council of the Section will follow immediately.

  • ‘Cashless Nigeria will aid business’

    ‘Cashless Nigeria will aid business’

    Mr. Babatunde Macaulay is Head of Transactional Products & Services at Stanbic IBTC Bank Plc and Stanbic IBTC Holdings PLC respectively. Macaulay who holds a Bachelors Degree in Industrial Chemistry and an MSc in International Human Resource Management from Cranfield University, UK, has over 15 years experience in the banking and manufacturing sectors. In this interview with Ibrahim Apekhade Yusuf, he speaks on trade and investment opportunities being facilitated by his bank, among other related issues. Excerpts:

    Stanbic IBTC Bank has just organised a trade and finance forum for stakeholders. What do you intend to achieve through this initiative? Will it be an annual event?

    Definitely, the event will be an annual one and will take on topical and relevant issues as it relates to trade finance in Nigeria. I must, however, quickly point out that this client series will not be limited to trade but will cut across our three transactional products area namely, trade finance, cash management and investor services.

    What then do we intend to achieve through this initiative? SIBTC typically organises thought leadership forums not just to build the brand and showcase our capabilities but also to have periodic engagements with our key clients and industry players. So, the trade conference was one of such annual events.

    You are at the head of the Transactional Products and Services team of Stanbic IBTC Bank. What do you actually do in that unit and how critical is it to Stanbic IBTC Bank?

    TPS is a key strategic business unit within the bank. We are responsible for providing solutions and product offerings around investors’ services, cash management and trade finance. We provide working capital solutions to target clients comprising multinationals, local corporate, financial institutions and public sector groups using technology as an enabler. As head of TPS, I provide strategic direction and supervise the teams responsible for sales, product management and channels. We ensure that we deliver the right solutions to our esteemed clients in the different sectors and segments in the economy.

    Expectedly, Stanbic IBTC Bank’s expansion programme has come with the introduction of a wide array of specialised products and services targeted at various segments of the market. Is the market ripe for many of these products when most bank customers simply want a safe place to keep their money?

    Beyond recent innovative banking products and services, customers have become even more sophisticated in their demand for specialised solutions. We are all witnesses to the growth of mobile telephone, the adoption of card solutions, and the drive towards financial inclusion and a cashless society which provide insights into how aware and savvy the banking public has become. Stanbic IBTC as a leading international bank focuses on developing customised products and solutions for different segment of our markets.

    Most people are often sceptical about accessing financing from banks because of the hidden charges that trail some of these transactions. How has Stanbic IBTC Bank been able to tackle this challenge?

    One of our core values is “upholding the highest levels of integrity.” As such, we are transparent in dealing with our customers and their transactions. We follow the CBN guide to banker’s tariff and all modifications are discussed internally and communicated to client prior to implementation. In addition, we aim to offer competitive pricing and have an approved pricing framework within the bank. Specifically on financing, we have a proven track record of funding various initiatives and projects in different key sectors of the economy such as power, manufacturing and agriculture etc.

    What are Stanbic IBTC Bank’s priorities regarding its technological infrastructure towards making its products and services more accessible to its customers? Is there a future for branch banking given the literacy rate of the general population?

    Stanbic IBTC is currently investing in a multi-million dollar IT infrastructure that will improve and deliver better efficiency in transaction initiation and execution within the bank and to our clients. This is coming on the back of our recent core-banking implementation in 2011 and subsequent upgrades. We are committed to providing “branchless” transactional banking for our clients via integrated automated systems with robust channel capabilities to aid convenience, reduce cost, improve overall service experience.

    With every new day comes more innovation in product and service delivery from the banks in the country. What measures have Stanbic IBTC Bank taken to ensure that it is not left behind in the innovation race? Are there lessons you are drawing from Standard Bank’s operations in other markets?

