Economy

Olam Nigeria to Begin Tomato Paste Production, Acquires Land

Published

6 years ago

27/02/2020

By Modupe Gbadeyanka

The tomato value chain in the country recently received a boost with the acquisition of 20 hectares of land by Olam Nigeria for the purpose of setting up farms in Karfi, Kano State, as well as Masama and Guri, both located in Jigawa State solely for the production of tomatoes.

This in line with the federal government’s initiative to attain self-sufficiency in tomato production and processing. The land was acquired by Caraway Africa Nigeria Ltd, a subsidiary of Olam, a leading player in the Nigerian agriculture value chain, under its pilot farming project.

While the tomatoes were transplanted in October 2019, harvest commenced in February 2020 and Vice President of Olam Nigeria in charge of Farming Initiatives, Mr Reji George, said preliminary results point to a bountiful harvest.

He stated that each of the farms were on course to produce 30 metrics tons of tomato per hectare, as against the 7.5 metric tons per hectare which is Nigeria’s average yield for tomato.

Mr Reji added that the commercial pilot farming initiative, which Olam Nigeria is embarking upon through Caraway Africa Nigeria, is a precursor to a backward integration project for tomato paste production which will commence in March 2021.

A major challenge confronting the production of tomatoes in Nigeria is a lack of good variety seeds to buy. Another problem is extremely poor yields as low tomato production lead to higher prices, thereby making it unattractive for processors to purchase.

These challenges are also linked to the unwillingness of farmers to produce tomatoes in large quantity because they want to avoid product decay and losses because of lack of proper storage and preservation facilities.

Addressing the challenge of poor tomato seeds, Mr Reji said Olam has signed an MOU with the World Vegetable Centre, a globally renowned research institute and prominent seed producer and developer, for the supply of 18 varieties of seeds, exclusively for Caraway Africa Nigeria.

“We have also decided to go for an additional eight varieties of hybrid tomato seeds already existing in Nigeria which have a higher yield potential, but which the farmers are not using because of the cost.

“We have selected tomato seed varieties which produce fresh tomatoes as well as the variants which are good for tomato processing,” he added.

The tomatoes, which are being currently harvested at the Caraway Africa Nigeria Kano and Jigawa farms, are considered to be of a higher quality than what is currently being produced by other farmers in terms of size, quality and weight. The tomatoes are products of the Nigerian hybrid seeds and the World Vegetable Centre seeds which were planted on a trial basis.

owner of Dogara Farms, Mr Uba Idris Dogara, who has been farming for 35 years, attested to the quality of the recently harvested tomatoes.

“I’m an old-time tomato farmer but the method Olam brought to this place is looking better than the previous method we were using. I have seen a lot of changes in their yields than what we have been getting before. There is a big improvement. This method is better than what we have seen,” the farmer said.

Farm Manager of the Masama Farm, Mr Emmanuel Agbo, and his counterpart at Abur Farm, Mr Mohammed Saulawa, both owned by Olam Nigeria and located in Jigawa State, said the quality of the tomatoes have attracted farmers who have visited their farms, curious to know about the farming methods that have produced such yields.

Speaking on the attraction, Mr Saulawa said, “They have seen the difference in terms of the fruit size and the agronomic practices that we have employed here which are not the conventional farming practices that they are used to.

“You can keep the tomato variety for a week without it getting spoilt, unlike what the farmers take to the market which decays by the second day. They have seen how we apply fertilizer and how we are consistent with our spray regime. They are visiting the farm to understudy and see how they can replicate these methods in their own farms.”

Mr Reji George added that Olam, through Caraway Africa Nigeria Limited, would soon commence a farmer’s outgrower programme as a means of supporting the farmers and also boosting tomato production in Nigeria.

According to him, 1,000 farmers will be engaged in the first year, while Olam plans to acquire about 500 hectares of land for the purpose which would kick off by September 2020. The first set of tomatoes from its farmer outgrower initiative would be ready for harvest by February 2021.

He added that the firm was in discussions with developmental organisations to build the capacities of the outgrower famers in the areas of tomato planting and cultivation.

According to him, the farmer outgrower programme would be modelled after the Olam Rice Outgrower initiative, which he described as the best outgrower scheme in Nigeria.

