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By Uche Usim
Nigeria’s largely untapped commodity market holds immense potential to address the nation’s economic challenges, according to Tobiloba Olagbende, Chief Executive Officer of Witford Nigeria Limited. In a recent interview, Olagbende advocated for strategic investment and policy reforms in the sector, asserting that with the right support, the commodity market could become a powerful catalyst for economic revival, creating vast opportunities for millions of Nigerians and extending benefits across Africa.
Olagbende emphasised that agriculture has always held the power to reshape economies, as it once did for Nigeria.
However, following the discovery of crude oil, the country’s focus shifted and agriculture investments dwindled, causing a decline in one of Nigeria’s most foundational sectors. “Historically, agriculture funded critical infrastructure, educational institutions like the University of Ibadan and Obafemi Awolowo University, and iconic structures such as the Cocoa House,” he noted”.
In light of this, Olagbende believes that a renewed focus on agriculture could boost Nigeria’s foreign exchange earnings, reducing reliance on oil revenues while easing the pressure on the naira. With global food demand expected to soar over the next 50 years, he sees Nigeria—and Africa as a whole—as a crucial supplier to meet the nutritional needs of a rapidly growing world population. By prioritizing value-added processing and creating a conducive investment environment, Olagbende contends, Nigeria could secure a prominent place in the global agricultural market.
However, he acknowledged that barriers persist for young Nigerians aspiring to enter the commodity market, with limited access to capital posing a significant challenge. To bridge this gap, he urged young entrepreneurs to explore trading in region-specific commodities, such as sesame and peanuts in the northern regions, coconuts and cashews in the southwest, and palm oil in the east. These commodities are not only integral to the local economy but also hold substantial appeal in international markets.
Despite Nigeria’s ability to produce high-quality commodities, Olagbende highlighted the challenges Nigerian exporters face in meeting the stringent quality control standards of international markets. For instance, Ghanaian yams are widely accepted in the European Union, whereas Nigerian yams face restrictions. Addressing this disparity, Olagbende shared Witford Nigeria’s initiative to develop a tech-driven platform that connects Nigerian producers with international buyers.
This platform aims to streamline the export process, build trust through transparency, and encourage greater youth and female participation in the export market by simplifying access and promoting accountability.
Yet, challenges extend beyond quality control. Olagbende pointed out that high-interest rates and limited capital availability hinder investments in value-added processing—a segment he describes as one of the most profitable but capital-intensive areas of the commodity value chain. Processing demands substantial reserves, especially for off-season storage, but current interest rates make it challenging for many to pursue such investments. Additionally, unpredictable policy shifts create uncertainties, discouraging long-term investments that could otherwise transform the sector.
To overcome these hurdles, Olagbende called on the government to implement more favorable policies, including interest rate reductions, to foster a more attractive investment landscape. He suggested that for cases where local investors may lack the resources for large-scale processing, partnerships with foreign companies could provide a viable solution, provided Nigeria’s business environment becomes more supportive and stable. By attracting foreign investment and creating opportunities for knowledge transfer, Nigeria could further enhance its processing capacity, capturing greater value within its borders.
Olagbende also emphasised the importance of knowledge, partnerships, and resilience for entrepreneurs aiming to thrive in Nigeria’s complex commodity market. He advised aspiring entrepreneurs to arm themselves with a thorough understanding of industry trends, cultivate strong alliances, and leverage technology to navigate the challenges of the Nigerian business environment successfully.
Olagbende’s vision for Nigeria’s commodity market is one of transformation and growth. He believes that with the right blend of policy support, strategic investment, and innovation, the sector could unlock unprecedented economic potential. This transformation would not only uplift the national economy but also position Nigeria as a leading player in global commodity markets, driving sustainable development, enhancing food security, and creating economic opportunities across the continent.
