FG Targets $5bn from Non-oil Revenue in 2023

*Nets $1.34 billion in first quarter 

*Begins disbursement of N308.45bn promissory notes to 199 exporting companies

James Emejo in Abuja

The Executive Director/Chief Executive, Nigerian Export Promotion Council (NEPC), Dr. Ezra Yakusak, yesterday said the council has set a target to generate over $5 billion from non-oil export in 2023.

The NEPC boss also disclosed that the country’s non-oil products export amounted to $1.34 billion in the first quarter of the year (Q1 2023), representing an increase of 8.50 per cent over the $1.24 billion recorded in the corresponding quarter of 2022.
The sector recorded $4.82 billion in non-oil export earnings last year, which represented an increase of 39.91 per cent compared to 2021, and the highest value of export recorded since the council was established 47 years ago.

Speaking at the presentation of the report on the non-oil export performance and activities of the council for the first quarter of 2023, Yakusak said, “I am optimistic that with the several export intervention programmes and projects that we have started and ongoing, the expected performance of the sector in 2023 will likely surpass that of 2022.”
He also disclosed that the disbursement of N308.45billion worth of promissory notes to 199 exporting companies under the Export Expansion Grant (EEG) Scheme had commenced.

He explained that out of the total sum, N193.45 billion was approved for 133 beneficiaries of the scheme in respect of EEG outstanding claims for the period of 2017 to 2020 while N108.31 billion was approved for 35 beneficiaries in respect of EEG backlogs of claims for the period of 2007 to 2016 respectively.
The NEPC chief executive also stated that the sum of N68, 389, 000.00 was approved for 13 beneficiaries in respect of stocks of outstanding Negotiable Duty Credit Certificates (NDCC), while N6.61 billion was approved for 69 beneficiaries in respect of the shortfall in the approved claims by the 8th National Assembly.
He, however, pointed out that the council was still awaiting the approval and release of the sum of N60.63 billion being the EEG claims for 34 beneficiary companies from the National Assembly.

Nevertheless, he said the year 2022 result lends credence to the fact that several export intervention programmes initiated and executed by the council did not only meet the expectations of NEPC but also that of stakeholders in the sector as well.
He said these export intervention programmes had significantly contributed to the exponential growth in not just the volume but the value of exportable products from Nigeria, despite the harsh operating business environment which was partly precipitated by the COVID-19 pandemic and the global economic recession between the year 2020 and 2021.

Specifically, he noted that the Export4Survival initiative which he launched on assumption of office had “gradually awakened the consciousness of most Nigerians on the need to imbibe an export culture as the credible alternative for our survival as a people given the high potential of the sector to create employment, alleviate poverty, enhance economic growth and industrial development as well as boost the country’s foreign exchange earnings.”
Providing a breakdown, of the non-oil export performance for Q1, he said 167 products were exported ranging from manufactured, semi-processed, solid minerals and raw agricultural commodities.

He added that similar to 2022, the first quarter also showed that Nigerian products are gradually shifting from the traditional export of raw agricultural commodities to the export of semi-processed and manufactured goods.  

According to him, of the top 10 products exported, Urea, Cocoa Beans, Sesame Seed, Soya Beans/meal and Cashew nuts/kernels were the top five, adding that a total of 618, 184.06 metric tonnes of products worth $75.829 million were exported to 12 ECOWAS countries in the period under review, representing a 15.6 per cent increase over Q1 2022. Yakusak among other things said in a bid to harness and optimize the potential in the non-oil export sector, plans are underway to launch the “Export 774’’ programme whose objective is to identify exportable products in the 774 local government areas in Nigeria, with a view to harnessing them for exports.

He also said apart from the One State One Product (OSOP) programme, Export 774 was inspired by the huge success recorded in the export of Nigerian products to foreign countries in 2022.
He added, “The overall target of this programme is to further identify the products in all the 774 local governments in Nigeria, create awareness of their potential and showcase the specific places where they can be sourced.”

He also spoke on the planned introduction of “Export Promotion” as a course of study in Nigerian universities’ curriculum.
He said, “I am delighted to inform you that the NEPC in collaboration with the Nigerian Universities Commission (NUC) has commenced consultations towards the introduction of Export Promotion as a course of study in our nation’s Universities as part of her Export for Survival Campaign.

“This intervention is propelled by the need to inculcate basic exporting knowledge and skills to Nigerians in various tertiary institutions. The course when introduced to identified universities, has the potential of making the young graduands become employers of labour and therefore self-reliant.
“This initiative will be better appreciated years later when these universities begin to graduate a pool of skilled exporters that would occupy the non-oil export space,  ensure  the diversification of our products and generate the desired foreign exchange.”