Feature/OPED
Regulating Food Production and Processing in Nigeria: Where Are We?
By Gbolahan Oluyemi
With enormous agricultural resources and a population of over 200 million people, the food production and processing industry is vital to the economy. The value of Nigeria’s food processing industry is about $20 billion.
In addition to feeding our teeming population, the food production and processing industry offers both skilled and unskilled job opportunities. It also creates revenue opportunities for the three tiers of government.
Judging by the importance of food production and considering the need to protect the population from consuming unhealthy food products, the food production industry requires comprehensive regulation.
Before 1993, the Food and Drugs Administration and Control Department of the Federal Ministry of Health regulated food production and processing in Nigeria.
However, the National Agency for Food and Drug Administration and Control (NAFDAC) was created in 1993 to regulate food and drug products. Since then, NAFDAC has increasingly played a significant role in regulating food production and processing in Nigeria.
The legal framework regulating food production and processing consists of numerous substantive and subsidiary legislations. Some of these federal laws include the Food and Drugs Act; the National Agency for Food and Drug Administration and Control Act; the Counterfeit and Fake Drugs, Unwholesome Processed Foods (Miscellaneous Provision) Act; the Food, Drug and Related Products (Registration) Act; the Federal Competition and Consumer Protection Act 2018; the Marketing (Breast milk substitutes) Act.
In furtherance to the powers vested in NAFDAC by Sections 5 and 30 of the NAFDAC Act, NAFDAC also issued regulations and guidelines.
To deepen consumer protection, especially from the environmental angle, the Minister for Environment issued the National Environmental Health Practice Regulations 2016. Part IV of the regulations covers food sanitation, while Part V deals with abattoir sanitation.
There also exists a National Environmental (Food, Beverages and Tobacco Sector) Regulations 2009, which seek to prevent and minimize pollution from all operations and ancillary activities of food, beverages and tobacco companies.
The 2009 regulation is enforced by the National Environmental Standards and Regulations Enforcement Agency (NESRA) and made under Section 34 of the National Environmental Standards and Regulations Enforcement Agency (Establishment) Act, 2007.
Additionally, some states have laws regulating food production and handling within their respective states. For instance, Lagos State has the Law Reforms (Tort) Law of Lagos State, the Lagos State Safety Commission Law 2011 and the Lagos State Meat Inspection Law. Local governments also have health and sanitation officers saddled with the responsibility of ensuring safety.
Asides from the legislations and subsidiary instruments, the federal government documented policies defining the government’s strategy and objectives concerning food production and consumption. Some of these policies include the National Policy on Food Safety and its Implementation Strategy and the National Policy on Food and Nutrition in Nigeria.
The laws are to protect consumers and sanitize the food production industry. For example, the Food and Drugs Act prohibit the sale, importation, manufacture or storage of any food containing a poisonous or harmful substance. Despite this law, some beans retailers were arrested in Lagos in 2017 for preserving beans with insecticide.
There have also been unrecorded cases of fruit retailers using calcium carbide to quicken the ripening of fruits. These scenarios suggest that regulators are expending most of their energy on the large-scale and corporate food producers, thereby paying less attention to retailers and small scale food producers.
On the international level, our food products are being rejected by some countries. A few days ago, the Director-General of NAFDAC reportedly addressed the incessant rejection of food and agricultural commodities from Nigeria over alleged poor quality at a virtual technical roundtable meeting with other federal government agencies.
The Food and Drug Act prohibits the sale and advertisement of food products as treatment, prevention or cure for certain diseases listed in schedule 1 of the Act.
Some of these include Acquired Immune Deficiency Syndrome (AIDS), Cancer, Cataract, Diabetes, Cholera, Epilepsy, Obesity, Sexual impotence, loss of virility or sterility etc.
Despite the prohibition, social media and e-commerce platforms are used to sell products marketed as prevention and cure for some of these diseases. Many of these products are also sold unbranded in local markets and herb stores across the nation.
Similarly, the Counterfeit and Fake Drugs, Unwholesome Processed Foods (Miscellaneous Provision) Act prohibit the production, importation, manufacturing, selling, distribution or possession of unwholesome processed food.
An individual or company that produces, import, manufacture, sell, distribute or possess unwholesome food violates the law and is liable to a fine or imprisonment.
Despite this provision, rotten tomatoes are sold across Nigerian markets. They are preferred by buyers because they are cheaper than healthy tomatoes. Some canteens may be using these rotten tomatoes in preparing food for their customers.
Despite that Regulation 58 of the National Environmental Health Practice Regulations 2016 mandates that all bread products must be wrapped and labelled before leaving the bakery. Unlabelled and unwrapped bread are still sold across the counter in Nigeria.
Despite that Regulation 44 of the National Environmental Health Practice Regulations 2016 mandates that every food premise is painted white and rendered washable, many food premises do not comply with this regulation.
Definitely, we are not where we ought to be in terms of effective regulation of food production and safety. As a nation, we are still far from the green line. Although, we are also not where we use to be.
Asides from NAFDAC, there are other regulatory agencies such as the Federal Competition and Consumer Protection Commission (FCCPC), NESRA, Standard Organization of Nigeria (SON), Lagos State Consumer Protection Agency (LASCOPA) and by extension the Lagos State Safety Commission etc.