    As a member of the largest African banking group i.e. Standard Bank Group, Stanbic IBTC has a unique advantage of leveraging the experience and expertise of its businesses in the various geographies. “Being Proactive” is one of our core values as a bank. Hence, we pride ourselves in creating innovative products and solutions by continuously engaging our markets and clients to understand market trends and customer needs. This has earned us several accolades, including best sub-custodian bank, best bank for cash management overall in Africa, best bank in payments and collection, amongst others

    How are you able to design products and services that are targeted at different countries and markets given that the Standard Bank Group, to which Stanbic IBTC belongs, operates in about 20 countries within Africa and also have a strong global footprint?

    At Stanbic IBTC, we have a dedicated and experienced product management team that focuses on product development and commercialisation, amongst other things. We also have a robust governance and new products framework that ensure our products/services are fit for purpose, satisfy various risk benchmarks and ultimately meet our customer’s needs. We consistently engage and work with top companies in the key sectors of the economy with a keen focus on oil & gas, power & infrastructure, telecoms, fast moving consumer goods and conglomerates and diversified industries to understand the “voice of the customer” and roll-out tailor-made solutions in our various markets.

    Banking is always evolving, and it is more so in Nigeria that is increasingly adopting technology solutions to deliver services across different segments of the economy. Where do you see banking in Nigeria in the next five years in terms of service delivery?

    We are all witnesses to the significant transformation experienced in the Nigerian banking sector over the last decade. We believe the next five years will continue along that path. Nigerian banks will continue to explore alternative banking platforms leveraging technology to promote wider inclusion of the unbanked and delivery of products/services to the banking public. We see a completely cashless Nigeria with fewer brick and mortar branches and increase in alternate channel adoption across all the sectors and segments of the Nigerian economy. We see a drive for a West African regional trade and payments ecosystem driven by cards and account-based transactions. We see a more sophisticated banking public driven by convenience, security, and system availability, among others.

  • Profitable pig business

    Profitable pig business

    Pig farming business has gained momentum in many parts of the country. Consequently, middle and large-scale farmers, unemployed graduates and other entrepreneurs are venturing   into commercial pig farming and pork production. This is because they see it as  a  money spinning venture. DANIEL ESSIET reports.

    Babasola  Oyeleye, Chief  Executive, Latosa Farms, Asiwaju Oke-Aro piggery farm settlement,Giwa/Oke-Aro,Agbado, Lagos, was  not  ready to work  for anybody after  his  graduation  from the  university. This drove him into commercial farming. He first started poultry farming. Although he faced a lot of challenges, he grew the stock up before turning to piggery. Today, he is practicing piggery farming, a venture that has turned him into a millionaire.

    His biggest dream was in poultry, but he later found out that piggery was more lucrative.  He is happy that he could find a sustainable job for livelihood.

    Oyeleye started piggery with local breeds but then he   acquired exotic breeds. He  didn’t  say  how  much  he  used  to start  the  business. However, he is proud of his achievements despite challenges.  He has over 150 pigs. Oyeleye has been able to use the proceeds from the venture to sustain himself.

    He   rears  local and exotic pigs and sells piglets to other farmers all year round.

    One challenge  for him and other  farmers  is  that  the exotic pigs consume about 20 percent more food than local breeds, the heaviest can weigh up to 300kg compared to 100kg, the maximum weight for local breeds.

    Also , looking after exotic breeds is more labour intensive and needs a lot of attention in terms of feeding and medical care, but  the challenges are offset by the huge financial benefits. A pig can produce 24 to 30 piglets every year.

    The other issue is finding quality feed for them. Oyeleye feeds the pigs mainly with brewery waste.

    He  finds it  difficult to get  this waste  because  the breweries are not  doing much  business to produce  waste for  them.

    Besides this, Farm business consultant, Mr. Opeyemi Lawson said pig rearing and breeding has immense potential as pork now forms a part of the diet of the Nigerians. Gone are the days, where pigs were reared under extensive system of management by scavenging under unhygienic conditions created aversion on pigs which led to some taboos and sentiments in the minds of the people.

