By Torough David , Abuja

With a current production capacity of 62.69 million and holding the position of the largest producer of cassava in the world, Nigeria is missing out of the $180 billion global cassava processing market.

The country’s cassava value chain, although hampered by local consumption, has the potential to drive economic growth and attract foreign investments.

Stakeholders in the value chain say that with improved yield, provision of credits for farmers and accessibility of lands, the country could tap into the $180 billion processed market.

The conversion of fermented cassava into high-quality products—such as High-Quality Cassava Flour (HQCF), cassava starch, bioethanol, and sweeteners (glucose and sorbitol) — could aid in cushioning forex scarcity in Nigeria.

“Nigeria, as the world’s largest cassava producer, generates approximately 18 percent of global cassava output but captures merely 2 percent of the crop’s vast $180 billion global processing market,” said Olayinka David-West, dean of Lagos Business School, Pan-Atlantic University.

David-West reiterated that despite cassava’s substantial production scale—feeding millions daily through staple foods like Garri and fufu and sustaining the livelihoods of approximately 14 million smallholder farmers—over 90 percent of Nigeria’s cassava harvest remains relegated to low-value and food-grade uses.

“This significantly constrains farmer incomes and limits broader economic impact,” she added.

Escalating global demand for industrial cassava products offers Nigeria a significant market opportunity to expand beyond traditional uses, she says.

According to the International Trade Centre, global cassava derivative exports have grown over 20 percent annually in recent years, underscoring robust international demand for industrial cassava products.

Meanwhile, Olayinka Majekodunmi, partner at Boston Consulting Group, emphasised that cassava in its HQCF form serves as a strategic alternative to imported wheat flour, essential for Nigeria’s bakery and snack sectors.

This is imperative as Nigeria imports 98 percent of its wheat needs, amounting to an average of $2 billion annually.

“HQCF presents substantial import substitution potential, potentially unlocking a $600 million market. Currently, utilisation remains low at 5 percent, yet scaling to 20 percent is achievable, given existing facilities are underutilised by approximately 50 percent,” he said.

On the investment opportunities in cassava starch, he explained that it is commonly used in paper, textile and pharmaceutical industries.

“Domestic production significantly lags demand, which grows at approximately 5.2 percent annually, representing a substantial market gap. Capturing this gap could realistically secure an additional $485 million, bolstering local manufacturing capabilities.”

But to conveniently tap into this pool of wealth, stakeholders argue that production must first of all be ramped up.

How production can be bolstered

Although current cassava yields average 6 tons per hectare compared to a global benchmark of 25 tons per hectare. The Food and Agriculture Organisation (FAO) estimates that bridging this yield gap could boost production by an additional 11 million metric tons.

“Key investments are needed in superior, disease-resistant varieties, mechanization, agronomic training, and post-harvest handling improvements to reduce losses,” David-West said.

She said cassava processing costs in Nigeria remain high, often quadrupling in off-grid areas due to unreliable power supply.

Hence, most processing facilities operate 50 percent below capacity, further lowering efficiency.

According to her, this calls for strategic investments in modern processing technologies, renewable energy infrastructure, and agro-industrial clusters.

Echoing her words, Majekodunmi said access to affordable finance remains a major challenge. He urged the development of tailored financial instruments such as patient capital and concessional loans, coupled with securing long-term off-take agreements, which will mitigate risks.

Stakeholders believe that the country has what it takes to drive value addition in the sector, but it requires intentional efforts to bolster yield per hectare and production capacity.

Key industrial derivatives

Among cassava derivatives, four key products present immediate high-growth opportunities, collectively representing a market of approximately $2 billion:

High-Quality Cassava Flour

HQCF serves as a strategic alternative to imported wheat flour, essential for Nigeria’s bakery and snack sectors.

With Nigeria importing roughly 98 percent of its wheat consumption—valued at approximately $2 billion annually—HQCF presents substantial import substitution potential, potentially unlocking a $600 million market.

Currently, utilization remains low at 5 percent, yet scaling to 20 percent is achievable, given existing facilities are underutilized by approximately 50 percent.

Industrial starch: Widely used in sectors such as paper, textiles, pharmaceuticals, adhesives, and food additives, local cassava starch offers significant competitive advantages.

Domestic production significantly lags demand, which grows at approximately 5.2 percent annually, representing a substantial market gap.

Capturing this gap could realistically secure an additional $485 million, bolstering local manufacturing capabilities.

Sweeteners (Glucose and Sorbitol)

Nigeria’s rapidly growing sweetener market (18 percent annual growth) remains predominantly import-dependent (95 percent imported), driving up costs for manufacturers.

Cassava-based sweeteners offer a cost-effective alternative, priced considerably lower than imported sucrose.