It may be more effective for these agencies to work together rather than work independently. These agencies should also consider an easy whistleblowing procedure to enhance safety and information gathering.
Section 18 of the Federal Competition and Consumer Protection (FCCP) Act provides the FCCPC with powers to prevent the circulation of goods (including food) in Nigeria if such food is a public hazard.
Nigerians have also aided the unhealthy practices of some food producers by not reporting unhealthy food production. The law already empowers FCCPC to seal premises that contain or house substandard or hazardous food products.
FCCPC is also empowered to compel manufacturers, importers, wholesalers and retailers to certify standards and give public notice on any health hazard associated with products.
I believe these agencies need information from consumers to be able to discharge their statutory duties effectively.
While the regulatory framework appears comprehensive but weakly enforced, it is yet to offer the desired protection for the consumers compared with other jurisdictions such as the USA, UK and EU.
Despite the numerous legislations, food products below international standards are still served and marketed across the country.
Some critics of the regulatory framework have argued that the regulators are more of revenue generators than safety enforcers. Stakeholders in the industry are hopeful that in future, there will be a review of the legislation and enforcement mechanism.
Hopefully, amendments to the existing laws will introduce new provisions that sufficiently address the enforcement of regulations and other developing safety issues in food production, processing and handling.
Currently, there is a Food Safety and Quality Bill before the National Assembly; there is also a Bill to amend the NAFDAC Act.
Regarding enforcement, there is a Bill to establish Nigeria Safety and Hygiene Surveillance Corps. Hopefully, these pending Bills will birth proactive legislation that strengthens the regulation of the food production industry and ultimately protect consumers.
For questions, mail me via [email protected].
By Luke Kyohere
The global payments landscape is undergoing a rapid transformation. New technologies coupled with the rising demand for seamless, secure, and efficient transactions has spurred on an exciting new era of innovation and growth. With 2025 fast approaching, here are important trends that will shape the future of payments:
1. The rise of real-time payments
Until recently, real-time payments have been used in Africa for cross-border mobile money payments, but less so for traditional payments. We are seeing companies like Mastercard investing in this area, as well as central banks in Africa putting focus on this.
2. Cashless payments will increase
In 2025, we will see the continued acceleration of cashless payments across Africa. B2B payments in particular will also increase. Digital payments began between individuals but are now becoming commonplace for larger corporate transactions.
3. Digital currency will hit mainstream
In the cryptocurrency space, we will see an increase in the use of stablecoins like United States Digital Currency (USDC) and Tether (USDT) which are linked to US dollars. These will come to replace traditional cryptocurrencies as their price point is more stable. This year, many countries will begin preparing for Central Bank Digital Currencies (CBDCs), government-backed digital currencies which use blockchain.
The increased uptake of digital currencies reflects the maturity of distributed ledger technology and improved API availability.
4. Increased government oversight
As adoption of digital currencies will increase, governments will also put more focus into monitoring these flows. In particular, this will centre on companies and banks rather than individuals. The goal of this will be to control and occasionally curb runaway foreign exchange (FX) rates.
5. Business leaders buy into AI technology
In 2025, we will see many business leaders buying into AI through respected providers relying on well-researched platforms and huge data sets. Most companies don’t have the budget to invest in their own research and development in AI, so many are now opting to ‘buy’ into the technology rather than ‘build’ it themselves. Moreover, many businesses are concerned about the risks associated with data ownership and accuracy so buying software is another way to avoid this risk.
6. Continued AI Adoption in Payments
In payments, the proliferation of AI will continue to improve user experience and increase security. To detect fraud, AI is used to track patterns and payment flows in real-time. If unusual activity is detected, the technology can be used to flag or even block payments which may be fraudulent.
When it comes to user experience, we will also see AI being used to improve the interface design of payment platforms. The technology will also increasingly be used for translation for international payment platforms.
7. Rise of Super Apps
To get more from their platforms, mobile network operators are building comprehensive service platforms, integrating multiple payment experiences into a single app. This reflects the shift of many users moving from text-based services to mobile apps. Rather than offering a single service, super apps are packing many other services into a single app. For example, apps which may have previously been used primarily for lending, now have options for saving and paying bills.
8. Business strategy shift
Recent major technological changes will force business leaders to focus on much shorter prediction and reaction cycles. Because the rate of change has been unprecedented in the past year, this will force decision-makers to adapt quickly, be decisive and nimble.
As the payments space evolves, businesses, banks, and governments must continually embrace innovation, collaboration, and prioritise customer needs. These efforts build a more inclusive, secure, and efficient payment system that supports local to global economic growth – enabling true financial inclusion across borders.
Luke Kyohere is the Group Chief Product and Innovation Officer at Onafriq
In a heartfelt statement released today, the Conference of Nigeria Political Parties (CNPP) has extended its warmest congratulations to Ghana’s President-Elect, emphasizing the importance of learning from Ghana’s recent electoral success as Nigeria gears up for its 2027 general elections.
