Nigeria looks to grow $55m export market for Rhodes grass in UAE

Onome Amuge

It is no secret that Nigeria’s livestock and pasture industries have huge potential for growth, but unlocking that potential has been a challenge. However, with a bold vision and the backing of key partners, the Commodities Development Initiative (CDI) is aiming to make a big impact on the Nigerian economy by 2024, particularly in the pasture industry.

The initiative is targeting the export of Rhodes grass, with a projected value of $55 million, to the United Arab Emirates (UAE). To make this happen, CDI has signed a Memorandum of Understanding (MoU) with the Federal Ministry of Agriculture and Food Security. This MoU sets the stage for CDI to commercially develop Nigeria’s livestock and pasture industries, opening the door to new opportunities for the country’s farmers and businesses.

To this end, the African Union InterAfrican Bureau for Animal Resources (AU-IBAR),  Federal Ministry of Agriculture and Food Security, Sterling Bank and other partners recently organised the Agric Summit Africa x AU-IBAR Investment webinar, bringing together participants from around the world to discuss the future of agriculture in Africa. The event featured presentations and discussions on a wide range of topics, drewing participants from Nigeria, India, and Kenya, and highlighting the importance of international cooperation in promoting agricultural development.

One of the most notable discussions at the webinar was around the promotion of Rhodes grass exportation, which is a high-quality forage for livestock producers in the Middle East. Due to its nutritional value, Rhodes grass is in high demand as a feed option for livestock, particularly for grazing and hay production.

The CDI stated its commitment to implementing the Made in Nigeria for Export (MINEx) programme, which aims to expand Nigeria’s export products by 15 per cent annually until 2030. The goal of this programme is to contribute to the federal government’s target of achieving a $1 trillion gross domestic product (GDP). MINEx is a key part of the CDI’s strategy to boost economic development in Nigeria and create opportunities for farmers and businesses.

Roland Oroh, managing director of the Commodity Development Initiative, said that the MINEx programme aims to achieve $505.6 million by 2029 by capturing a significant share of the Middle East pasture hay market. Oroh explained that CDI’s efforts will focus on improving the quality of the products exported, increasing capacity and productivity, and expanding access to global markets.

Oroh further explained that CDI has already secured an order for 240,000 metric tons of Rhodes grass from the UAE market, as well as a six per cent share of the Middle East pasture hay market. According to Oroh, Egypt, the UAE, and Turkey are among the top exporters of pasture hay to the Middle East. He noted that the rising prices of feed concentrates are impacting the commercial livestock markets around the world, and urged Nigerians to seize this opportunity by investing in the production of Rhodes grass to support livestock producers in the Middle East who are in need of affordable feed.

Olushola Obikanye, group head of agric finance and solid minerals at Sterling Bank, stated that the bank is committed to supporting both large and small and medium-sized enterprise (SME) operators in the livestock feed and fodder sector to expand their businesses into export markets.

Obikanye further highlighted the importance of providing Nigerian-produced feed and fodder with access to well-structured domestic and international markets, underscoring its importance for the development of the country’s livestock sector. He also pointed out the need to ensure sustainable production of feed and fodder, which would have a positive impact on the livestock sector’s capacity to meet the needs of both domestic and international markets.

In addition, Obikanye emphasised the importance of strong public-private partnerships in the feed and fodder sector, which would enable the optimal use of available land and the promotion of value-added technologies. He explained that such partnerships would create an environment conducive to investment, innovation, and productivity improvement, and would also foster market access and sustainable development of the sector.

Rhodes grass (Chloris gayana Kunth) being one of the improved pasture species in Nigeria has been increasingly cultivated over the last few years in the country due to its high dry matter yield, favourable economics of cultivation, and superiority over other perennial forage grasses.

As agronomists have pointed out, increasing the land area under natural pasture in Nigeria is not a realistic option due to the increasing demands on land resources for other purposes. As such, they have advised that the best way to increase pasture feed production is through the cultivation of improved species of Rhodes grass, such as Chloris gayana and Chloris roxburghiana, on a limited area of land. These improved species, they noted,have higher forage yield and nutritive value, making them more suitable for intensive livestock production and exportation.