Nigeria spends N4b on jute bag importation last year

Jute bags

Nigeria spent about 20 million dollars (about N4 billon) on importation of jute bags in 2015, the Minister of State for Industry, Trade and Investment, Hajia Aisha Abubakar, has revealed.

Abubakar disclosed this at the inauguration of the Kenaf Producers, Processors and Marketers Association of Nigeria (KEPPMAN) in her office on Tuesday in Abuja.

She said that the importation was in spite of the country’s potential of becoming a net exporter of jute bags and other derivatives of kenaf.

Kenaf is herbaceous plant with a wide range of food and non-food derivatives, which grows annually or biennially.

It is a source of an edible vegetable oil, while the kenaf seed oil is also used for cosmetics, industrial lubricants and for bio-fuel production.

Its non-food derivatives include jute bags and other shopping bags, newsprint, insulation bags, absorbents, bedding material, bio-plastics and composites for board making.

The minister said: “what is disturbing is the inability of the country to fully harness the potential of this very important commodity.

“Countries like India, Bangladesh, China, Malaysia and others which understand the significance of the commodity to the development of their economies are investing massively and reaping returns worth billions of dollars.

“The simple fact that kenaf can be grown in commercial quantity in over 20 states of Nigeria, including the FCT explains why the Federal Government is keen on developing the commodity.

“Kenaf has given us a window of opportunity in our quest for economic diversification.

“Investment in kenaf would not only create millions of jobs for our teeming unemployed youth but would also enhance the standard of living for all stakeholders in the commodity value chain.’’

The minister noted that translating the huge potential of kenaf into economic benefits was a task that all stakeholders must rise up to.

She called for the right mechanism to be put in place to attract investment at the upstream and downstream sectors of the commodity.

Toward this, Abubakar urged the association to mobilise stakeholders across the kenaf value chain, and assured that the Federal Government would support them.

In his inaugural speech, President of KEPPMAN, Mr Hassan Abubakar, said that kenaf cultivation was relatively young in the country, having started about eight years ago.

He said that the plant had been cultivated for more than four millennia in Asia where, according to him, it is a large contributor to Gross Domestic Product (GDP).

Abubakar disclosed that kenaf powder was useful in oil spill areas and could save the country millions of dollars in ongoing clean-up of Ogoni land.

He said that KEPPMAN members were capable of growing the plant on a large scale across the country with a maturity period of five months.

He solicited government’s support, especially in the area of value chain development, allocation of land for kenaf cultivation and provision of production and processing equipment.