In a statement signed by its Deputy National Publicity Secretary, Comrade James Ezema, the CNPP highlighted the need for Nigeria to reclaim its status as a leader in democratic governance in Africa.
“The recent victory of Ghana’s President-Elect is a testament to the maturity and resilience of Ghana’s democracy,” the CNPP stated. “As we celebrate this achievement, we must reflect on the lessons that Nigeria can learn from our West African neighbour.”
The CNPP’s message underscored the significance of free, fair, and credible elections, a standard that Ghana has set and one that Nigeria has previously achieved under former President Goodluck Jonathan in 2015. “It is high time for Nigeria to reclaim its position as a beacon of democracy in Africa,” the CNPP asserted, calling for a renewed commitment to the electoral process.
Central to CNPP’s message is the insistence that “the will of the people must be supreme in Nigeria’s electoral processes.” The umbrella body of all registered political parties and political associations in Nigeria CNPP emphasized the necessity of an electoral system that genuinely reflects the wishes of the Nigerian populace. “We must strive to create an environment where elections are free from manipulation, violence, and intimidation,” the CNPP urged, calling on the Independent National Electoral Commission (INEC) to take decisive action to ensure the integrity of the electoral process.
The CNPP also expressed concern over premature declarations regarding the 2027 elections, stating, “It is disheartening to note that some individuals are already announcing that there is no vacancy in Aso Rock in 2027. This kind of statement not only undermines the democratic principles that our nation holds dear but also distracts from the pressing need for the current administration to earn the trust of the electorate.”
The CNPP viewed the upcoming elections as a pivotal moment for Nigeria. “The 2027 general elections present a unique opportunity for Nigeria to reclaim its position as a leader in democratic governance in Africa,” it remarked. The body called on all stakeholders — including the executive, legislature, judiciary, the Independent National Electoral Commission (INEC), and civil society organisations — to collaborate in ensuring that elections are transparent, credible, and reflective of the will of the Nigerian people.
As the most populous African country prepares for the 2027 elections, the CNPP urged all Nigerians to remain vigilant and committed to democratic principles. “We must work together to ensure that our elections are free from violence, intimidation, and manipulation,” the statement stated, reaffirming the CNPP’s commitment to promoting a peaceful and credible electoral process.
In conclusion, the CNPP congratulated the President-Elect of Ghana and the Ghanaian people on their remarkable achievements.
“We look forward to learning from their experience and working together to strengthen democracy in our region,” the CNPP concluded.
By Kenechukwu Aguolu
The proposed tax reform, involving four tax bills introduced by the Federal Government, has received significant criticism. Notably, it was rejected by the Governors’ Forum but was still forwarded to the National Assembly. Unlike the various bold economic decisions made by this government, concessions will likely need to be made on these tax reforms, which involve legislative amendments and therefore cannot be imposed by the executive. This article highlights the purposes of taxation, the qualities of a good tax system, and some of the implications of the proposed tax reforms.
One of the major purposes of taxation is to generate revenue for the government to finance its activities. A good tax system should raise sufficient revenue for the government to fund its operations, and support economic and infrastructural development. For any country to achieve meaningful progress, its tax-to-GDP ratio should be at least 15%. Currently, Nigeria’s tax-to-GDP ratio is less than 11%. The proposed tax reforms aim to increase this ratio to 18% within the next three years.
A good tax system should also promote income redistribution and equality by implementing progressive tax policies. In line with this, the proposed tax reforms favour low-income earners. For example, individuals earning less than one million naira annually are exempted from personal income tax. Additionally, essential goods and services such as food, accommodation, and transportation, which constitute a significant portion of household consumption for low- and middle-income groups, are to be exempted from VAT.
In addition to equality, a good tax system should ensure equity and fairness, a key area of contention surrounding the proposed reforms. If implemented, the amendments to the Value Added Tax could lead to a significant reduction in the federal allocation for some states; impairing their ability to finance government operations and development projects. The VAT amendments should be holistically revisited to promote fairness and national unity.
The establishment of a single agency to collect government taxes, the Nigeria Revenue Service, could reduce loopholes that have previously resulted in revenue losses, provided proper controls are put in place. It is logically easier to monitor revenue collection by one agency than by multiple agencies. However, this is not a magical solution. With automation, revenue collection can be seamless whether it is managed by one agency or several, as long as monitoring and accountability measures are implemented effectively.
The proposed tax reforms by the Federal Government are well-intentioned. However, all concerns raised by Nigerians should be looked into, and concessions should be made where necessary. Policies are more effective when they are adapted to suit the unique characteristics of a nation, rather than adopted wholesale. A good tax system should aim to raise sufficient revenue, ensure equitable income distribution, and promote equality, equity, and fairness.
-
Feature/OPED5 years agoDavos was Different this year
-
Travel/Tourism8 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz2 years agoEstranged Lover Releases Videos of Empress Njamah Bathing
-
Banking6 years agoSort Codes of GTBank Branches in Nigeria
-
Economy2 years agoSubsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking2 years agoFirst Bank Announces Planned Downtime
-
Sports2 years agoHighest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn
-
Technology4 years agoHow To Link Your MTN, Airtel, Glo, 9mobile Lines to NIN