    Even, the traditional pig keepers have   switched over to the modern-day breeds of pigs and hygienic husbandry practices to promote consumption of pork.

    He  said swine husbandry has gained momentum, due to changing preference of consumers, gradual reduction of sentiments and taboos in the minds of people on pork, raising unemployment, development of marketing skills among entrepreneurs, concept of value addition.

    Lawson, owner of  farmbizsetup.com said the profitability of pig farming within a shorter period of time and the biological advantages of pigs over other livestock species are well documented with success stories.

    Pig business,according  to him, is more economical and feasible than any other kind of livestock. The returns are considerably good and quick.The basic need for rearing healthy pigs, he  stressed,  lies is a spacious and properly ventilated pen.

    The site of should be flat and free from mud and stagnant water that can attract insects. Insects bite piglets resulting in poor health which affects the quality of pork when they are slaughtered.The pen must be spacious enough to allow the pigs’ free movement,while fencing and concrete slabs are recommended to make the pig pen comfortable.

    He suggests a good accommodation where the pigs can play, feed, relieve themselves and sleep in.

    He stressed that hygiene is vital and proper cleaning of the pens to keep the pigs healthy is essential for success.

    Not every bag of pig feed is the right one for the pig and so beginners need training   on how to feed piglets with recommended feed suitable for their age. At this stage the feed should be rich with amino acid, which is necessary for growth of the pig.

    According to him, well reared and happy pigs produce high numbers of healthy piglets. To achieve this, the  farm must  be  able  to  give the animals clean water, a well-balanced diet and adequate ventilation.

    Lawson said it is better to locate the farms from  people  and  transportation of the pigs must be kept to a minimum in order to maximise their farming profits.

    According to him, there is a lucrative market for pig products locally. The price of a pig, however, is determined by its weight and health. Whichever way he  said  pig farming remains one of the most lucrative forms of farming ,but  it is  better  to start  with 15 pigs if  one  wants  to make profit.  15 females (sow) ,he  can  produce 200 piglets  within a year.

    He noted, however that pig farming is not for lazy people but people should take it as a business.

    While  Lawson stressed the need for new  entrants  to  seek  mentors  who  are  already  established ,he  urged  prospective  investors  to  participate in training in pig management systems.  Participation in such   training has built his confidence in managing improved pigs for breeding and motivated him to invest more time and energy in managing his pigs.  He   has no problems selling his piglets. Many of the farmers book the piglets in advance. Other pig farmers are now rearing pigs for breeding.

    In an expanded commercial unit, he  said  there will be exponential increase in the rate of returns by sale of pork, value-added pork products, manure and sale of breeding animals.

    He  emphasized  the need  for  investors  to take  disease control seriously  to  prevent  pigs  dying.

    Even though, many disease conditions are affecting the pigs, prophylactic measures and  vaccinations against swine fever and foot and mouth diseases as well as deworming of pigs willmake this enterprise more profitable. Comparatively, the expenses towards health care is minimal or negligible in swine farming.

  • ‘Ideas vital to business growth’

    ‘Ideas vital to business growth’

    An upcoming entrepreneur has discovered the treasure in alkaline solution, which cleanses and detoxifies the human system. DANIEL ESSIET writes.

    Ideas leading to successful businesses sometimes come from the most seemingly mundane problems. Such ideas have often times lead to providing solutions to addressing the problems and subsequently, becoming an instant business success.

    The business success of Echeng Agbong, Chief Executive, Cheng Young Nigeria Enterprises, Lagos, is an example of an idea that set out to provide a solution only to turn out to become a successful business initiative useful in curbing the spread of waterborne illnesses.

    For Agbong, the inspiration to begin his business came in 1991, after exploring bio alkaline water therapy. While he was experimenting on alternative medical therapies, Agbong came across the alkaline solution, which has since turned out to be effective in purifying and energising water.