Companies such as Coca-Cola have indicated strong interest in sourcing locally, underscoring this segment’s immediate scalability and representing a clear $500 million market opportunity.

Bioethanol

Nigeria imports about 26 percent of its ethanol for beverages, pharmaceuticals, and fuel blending, exposing the economy to price volatility.

Cassava-based bioethanol offers significant economic advantages, costing approximately $0.06 per liter less than imported ethanol.

Given Nigeria’s existing ethanol market valued at $420 million, substantial expansion opportunities exist for investors to scale local production.

The Ondo State Government said it will partner with the Federal University of Technology, Akure (FUTA), on the restoration and development of OSSE River Park to international standards for eco-tourists attraction.

Permanent Secretary, Ministry of Agriculture and Forestry, Segun Odusanya stated this during a meeting with the Department of Forestry and Wood Technology and Department of Ecotourism and Wildlife Management of the institution.

Odusanya, who said that there was a need to partner national and international organisations, explained that the state government welcomed technical and logistic support to enhance the park’s restoration and conservation.

“The OSSE River Park is the state’s only conservation park which provides a habitat for wild animals, but it requires attention due to human activities,” he said.

Also, Mr Olushola Ibosiola, Director of Wildlife Conservation, Parks, and Ecotourism in the ministry, emphasised the importance of wildlife conservation and ecotourism, saying that the park covered 285.79 km²

According to him, the benefits of ecotourism include revenue generation, economic incentives, awareness, and research support.

Ibosiola, however, acknowledged the challenges of ensuring sustainable practices and balancing economic benefits with conservation goals.

Prof. Oluseyi Fabiyi and Prof. Adekunle Ogunjinmi, from the two departments in FUTA, expressed their willingness to collaborate with the government to harness the park’s potential.

The duo said the international bodies were willing to provide support for wildlife conservation and ecotourism development.

They promised to schedule a visit to assess the park’s condition and determine the level of intervention required.

By Laide Akinboade, Anima

In order to address farmers and herders clashes, President Bola Tinubu yesterday assured Nigerians that he will convert what used to be a liability and a source of conflicts, into a means of prosperity.

The President stated this at the official commissioning of the newly constructed road from A2 junction to Pai town in Abuja.

Tinubu appealed to farmers and livestock owners to establish opportunities for grazing and do what is necessary.

He added that the 15 kilometers road is strategic because it opens a new corridor for agriculture, commerce, education, mobility and strengthening the economy from the grassroots up.

According to the President, “On our way here, we saw opportunities, prosperity, and the need for the establishment of ranches and rural development to uplift the lives of our rural people.

“On my way here, I observed the need for our great farmers and livestock owners to establish opportunities for grazing and do what is necessary. We will help you. We will work with you.

“We will convert what used to be a liability and a source of conflict, turning it into a means of prosperity.

“The time has come to call it a rural area project, and I am pleased to commission the 15-kilometer A2 to Pia Town Road”.

Tinubul noted that infrastructure development is meaningless if it is not developed for the benefit of people.

He therefore reiterated the commitment of his administration in ensuring that development is not lopsided but balanced, inclusive, and targets lifting lives.

He said the project is strategic, “It is strategic because it opens a new corridor for agriculture, commerce, education, mobility, and other areas, strengthening our national economy from the grassroots up.

“Rural communities such as Pia make an important contribution to Nigeria’s social and economic development, especially in food production and local enterprises.

“But their potential has been hindered by poor road access, isolation, and neglect for far too long”, he lamented.

Speaking to the people of Pia, the Mr. President, said, “This is your road. I urge the community to take ownership of this infrastructure, guide it, maintain it, and use it to the fullest.

“Let it be a pathway to growth and a bridge to a better life for the youth, farmers, traders, and students who will move with great ease”.

In his welcome address the Federal Capital Territory Minister Nyesom Wike, said his administration has been able to do over 150 kilometers of rural roads in Abuja.

He added that these roads are in the six area councils and some are still ongoing projects.

“Let me say, for this year’s commissioning, Your Excellency, we will be commissioning 10 kilometers of Aguma Palace-Radio-New Market Road in Gwagwalada. And then, Nyanya-Karshi dual Carriageway, 18 kilometers.

“We are doing the commission of 7.4 kilometers of Old Ushafa Road and rehabilitation of Lower Usuma Dam.

“Your Excellency, we are commissioning the dualisation of the Ushafa war college to Kaduna Checkpoint, 16.4 kilometers road among others.

“If you calculate all, and the ongoing roads, and the ones completed, within the satellite towns, you’ve done not less than 150 kilometers of roads”.

He therefore commended Mr. President for all his support.