Nigeria seeks $40million loan for cassava chips export

The Minister of Agriculture and Rural Development, Dr. Akinwunmi Adesina, has disclosed plans to secure $40million loan from the African Export and Import Bank in Egypt. The Minister said that the facility is to meet 3million metric tons export demand of cassava chips to China.
Adesina disclosed this at the weekend in Abuja.
He added that the Chinese government had requested for an export order of 3million metric tons of cassava chips.
He stated that the cassava available in the country cannot meet the demand, which necessitates government to seek external credit facility for the production of the commodity.
According to the Minister: “Gone are the days when cassava are allowed to lie fallow under the ground without it being harvested.
“We are making sure we create market for our cassava to the extent that the produce would not be enough to meet the demand”.
The Bank of Agriculture (BOA) has also provided N4.1billion credit facility for the Nigerian Cassava Growers Association (NCGA).
The loan will enable 20,000 member farmers to cultivate 60,000 hectares of farmland during the 2013 planting season.
At the signing of the Memorandum of Understanding (MoU) between the board members of BOA and the members of the NCGA witnessed by Adesina and the Minister of State, Bukar Tijani, the Minister stated that the grant could not have come at a better time when the country is in dire need of cassava to meet export demand.
Lamenting that Nigeria is not adding enough value to what is being produced, the Minister maintained that the current administration is determined to make the nation not only the largest producer of cassava but also the largest cassava processor in the world.
After the delivery of 2million metric ton of cassava chip to China in 2012, Adesina revealed that the chips produced in Nigeria have been adjudged the best in the world.
He disclosed plans to set up six cassava chip processing centres in Enugu, Ibadan, Nassarawa, Taraba, hinting that that the 18 cassava milling machines to mill high quality cassava flour would be available in the country before the end of the year.
While commending BOA for the provision of the facility, he said it is the responsibility of the government to provide finance and create market for goods produced in the country.
He further unfolded plans by the federal government to recapitalise the BOA to meet the status of RABO bank, the largest agricultural bank in Nigeria.