    Globally, the therapy has been known to be capable of reducing  weight, providing allergy and arthritis relief, improving bowel regularity, increasing energy, advancing  hydration of cells and skin, improving digestion, reducing cholesterol, and promoting overall better health. In addition, it also allows optimum cleansing and detoxification of the human body.

    Gradually gaining acceptance in the market, Agbong is delighted that he belongs to the group of growing entrepreneurs driven by passion for making the world a healthier place. But crucial to his success were the many resources he tapped along the way, especially in capacity building, which included consultations with other entrepreneurs, leading him to joining the Association of Micro Entrepreneurs of Nigeria (AMEN).

    To his advantage, there are many areas in the market that some natural brand has not claimed, while the business itself has good potential to grow with other health products.

    Abong is a happy man for providing a water solution that will help Nigerians experience a reinvigorated healthy living. Though a winning product, there were a lot of challenges penetrating the market. One of this is the acceptability of the product in the market. Besides, the difficulty of  registering with the National Agency for Foods, Drugs and Administration and Control (NAFDAC),   funding has remained a major concern for this budding entrepreneur.

    Yet, he remains undeterred. For him, an entrepreneur is like a fighter – he must seek out the people that will help you succeed. He is still moving ahead, always trying to realign a best way to monetise what he has done.

    He is confident that natural foods and products are still the big thing in the market place, and with growing sales, the development of the product is continuing.

  • The ABC of doing business in Nigeria

    The ABC of doing business in Nigeria

    As Nigeria continues to grow economically, so do the trade opportunities for South African businesses. According to Hennie Heymans, managing director for DHL Express South Africa, despite Nigeria recently taking the number one spot as the largest economy in Africa, remains an untapped source of growth, and with internet and telecommunications technologies providing global reach, there has never been a better time to explore cross-border trade opportunities.

    DHL’s own small and medium enterprise (SME) research on internationalisation, conducted with IHS Global Insight, revealed that SMEs who trade internationally are twice as successful as those who trade only within their own market.

    “Nigeria is bursting with opportunities given its diversifying sectors, and has become the market to consider within Africa given its exceptional growth.”

    Heymans warns though that it is vital for business owners to research the environment before entering the market. “Entry into the Nigerian market may seem cumbersome, but the market, catering to a population of over 170million, is relatively open to businesses outside of the traditional oil and gas sector given that the larger population has created a demand for fast moving consumer goods, health care products, as well as a need for retail, food, telecommunications and other consumer related necessities.”

    Businesses also need to consider possible challenges, says Heymans. “Potential supply chain disruptions are a concern due to traffic gridlocks in most major cities, as well as congestion and possible delays at customs. The power grid is also under constant pressure which results in most companies relying on generators for their power supply.”

    Other aspects to bear in mind are the country’s unique and diverse regions, cultures and people. Companies often make the mistake of moving into Africa with a ‘one size fits all’ approach. According to market intelligence agency WARC, West Africans have an outlook closely aligned to the US, therefore understanding the differing cultures and their preference is important when considering expansion. “More importantly, business entering the Nigerian market, or any market for that matter should not only understand the different cultures but respect them,” says Heymans.

    He adds that businesses need to bear in mind that Nigeria, along with many other African countries, is an emerging economy and with this will come unique challenges and require patience, persistence and flexibility when conducting business.

    “The emergence of the Nigerian market is relatively new. There is always the question of risk versus reward when investing in any country in Africa, and Nigeria is no different. These risks can be mitigated and managed with proper planning and the assistance of trusted and established partners. Whilst perceived risks may be high, the rewards are equally high since Nigerians are discerning consumers and will readily pay for quality products and services. When expanding into unfamiliar regions, both in Africa and globally, businesses should partner with a trusted supplier who is experienced in the field and one that is able to provide advice and support in the region,”  Heymans added.