The National President of the Cocoa Farmers Association of Nigeria (CFAN), Adeola Adegoke, has raised concerns about the future of Nigeria’s cocoa industry.
This comes as the new European Union (EU) regulation on sustainable cocoa production may lead to Nigerian products being banned from EU markets if they don’t meet the standards by 2025.
Speaking with the Nigerian Tribune during the FAO-GEF FOLUR National Inception Workshop held in Abuja, Adegoke urged the Nigerian government to take advantage of the Global Environment Fund (GEF) funds to reposition the cocoa industry.
He pointed out that the EU is Nigeria’s biggest market for cocoa. If the product is banned, it poses a threat to foreign exchange, and investments in the cocoa industry could be lost.
“When we look at the prevalent issues around products and regulations, we realize that international buyers of our product are insisting on sustainable practices, which is the foundation for having a good market. This has been built around many products, and we are also aware that there are many rejected products from Nigeria, of which the regulations have extended to cocoa.
“Today, the European Union (EU) has given a directive and a regulation that by 2025, every unsustainable cocoa from Nigeria and other countries will be banned.
“It signifies that whatever investment and whatever we are getting from cocoa will be put on hold. Don’t forget that cocoa provides millions of jobs for our farmers indirectly and directly, including exporters and buyers. It is the second-highest foreign exchange earner for our nation.
“Like I said earlier, Nigeria, with cocoa foreign exchange generation, is still battling a foreign exchange shortage. What about a situation where our cocoa is no longer generating foreign exchange?” he said.
While describing the situation as a national loss, the CFAN President stated that something must be done because the country cannot afford to allow this tragedy to befall its economy.
“It is going to be a national loss; we cannot allow the tragedy to come before we start to do something in that regard. That is why I believe that this program is an opportunity to establish these sustainable practices around cocoa and oil palm.
“That is the more reason I am charging the federal government to rise up and see that this is a danger coming, and we don’t need to wait until we start to run around. 2025 is around the corner; cocoa is a future trading, and it starts by 2024.
“On this basis, the state governments of Ondo and Cross River, in collaboration with us and stakeholders in the industry, the federal government, and the Ministers of Environment and Agriculture, can use this opportunity of this funding to be a game-changer.
“That is why I am charging the stakeholders to see it as a serious business; it shouldn’t be business as usual. We should ensure the successful implementation of this project so that it will not only remove the impediment to the future growth of these key sectors, but at the same time, it will add as an impetus to develop the future of the industry,” he added.
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