He further added that the tomatoes for the processing plant would be sourced through yields from its own commercial farms, yields from the farmers under its outgrower initiative and buying through agents in the open market.

Speaking on how to stem post-harvest losses, Mr Reji stated that the tomatoes would be taken to the firm’s processing facility on the same day of harvest.

Economy

Lokpobiri Begs Lawmakers to Reschedule Oil Revenue Executive Order Probe

Published

1 hour ago

27/02/2026

Adedapo Adesanya

By Adedapo Adesanya

A joint National Assembly probe into President Bola Tinubu’s new oil revenue executive order was stalled on Thursday following a request for more time by the Minister of Petroleum Resources, Mr Heineken Lokpobiri.

The hearing was convened to scrutinise the executive order directing that royalty oil, tax oil, profit oil, profit gas and other revenues due to the Federation under various petroleum contracts be paid directly into the Federation Account.

Mr Lokpobiri told lawmakers that although he attended out of respect for parliament, he had been notified of the hearing only a day earlier and had not obtained all the relevant documents needed to defend the policy adequately.

He appealed for the session to be rescheduled.

Co-chairman of the joint committee and Chairman of the Senate Committee on Gas, Mr Agom Jarigbe, put the request to a voice vote, and lawmakers approved the adjournment.

A new date is expected to be communicated to the minister.

The executive order signed last week also scrapped the 30 per cent Frontier Exploration Fund created under the Petroleum Industry Act (PIA) and discontinued the 30 per cent management fee on profit oil and profit gas previously retained by the Nigerian National Petroleum Company (NNPC) Limited.

Anchored on Sections 5 and 44(3) of the Constitution, the presidency said the directive was aimed at safeguarding oil and gas revenues, curbing excessive deductions and restoring the constitutional entitlements of federal, state and local governments to the

However, the order has sparked criticism within the industry, one of which was from the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), whose president, Mr Festus Osifo, called for an immediate withdrawal of the order, warning that it could undermine the PIA and erode investor confidence.

Meanwhile, at another session, the Chairman of the Senate Committee on Finance, Senator Mohammed Sani Musa, disclosed that President Tinubu would soon transmit proposals to amend certain provisions of the PIA to align with current economic realities.

He noted that while many expect the executive order to boost revenue automatically, Nigeria has yet to achieve its desired income levels.

He did not specify which sections of the law would be targeted, but suggested that the drive to enhance revenue generation would necessitate legislative adjustments.

The PIA, signed into law in 2021 by the late ex-President Muhammadu Buhari, overhauled the governance, regulatory and fiscal framework of Nigeria’s oil and gas sector, commercialised the NNPC and restructured revenue-sharing arrangements.

Economy

NGX Group Declares N2 Final Dividend, 1-for-3 Bonus Issue for FY’25

Published

1 hour ago

27/02/2026

Aduragbemi Omiyale

By Aduragbemi Omiyale

Shareholders of Nigerian Exchange (NGX) Group Plc will receive one new share for every three held as of April 10, 2026, as a bonus, according to a proposal from the board.

This is in addition to a final dividend of N2.00 proposed by the board to shareholders for the 2025 fiscal year, which raised the total dividend for the year to N3.00, according to the financial statements of the company filed with NGX Limited.

Last year, NGX Group recorded a sterling performance, with its earnings growing by 36.0 per cent to N22.9 billion from N16.9 billion due to sustained growth across core business segments, improved customer penetration on the back of increased investor activity and rising investor confidence.

The operating profit in the year increased by 44.4 per cent to N11.8 billion, while pre-tax profit jumped to N15.6 billion from N13.6 billion in 2024, with the earnings per share (EPS) at N4.75.

As for its balance sheet, total assets increased to N71.0 billion from N68.0 billion, while shareholders’ equity strengthened to N55.2 billion

The improved debt-to-equity position reflects a conservative capital structure, enhanced solvency profile, and strong retained earnings growth.

“Our 2025 performance demonstrates the resilience of our business model and the effectiveness of disciplined strategic execution. Strong revenue growth, improved operating margins and a strengthened balance sheet reinforce our commitment to delivering sustainable long-term shareholder value.

“The increased dividend and bonus issue reflect the Board’s confidence in the sustainability of our earnings and the robustness of our capital position as we continue to deepen Nigeria’s capital markets.

