CEM REPORT, AGROFOOD | Nigeria’s food production is poised for a significant leap, despite facing the challenge of rising inflation. According to Freyja Detjen, Senior Project Manager at Fairtrade, the country’s food output is expected to grow by 48% to €62.6 billion between 2021 and 2024. This optimistic projection comes amidst concerning inflation figures, with the January rate reaching 29.90%, marking the 12th consecutive month of increase.
From €26 billion to €62.6 billion: A Remarkable Surge
Detjen highlighted the remarkable trajectory of Nigeria’s food production, which has seen a 39.6% increase from €26 billion in 2016 to €36.3 billion in 2020. This growth indicates a promising trend, despite the current economic headwinds. However, Detjen also pointed out the contradiction between increased local production and high import figures. In 2022, Nigeria’s food imports stood at $6.9 billion, making it one of Africa’s foremost food importers.
Investment Fuels Growth: Plastics, Printing, and Packaging
The positive outlook for Nigeria’s food production is attributed, in part, to significant investments in related technologies. Detjen revealed that the country has emerged as the second-largest investor in plastics technology in Africa, with investments reaching €143 million in 2022. This sector has also seen impressive annual growth, with a 17.6% increase between 2016 and 2022.
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Furthermore, Nigeria has made substantial investments in printing and paper processing technology (€92 million in 2022), securing its position as the second-largest investor in sub-Saharan Africa for this sector. The annual growth rate for this technology in Nigeria is also noteworthy, reaching 17%.
Leading the Way in Packaging Technology:
Detjen emphasized that Nigeria holds the top spot in Africa for investments in packaging technology, with a staggering €183 million invested in 2022. This figure surpasses South Africa’s €175 million and Egypt’s €162 million, highlighting Nigeria’s commitment to modernizing its food production infrastructure.
Agrofood and Plastprintpack Nigeria 2024: A Global Gathering
Detjen announced that the ninth edition of the agrofood and plastprintpack Nigeria trade show will be the largest ever, bringing together global technology leaders from 17 countries for a three-day conference. This event is expected to further accelerate the growth of Nigeria’s food production sector by showcasing cutting-edge technologies and facilitating collaborations between international and local stakeholders.
Sustaining the Growth of Nigeria’s Food Production
While challenges like inflation persist, Nigeria’s food production is poised for a significant expansion, driven by investments in technology and a commitment to modernization. The agrofood and plastprintpack Nigeria 2024 trade show serves as a key platform for showcasing innovative solutions and fostering partnerships that will propel this growth forward. This positive trajectory not only holds immense potential for Nigeria’s economy but also contributes to food security and sustainability in the region.
