By Princewill Ekwujuru
Nigeria dropped to fourth position in global sorghum market in 2013 from number one in 2008. as local industries now operate at 40 percent capacity utilisation. Sorghum is a seed crop used in the manufacture of malt drinks, cereals, weaning formulas, biscuits etc.
This was disclosed by the Managing Director of Food Agro and Allied Industries Limited, a subsidiary of Sona Group, Nigeria, Sudhansu Sinha, while briefing the press to herald the 2015 business year. He spoke on
Speaking on the sub-topic: ‘The banes to the growth of nascent malting industry, Sinha observed that the ban on importation of barley malt imposed by federal government in the late 1980s has been diluted under the influence of vested beneficiaries, thus resulting in free importation at very low tariff which created the resulted effect on the economy.
An abandoned heavy duty equipment.
He said that cheap barley and derivatives from Europe, where agriculture is heavily subsidized, and imported in huge quantities invariably affected the malt industry in Nigeria. Some of the companies in the industry, he said, have either closed or are producing at 40 percent capacity, as farmers divert interest to other crops for lack of market.
The he noted, has lead to lose of jobs or income and so on, as well as the decline of Nigeria to 4th position in the global sorghum market as at 2013.
The Managing Director also observed that cereal derivatives like malt extract, glucose, syrup etc, are being imported though better quality product is available in the country.
While citing the example of the drop in global petroleum prices, he pointed out that allocation of foreign exchange for import to what is available in the country is wanton disregard to national interest.
He opined that the malting industry by its nature is an agricultural produce processing industry. “This sector of industry should have access to low interest fund for upgrading and improvement to reduce waste and improve product quality, build safe storage facilities for grains and make end-products cheaper for customers.
Sinha pointed out that using local resources eliminates use of foreign exchange to import similar or even some dubious products.
“Sorghum production is naturally suitable for Nigerian climate. Industries based on promoting the production and processing of this abundant agricultural produce apparently have no hindrance in working gainfully to contribute to the nation’s food security program and provide wholesome and nutritious food to the population.” he stated.
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