COCOA VALUE CHAIN PLAYERS CALL FOR NAIRA STABILITY FOR FOREIGN EXCHANGE ACCESSIBILITY FOR ESSENTIAL IMPORTS

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COCOA VALUE CHAIN PLAYERS CALL FOR NAIRA STABILITY FOR FOREIGN EXCHANGE ACCESSIBILITY FOR ESSENTIAL IMPORTS

…Other resolutions reached at National Cocoa Festival in Calabar include the call for private sector and youth participation for sustainability

The key players in

the Cocoa Industry in Nigeria have called for interventions to stabilize naira and make it easier for farmers to access foreign exchange for essential imports.

They have also called on stakeholders to develop an effective mechanism for collaboration and feedback collection from the industry players.

These are part of the resolutions at a two-day 3rd National Cocoa Festival tagged Calabar 2024 on the roles of the National Cocoa Management Committee in mobilising stakeholders into European Union Deforestation Regulation Compliance and Cocoa Value Addition.

The programme attended by stakeholders from within and outside Nigeria was organised by Cocoa Farmers Association of Nigeria(CFAN) and Cocoa Roundtable Initiative(CORI).

The Cocoa Farmers also called on government to ensure an enabling environment for private sectors and youth participation in cocoa value chain for sustainability.

While calling on Improved effort on infrastructural development in rural areas where cocoa is grown the stakeholders charged the NCMC to collaborate and partner with leading countries in cocoa business, learn their strategies and work closely with them for sustainable growth of the industry.

The communique reached at the festival also urged government and MDAs to create platforms and attractive opportunities for youths to learn cocoa value chain businesses such as making of soap, chocolates, and cocoa powder in collaboration with the Cocoa Research Institute of Nigeria as this is crucial to ensuring sustainability of the industry.

(Full Text)

Communique of a two-day 3rd National Cocoa Festival themed Calabar 2024 on the Roles of the National Cocoa Management Committee and Others in Mobilizing Stakeholders into European Union Deforestation Regulation (EUDR) Compliance and Cocoa Value Addition and Youth Entrepreneurship: Key to Nigeria Cocoa Sustainability Organized by the Cocoa Farmers Association of Nigeria (CFAN) and Cocoa Roundtable Initiative (CORI) on Wednesday October 23rd and Thursday October 24th, 2024 in Calabar, Cross River State.

BACKGROUND

Nigeria’s cocoa industry, a significant contributor to the national economy, faces critical challenges in complying with the European Union’s Deforestation Regulations (EUDR). To address these challenges and leverage opportunities for growth, the Cocoa Farmers Association of Nigeria (CFAN) and Cocoa Roundtable Initiative (CORI) convened all relevant stakeholders in the cocoa industry, both local and international to its 3rd National Cocoa Festival, tagged Calabar 2024 to deliberate on achieving EUDR compliance and cocoa value chain sustainability through youth entrepreneurship.

This event brought together over 300 participants.

PARTICIPANTS

Government and MDAs

The Governor of Cross River State, His Excellency; Senator Prince Bassey Edet Otu, ably represented by the Hon. Commissioner for Agriculture and Irrigation Development, Hon. Johnson A. Ebokpo Jnr.

Secretary to State Government of Cross River State

Hon. Minister of Agriculture and Food Security ably represented

Representatives of Ondo, Edo, Ogun, Abia, Akwa-Ibom, Oyo, Ekiti, Kwara, and Delta States.

Cocoa Research Institute of Nigeria (CRIN)

Forestry Research Institute of Nigeria (FRIN)

Standards Organization of Nigeria (SON)

Private Companies/Organizations

SUNBETH Global

OFI

AGNIMBLE

HARVESTFIELD

JOHNVENTS

BARRY CALLEBAUT

HELP FARMERS, CAMEROON

PULA

AFEX

ROBUST LTD

CALCCIMA

CHOICE AGRO

BUHLER

International Development Organizations

International Cocoa Organization (ICCO)

World Cocoa Foundation (WCF)

European Union delegation (EU)

Lutheran World Relief (LWR)

World Conservation Society (WCS)

RAINFOREST ALLIANCE (RA)

Food and Agriculture Organization (FAO)

International Finance Corporation (IFC-WB)

United State Department of Agriculture (USDA)

PROPCOM+

Traditional Institutions

Etung – HRM Anthony Ntui Etta

Odukpani – HRM Etinyin Otu Asuquo Mesembe VI JP

Akamkpa – HRM Agbor Ewa Ebani

Ikom – HRM Ninew Atamgba

Bekwarra – HRM Odey Linus Ogboche

Akpabuyo – HRM Agbor Ewa Ebani

Boki – HRM Otu Fridalin E. Akandu JP.

