The Group Managing Director of the Nigerian Aviation Handling Company (NAHCO), Mr Indranil Gupta has emphasized the huge potential that abounds in Nigeria in
terms of potential and perspective from the importers.
He however lamented that despite the huge potential, all the key players have continued to be impacted by the current account deficit and the imbalance between import and export.
Speaking during the fact finding visit paid to the handling company by the Aviacargo committee set up by the Federal Airports Authority of Nigeria (FAAN) to chart a new course that will guide aviation cargo facilitation and increase cargo volume and traffic in Nigeria, Gupta while stressing the fact that exports are heavily dependent on Petrol Chemical, advised that Nigeria needs to look within to see what can be exported to the larger global consumer base and also within Africa.
According to the NAHCO MD: “The very key one is within Africa. If we just look at our neighbourhood, the Francophone countries, almost all of them are 99% dependent on import and imports which are primarily done from Europe and America. And a lot of those import which is about 40% to 50% are being created in Nigeria in excess.
“So Nigerian economy, Nigerian manufacturers have a lot to contribute to the immediate neighbourhood and the larger continent as well. We have to enable and expose the manufacturers, the growers, the farmers to this opportunity. And once they are aware of this opportunity, we need to extend the function of the state and industry to get together to create the right policies and right infrastructure, which will then enable this trade to happen.
He used the opportunity to urge Nigeria to take advantage inherent in such African economic integration policies like the African Continental Free Trade Area (AfCFTA) and the Economic Community of West African States (ECOWAS) that already have their policy frameworks available.
“So, in terms of those policies, they are available. What we now should look at in terms of Nigeria’s Federal Government, we should look at micro policies, what can enable or what can incentivize the industry to fill up those gaps. This is a gap no doubt. The gap is 1 is to 9 in terms of import. Lets say manufactured products in Nigeria and exported outside, be it agro products, perishables, cashew, etc, have been severely exploited.”
He however identified areas that Nigeria needs to up its ante saying: “But there are others which are not that well organized. For example, yam, Ugwu leaves, Sheabutter. I know 65% of oil consumption is done from Sheabutter which originates from Nigeria. But how much of that is sent out through Nigeria’s export terminals? And how much of that is moved through other means into neighbouring countries and exported from there, is something which will give us an idea as to where we need to work in terms of policy and infrastructure creation.
“We are doing a lot of work with NEPC to try and bridge this gap under the guidance of the Federal. airports Authority of Nigeria (FAAN). And the Managing Director of FAAN is very right in saying we should draw up an action plan which has a list of items to be done in one month, a quarter, and six months, that is the way to go.
What we need to put together now are some of the key things that have major impact on export. And two things I can think of are: the functioning of customs 24/7. I know it is a big thing to look at because it is a nationwide impact but it is a policy. ”
“So that is something which can help a lot especially when we are trying to push perishables. Perishables means that they have shorter shelf life. And any amount of shelf life that can be saved by way of reducing time in processing, will be a big help. The second is, uptake of technology. We have seen in the finance world, how technology has helped Nigeria bridge the problems that we have had in the past. I think technology can be a big up spin in this. As an industry, we need to look at how we can embrace technology and help ourselves. A lot of the times I see the fear that technology has the potential of taking our jobs. It is actually not. Examples all over the world has shown us that, the efficiency which technology brings in, has the potential of creating much more value. And the moment you create much more value, it spins off into more job creation. Many a time, country’s eco-system are afraid of taking on technology because of the fear of loss of jobs but actually it is a multiplier. That is how it has played out globally and Nigeria is no different.
“So, if I want to sum up what I want to say, I am very, very optimistic and very, very hopeful about the potential of Nigeria. The potential is there for everyone to see. Nigeria has the largest economy, the largest consumer base. The manufacturing and Agric industries are progressing and they have the potential to fill up the gap in almost all of the African countries, be it Francophone or Anglophone. It is just about creating the enabling environment and it should be there. So, the aviacargo committee is a good initiative, it is a great initiative and I completely support it.”
