CEM REPORT, TRADE | The Nigerian Aviation Handling Company (NAHCO) Plc has announced that it has invested N1 billion in an export processing centre in Lagos, as part of its efforts to enhance Nigeria’s export drive and tap into the potential of the continent’s food market.
The company’s group managing director, Indranil Gupta, said at a press conference at the company’s headquarters in Lagos that the centre would serve as a one-stop shop for Nigerian products, where they would be well sorted, arranged, and packaged before being transported.
The Lagos center is just the first step in NAHCO’s ambitious plan. Gupta revealed the company’s intention to replicate the facility in key cities across the country, including Kano, Abuja, Port Harcourt, and Enugu, subject to the success of the Lagos pilot. This nationwide network of export processing centers will bridge the gap between farmers and exporters, providing crucial support and infrastructure for efficient and profitable export operations.
He also disclosed that the company intends to revive business activities in Kano, which he described as the “original glory” of the export business.
“With the export processing centres, we want to reach out to farmers and the middlemen who are supplying and buying the products. We plan to put forward some ideas on improving exportation before the Aviacargo committee,” he said.
NAHCO’s Export Goal
Gupta said that NAHCO is completely focused on export, and that the processing centre would also enhance the standardisation of the export processing system. He expressed confidence that Nigeria can be the food basket of the continent if the producers and farmers avail themselves of the potential of the continent.
“It is much more profitable to export than to import because it comes with foreign exchange,” he said.
The Group Executive Director of NAHCO, Saheed Lasisi, also spoke on the export processing centre, saying that NAHCO is spearheading the exportation business, with the centres coming up as links with farmers and serious exporters.
“Our focus is to encourage Nigerian exporters and farmers. Some of our staff were in London for training on packaging and others recently, and we have also identified five major airports for this. We are also hopeful that purchasing power will improve,” he said.
Lasisi said that the export processing centre would create employment opportunities for Nigerians, as well as generate revenue for the government.
On Ground Support Equipment (GSE), Gupta said that naira depreciation has led to an increase in operating costs, and that it has adversely affected the importation of handling equipment.
“The company could have significantly done better, but for the depreciation,” he said.
However, he expressed optimism for 2024, saying that he hopes the purchasing power will improve, which will help in increasing the input volumes and attracting more airlines into Nigeria.
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He said that Nigeria is not a poor country, but that it needs more entrepreneurs to boost its economy and increase the number of air travellers, which he estimated to be between 19 and 20 million.
This bold initiative marks a significant step towards boosting Nigeria’s export drive and unlocking the nation’s immense agricultural and economic potential.
This ambitious vision is underpinned by the state-of-the-art export processing center, designed to streamline and standardize the export process for Nigerian farmers and businesses.
By investing in this transformative initiative, NAHCO is not just boosting the export sector; it is laying the foundation for a more prosperous and vibrant Nigerian economy. With its focus on empowering farmers, streamlining processes, and unlocking the nation’s agricultural potential, NAHCO’s vision for Nigeria’s future is truly taking flight.
It should be recalled that CEM reported that NAHCO exported fresh pepper consignments to Europe in early May of 2023. This was after several cargo airlines have been leaving Nigerian airports without exportable goods, much to the chagrin of stakeholders and loss of foreign exchange earnings worth billions of dollars each year.
