A producer of Gum Arabic, Mr. Shettima Ibrahim, has said that “Nigeria has about N50 billion worth of the produce untapped”.
He revealed on Wednesday in Abuja that the produce, used for processing, preservation and packaging of drugs, soft drinks, foods, beverages and tinned foods, was purely organic.
According to Ibrahim, the best grade of Gum Arabic in the world is grown largely in Borno and Yobe.
“We have about N50 billion worth of gum Arabic which is not tapped and we can develop vegetation in which that could be cultivated.
“This could be done through dams and adequate schemes for rural farmers by cutting five hectares each for a particular set of cooperatives.
“You can have 500,000 units of its plantation which could give us between $20 to $30 dollars within one year,’’ he said.
Ibrahim, who had been in the business for 25 years, said that investment in the produce could boost the nation’s economy and also serve as non-oil contribution.
He said the diversification from oil could serve as employment opportunities for the youth.
“Government will have its taxation; the youth will be engaged in the job of processing; you can crush it if you wish and you can send it raw.
“It is a gold mine but the government will have to provide the plantation, the dams and the passage of by-laws maybe by local councils for the protection of the produce,’’ he said.
He said that although it took four years to grow the tree, its produce could be harvested twice in a year, using dry season farming.
He, however, decried the lack of long term loans to farmers by Nigerian banks, saying policies supporting such were very weak.
He said that without sufficient capital by way of loans, processing of farm produce for export was not feasible in Nigeria.
“No bank entertains a project that lasts 15 years. In other parts of the world, if a project lasts less than five years, bankers will not even entertain it.
“But here, if you tell them that you need a plantation of about 12 years for full peak of declaring dividends, banks will not fund it,’’ he said.
