May 10, 2024

 

Nigeria SON meeting

OPERATIONALISING THE CLIMATE ACTION MARKET INCENTIVES GUIDE FOR TOMATO VALUE CHAIN IN NIGERIA

Nigeria just like the globe shares a vision of a climate resilient, globally competitive Nigeria, creating enterprise opportunities for all, ensuring there is food in every home and more money in more pockets. All across the continent share in this vision of a globally competitive country and Africa, and Nigeria’s actions will drive this vision, as it is of much interest to them.

Economic growth is fundamental to Nigeria as any hitch in the economy is felt by every sector of the economy, ministry and departments in the Nigerian government. There is therefore a need to safeguard and enhance economic growth through maximizing on the tomato value chain using climate resilient actions.

In the tomato value chain, which Nigeria has prioritised, climate change is set to lower yields by 25% per hectare and threaten livelihoods of over 200,000 farmers and an entire supply chain of enterprises they serve. The truth is if climate change is not addressed, it will push back into economic distress, over 200,000 hardworking Nigerians who depend on the productivity of the tomato value chain. These are people who would otherwise scale the ladder of business success and give the SON more business as they demand more certifications for their enterprises. Cumulatively, climate change is projected to cost 6 – 30% of Nigeria’s GDP by 2050, translating to $100 billion – $460 billion in losses.

Failure to add value to what is produced, is leading to billions in lost value addition enterprise opportunities. A reality that further denies the SON, additional opportunities for executing its mandate in the Nigerian economy. In the tomato value chain, Nigeria loses up to 60% of what it produces, averaging over $70 million each year. This is largely because of inadequate processing and handling Up to $1 billion is in turn expended in importing tomato and tomato paste. The cumulative effect is that opportunities that would have created enterprises locally, are lost. In 2017, Nigeria lost tomato valued at $15 billion. These are enterprise opportunities Nigeria cannot afford to lose – given the urgent need for jobs for its youth. Currently, nearly 25% of the general population is unemployed, 20% is underemployed and over 50% of youth aged 15 – 35 years are without work.

The first step to climate proofing and maximising productivity of Nigeria’s tomato value chains, is to convert losses into incomes, jobs and enterprise opportunities. EBAFOSA Innovative Volunteerism actors went into action by going down to the ground, to the fields and enterprises, and engage tomato value chain actors on adoption of climate-resilient cultivation and value addition approaches. They were to establish gaps and lessons and revert back on how the SON can enhance its engagement with these clients and enable them to enhance their productivity.

First, while Nigeria is the second largest producer of tomato in Africa, it still expends up to $1billion in importing tomato products because of a never-ending deficit. This is money that would otherwise have created enterprise opportunities locally. At the heart of this deficit, is the exceedingly highPost Harvest Losses (PHLs). Most of what is produced locally – up to 60% - ends up rotten, because of failures to add-value Such tomato that ends up rotten could instead be dried and used as raw material for tomato paste, tomato mix or sold as dry tomato in the market at a cheaper price than the fresh tomato. All this would prevent farmers from losing as they are now. So, lack of value addition and failure to seize these alternatives was a clear gap that was discovered.

A climate resilient solution of solar dryers was found to be a low hanging fruit that can solve this high PHLs challenges while creating much more incomes. Across Nigeria, the Innovative Volunteerism actors found that solar dryers have revolutionised the way tomato, pepper, vegetable and cassava farmers view market days. While previously, end of market days meant counting losses, where a large basket of tomato can be sold for as little as 20Naira, because the seller fears what is left over will rot, with solar driers, farmers have nothing to fear. Tomato or vegetables that are unsold at the end of the market day are simply solar dried and converted to dried tomato or dried vegetables, as an alternative product line.

With this solution, papaya, cassava, tomato farmers are charging up to 30 times more for their dried produce in the off season which could not sell during peak seasons as a result of glut. And unlike open sun-drying, use of the solar dryer does the job of drying faster, more efficiently and hygienically as produce is not soiled by dust, animal droppings and other debris that is a challenge with open sun drying. The result being a quality dried product that fetches more in the market. But these dryers are capital assets, and affordability remains a challenge.

Financing the dryers: This can best be summarized by a common African proverb - that “many hands make light work”. As an individual farmer, financing solar dryers with the incomes made at the market level, may seem impossible. But not so if they act collectively and pool their resources. This is where cooperatives, who’s structure is well established across Africa, including in Nigeria comes in. Tomato farmers will need to mobilise themselves and pool their resources, so they are supported to get the solar dryers needed. These can be used communally to further lower risks. With the dryers, earnings will be improved, PHLs cut and more income opportunities created for those who fabricate the dryers. This is how the tomato production policy can be fully implemented on the ground to unlock an estimated 60,000 additional direct jobs each year.

Affordability of dryers: To make them affordable, the primary approach will be to ensure local manpower and materials are prioritised. For this, the Innovative Volunteerism actors are being supported to come up with local enterprises and in this case EBAPreneurs Solutions Climate Action Enterprise is leading already in fabricating these dryers with locally available materials. With our technical backstopping, these Innovative Volunteerism actors will be trained to fabricate quality dryers using locally available material. These dryers will be test-run to ensure they meet the moisture and concentrate levels of dry tomato / tomato concentrate recommended by the SON. The series of iterations in testing the drying efficiency of these dryers against recommended tomato standards issued by the SON will be closely coordinated with the SON to ensure the final dryer produces dried tomato that meets the moisture and concentrate levels recommended in the relevant codes.

Through Innovative Volunteerism EBApreneur Solutions by use of solar dryers, decentralising solar dryers to Nigeria’s tomato farmers. Such that they dehydrate their tomatoes to prevent spoilage and make alternative product lines that will earn them more and by this, also create enterprise opportunities for youth who will engage in fabricating affordable solar dryers with locally available material to climate proof Nigeria tomato value chains.

Read more from the attached publication.

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