VALUE ADDED EXPORTING

Non-Oil Commodity Export market has become more interesting of recent due to the recent economic situation of Nigeria which the fall in oil prices caused. Therefore, non-oil commodity export is seriously under consideration as an alternative to salvage the falling economy.Value Added Exporting in simple term, means adding value to the commodities you are exporting. No matter the amount you are making right now as profit in your export business you can make more of it if you add value to the commodities you are exporting. Majority of the commodities exported from Africa especially Nigeria are exported in the raw form, which industries in the other continents like Europe, Asia, America e.t.c will add value to it and sell it at a higher price and the funniest case is that they sell some of this product back to us at a higher cost after adding value to it.

Take for example, our very own shea butter which is exported abroad from Nigeria, some cosmetics manufacturing companies will add value to it, produce a cream and brand it with a beautiful name which is sold back to us and some of our people buy these creams at exorbitant prices. This same scenario applies to some other Nigeria’s exportable commodity.It is important as an exporter or a prospective exporter to work in a new direction of adding value to the commodities you specialized in exporting. Advantages of adding value to your exportable commodities are:

1. Increase in your ROI (Return on Investment)

2. International Exposure for your brand

3. Ability to sell value added products in the local market

Examples of commodities that exporters can add value to are:

1. Shea Nut and Butter: Shea Nut can be reprocessed into Raw Shea Butter Grade A, while Raw Shea Butter can be reprocessed into Refined Shea Butter. Raw Shea Butter export will give you more profit while Refined She Butter will give you higher profit.

2. Cashew Nut: It can be processed into kernels for higher profit margin.

3. Hardwood Charcoal: it can grinded to produce charcoal powder and packaged for export

4. Sesame Seed: To improve it, it can be cleaned and dehulled

5. Cassava: Value can be added to Cassava by packing and exporting it’s finished products like Garri, Fufu Powder, Tapioca e.t.c. It can be branded and packaged for export.

We will be discussing fully on value added exporting in a special series of articles, we will be releasing soon. The most important aspect in the exporting business is to simply do it right. To do it the right way, you will need the service of a consultant to put you on the right path and lead you to success.

If you are seriously interested in starting a Non-Oil Commodity export Business or you are interested in making more profit margins by adding value to the commodity of your interest, subscribe to our Non-Oil Commodity Export Business Consulting Service and we will definitely be of great help to your success in the business by the special grace of God.

Watch out for the Value Added Export Series.

To your success,

Gbeke Faith

Chief Consultant

TOSFAT Concepts

+2348038248222

+2348076000259

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