Obanliku – HRM Amb. Dr. Uchua Amos Uyumulam Item

Obubra – HRM The Ovia of Obubra

Indigenous Organizations/Associations

Cocoa Association of Nigeria (CAN)

Cocoa Farmers Association of Nigeria (CFAN)

Cocoa Roundtable Initiative (CORI)

Cocoa farmers across the cocoa producing States in Nigeria.

OBJECTIVES

To provide a comprehensive overview of the European Union Deforestation Regulations (EUDR) and its implications on Nigeria’s cocoa industry

To develop strategies for mapping of land under cocoa cultivation to extablish traceability, monitoring deforestation and encourage sustainable practices in cocoa supply chains in order to achieve total due diligence in the Nigerian cocoa sector.

To foster partnerships among stakeholders to support deforestation-free cocoa production and protect our ecosystem.

To explore innovative technologies and practices for youth entrepreneurship in cocoa production, processing and value addition.

To clarify roles/responsibilities of National Cocoa Management Committee (NCMC), government agencies, cocoa farmers, buyers, processors, exporters and other stakeholders.

After exhaustive discussion during the various panel sessions, the 2-day event made the following observations and recommendations.

CHALLENGES IDENTIFIED

Low local consumption of cocoa products

Lack of accurate data on cocoa production and cocoa value chain

Knowledge gap about EUDR and other relevant regulations among the farmers and stakeholders.

Farmers are faced with soil degradation, pests and diseases, post harvesting processing infrastructures, access to low digit financing etc.

Wrong use and proliferation of adulterated agrochemicals.

Lack of access to cocoa policy document

Outdated forest cover and land use maps.

Poor land tenure system

Little or no collaboration among industry players on data sharing

Low adoption rate of traceability system and practices.

Outdated farming practices and limited access to quality inputs.

Increased impact of climate change on production and poor adoption of mitigation techniques on farms

Insufficient investment and poor adoption rate of agricultural technology and innovation.

RECOMMENDATIONS

Shift of focus to local processing and consumption of cocoa products.

Government and NCMC need to take the lead in updating and harmonizing available data on cocoa value chain.

Sensitizations and awareness campaign should be carried out for stakeholders in cocoa value chain on EUDR and other relevant regulations.

Farmers should key into the available sustainability initiatives around them and adopt best agronomic practices

Government, NCMC, National Task Force (NTF) and other stakeholders should intensify effort to flush out adulterated agrochemicals from the industry.

More efforts on building farmers capacity on safe & responsible handling of agrochemicals and diversification for sustainability.

NCMC should ensure the completion and publication of the national cocoa policy.

Government, NCMC and NTF should ensure the updating of the forest cover and land use maps in all cocoa producing states.

Review of existing land tenure system by the government.

Government should initiate a national traceability system in collaboration with development partners and industry experts.

Government should improve support to research institutes to increase adoption of Climate Smart Agricultural practices by farmers.

Government should introduce policy on agroforestry practices in cocoa farming.

Stakeholders need to develop an effective mechanism for collaboration and feedback collection from the industry players

Government should ensure an enabling environment for private sectors and youth participation in cocoa value chain for sustainability.

Improved effort on infrastructure development in rural areas where cocoa is grown.

There should be policy interventions to stabilize naira and make it easier for farmers to access foreign exchange for essential imports.

NCMC should collaborate and partner with leading countries in cocoa business, learn their strategies and work closely with them for sustainable growth of the industry.

Government and MDAs should create platforms and attractive opportunities for youths to learn cocoa value chain businesses such as making of soap, chocolates, and cocoa powder in collaboration with the Cocoa Research Institute of Nigeria as this is crucial to ensuring sustainability of the industry.

CONCLUSION

The participants expressed their delight and appreciation to the leadership of the Cocoa Farmers Association of Nigeria (CFAN) and Cocoa Roundtable Initiative (CORI) for organizing this important event.

It is believed that the two-day event has opened the eyes of the stakeholders to the key challenges facing the industry and opportunities available to leverage on towards compliance with the EUDR and ensure the sustainability of the industry through youth involvement.

The forum unanimously agreed that the political will of government is a crucial factor to drive the implementations of these recommendations to achieve the desired outcomes.

COMMUNIQUE DRAFTING COMMITTEE

S/N

NAMES

ORGANISATIONS

MR. KAZEEM SANNI

RAINFOREST ALLIANCE

DR. ONYA N. ONYA

Academia

DR. A.O. AKINPELU

CRIN

MR. KENNETH A. ITTAH

CALCCIMA