How to Start a Sesame Seed Export Business in Nigeria
Sesame Seed Export Business in Nigeria - When the word
“exporting” is mentioned to some Nigerians who are seeking
means of making money or investing to yield returns, they
back off! Having this mindset that it is for a particular stratum
of individuals in business!Sesame Seed Export Business in
Nigeria The Agricultural sector has been very productive for
exporters. Right now, amongst other products, sesame seeds
are in high demand by exporters because of the huge profits it
yields!
Sesame Seed Export Business in Nigeria – What are Sesame
Seeds?
Sesame seeds are oil seeds that are grown/ cultivated,
harvested mostly in temperate and tropical regions of the
world. It is seen to be protected with a coat which is fibrous
in nature. Its variety could depict its coloration, which could
be brown or white. The oil content of sesame seed is high and
it is between 44% – 60% of the seed. Sesame seed is mostly
cultivated twice in a year. First planting is usually from April –
May, and late planting, August – September. As regards
harvesting Sesame seeds, it is usually done between July and
August (first planting); November and December (late
planting).
Globally, sesame seeds are referred to as “sesame” but the
Indians call it “Till”. The botanical name is (Sesamum indicum
L.) but this name would not really be of help to you in
business. The most important thing is to know what the
producers/sellers in regions, localities/communities call it. In
western and eastern Africa, it is referred to as “benniseed”
and “simsim” respectively. In Nigeria, the Northerners call it
“Ridi”;in Benue state, the Tivs, Idomas and Igalas refer to it as
“ishwa”,”ocha” and “igogo respectively; the Igbos call it
“Isasa” and then the yorubas refer to it as “Ekuku” or “Eeku”.
Sesame Seed Export Business in Nigeria – What Relevance is
it to The Global Economy?
Actually, depending on the variety; white (food-grade) and
brown (oil-grade) coloration, sesame seeds are utilized in
industries to bring about essential products. Its usefulness is
in;
- Food industries: the oils obtained from sesame are used in
producing the canned sardines, margarines (due to its
property of a long shelf life), corned beefs. Usually in
bakeries, dehulled seeds are mostly preferred in production of
bread, cake, burgers e.t.c. it also serve as garnishing for
confectioneries etc.
- Cosmetics industries: production of soaps, bath-oils,
perfumes, body and hair creams etc
- Pharmaceutical industries: for administering certain
intravenous drugs, the oil serves as carriers of the drugs into
the body system.
- Neutraceuticals (i.e. in natural medical applications without
use of processed products): has anti-bacterial, anti-fungal and
anti-viral functions that help to treat skin diseases or
infections.
- Lubricants, inks, paints and insecticides.
In addition to all that has been listed, sesame seeds also
serve as food for wild life. The major consuming markets in
the world are the industrialized nations like Japan, USA and
European countries like UK, Germany,
Netherlands etc. other countries include South Korea, India
and countries in the Middle East. USA ranks fifth in the global
volume of import with demands of over 50,000 tons per
annum. Japan is the major importer of sesame seeds with
Nigeria exporting as much as 22000 MT (metric tons) to her.
Export volume from Nigeria to European countries is about
1900MT per annum. The world volume of exports and imports
is about 560,000 MT yearly with an annual growth rate of
2.6%. 4% of this gross value is taken up by Nigeria and it is
equivalent to N12.8 billion in foreign exchange. Nigeria is the
second largest producer of sesame seed in Africa and also
ranked 7th in the world.
Sesame Seed Export Business in Nigeria – Where in Nigeria
Can I Obtain Sesame Seeds For Export?
Sesame seeds are widely grown in the Northern part of
Nigeria. It is grown in states such as Benue, Kano, Jigawa,
Kastina , Kogi , Nassarawa, Gombe , Kebbi, Plateau, Bauchi ,
Taraba, Kaduna, Cross River, Kwara, Ebonyi states, etc, with
Nassarawa being the major producer. White variety sesame
seeds are mostly produced in Nassarawa and Benue states.
The brown varieties are produced mostly in states like Kano,
Jigawa and Kastina. Local markets to source for sesame
seeds include Shaba, Kantin Kwari in Kaduna state, Babadu
market as well as markets between Bernin Kudu and Gwaram
in Jigawa, and markets in Keffi and Laffia in Nassarawa
state. There are other markets located in other states.
How Profitable would it be if I Indulge in Sesame Seed Export
Business in Nigeria?
In Nigeria, the price for sesame seed ranges from N80,000 –
N120,000 per MT [ 1 metric ton = 1000 kg] and can be
cheaper depending on the number of tons being bought. A
truckload is 30 MT which when loaded in jute bags of 80kg –
100kg can easily be driven to the seaport for export. Export
price of the product depends on negotiation most times,
depending on the variety of the sesame seed. But basically,
the fee on board (fob) ranges from $900 – $1400 per MT.
Imagine getting several truckloads of this for export and with
the current dollar-naira exchange rate. Do the math!
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