“We are confident that the momentum that we have built in 2025 will be sustained, given investor confidence in the Nigerian capital market and a pipeline of exciting new listings that will broaden and deepen the market,” the chairman of NGX Group, Mr Umaru Kwairanga, said.

On his part, the chief executive of the organisation, Mr Temi Popoola, said, “We delivered strong top-line growth and enhanced profitability in 2025 despite macroeconomic headwinds.

“Our 36 per cent core revenue growth, improved operating efficiency and successful deleveraging have strengthened our capital base and financial flexibility, supporting the increased dividend and bonus issuance.

“As regulatory standards evolve, including the recent upward review of minimum capital requirements by the Securities and Exchange Commission (SEC), our robust balance sheet positions us to meet new thresholds seamlessly while continuing to invest in liquidity expansion, product innovation and market infrastructure to build a resilient, globally competitive exchange group.”

Economy

FG Targets Credit Access For 50% Workers By 2030

Published

4 hours ago

27/02/2026

Adedapo Adesanya

By Adedapo Adesanya

The Vice President, Mr Kashim Shettima, inaugurated the Board of the Nigerian Consumer Credit Corporation (CREDICORP) and gave a 50 per cent access target for workers, saying consumer credit was critical to Nigeria’s ambition of becoming a one-trillion-dollar economy by 2030.

According to him, President Bola Tinubu established the CREDICORP to build a trusted credit infrastructure, provide catalytic capital to lower borrowing costs, and help Nigerians overcome long-standing cultural resistance to credit.

Speaking on Thursday in Abuja when he inaugurated the board on behalf of the President, the Vice President, in a statement by his spokesman, Mr Stanley Nkwocha, said that the quality of life of Nigerians cannot improve without closing the gap between access to capital and human dignity.

“A civil servant who earns honestly does not have to chase sudden wealth just to buy a vehicle, or save for ten years to buy one. A young professional should not remain in darkness simply because solar power must be paid for all at once,” the Vice President said.

VP Shettima disclosed that in just one year of operations, CREDICORP has disbursed over ₦37 billion in consumer credit to more than 200,000 Nigerians, with over half of them accessing formal credit for the first time.

The Vice President said the organisation was specifically tasked with building credit infrastructure to bridge the trust gap between lenders and borrowers, providing wholesale capital and credit guarantees through its portfolio company.

“Ultimately, these critical jobs of CREDICORP will enable access to consumer credit to at least 50 per cent of working Nigerians by 2030,” he said.

The Vice President explained that the new board’s role was not ceremonial as they are custodians of the organisation’s mission, adding that the long-term strength of the institution would depend on their “vigilance, integrity, sacrifice, and commitment.”

He directed Board members to uphold Public Service Rules, the Board Charter, and all applicable governance frameworks, warning that accountability and stewardship of public resources were non-negotiable.

The Chairman of CREDICORP, Mr Aderemi Abdul, expressed appreciation to President Tinubu for his vision behind the formation of CREDICORP and for the confidence reposed in them, noting that the establishment of the corporation marked an important step towards strengthening the nation’s financial architecture.

He assured President Tinubu that the board understands its responsibility and will guide the institution to deliver meaningful benefits to Nigerians.

For his part, Mr Uzoma Nwagba, Managing Director/CEO of CREDICORP, recalled watching President Tinubu say 20 years ago that consumer credit is one of the major tools that will improve the lives of Nigerians.

He noted that over the past 18 months, the institution has benefited more than 200,000 Nigerians, including students.

He assured that the presidential vision behind CREDICORP would not be taken lightly, as the team considers their appointments a unique, once-in-a-lifetime opportunity.

Other members of the board inaugurated include Mrs Olanike Kolawole, Executive Director, Operations; Mrs Aisha Abdullahi, Executive Director, Credit and Portfolio Management; Mr Armstrong Ume-Takang (MD, MoFI), Representative of MoFI; Mrs Bisoye Coke-Odusote (DG, NIMC), Representative of NIMC; and Mr Mohammed Naziru Abbas, Representative of FMITI.

Others are Mr Marvin Nadah, Representative of FCCPC; Mrs Chinonyelum Ndidi, Representative of the Federal Ministry of Finance; Mr Mohammed Abbas Jega, Independent Director; and Mrs Toyin Adeniji, Independent Director.