Tobiloba Olagbende, CEO of Witford Nigeria Limited, believes Nigeria’s largely untapped commodity market holds significant potential to address the nation’s economic challenges. In a recent interview, he emphasized that strategic investments and policy reforms could transform the sector into a powerful catalyst for economic revival, creating vast opportunities for millions of Nigerians and extending benefits throughout Africa.
Olagbende noted that agriculture has historically reshaped economies, including Nigeria’s. However, the discovery of crude oil led to a shift in focus, resulting in decreased investments in agriculture, a sector crucial to Nigeria’s foundation. He highlighted that agriculture once funded vital infrastructure and educational institutions, such as the University of Ibadan and Obafemi Awolowo University.
Reiterating the need for a renewed emphasis on agriculture, Olagbende argued that it could boost Nigeria’s foreign exchange earnings and reduce reliance on oil revenues, thereby alleviating pressure on the naira. With global food demand expected to surge over the next 50 years, he views Nigeria—and Africa—as key suppliers to meet the nutritional needs of a growing population. By prioritizing value-added processing and fostering a conducive investment environment, Nigeria could secure a prominent position in the global agricultural market.
Despite this potential, Olagbende acknowledged the challenges young Nigerians face in entering the commodity market, particularly limited access to capital. He encouraged young entrepreneurs to explore trading in region-specific commodities—such as sesame and peanuts in the north, coconuts and cashews in the southwest, and palm oil in the east—which are vital to the local economy and appealing in international markets.
Although Nigeria can produce high-quality commodities, Olagbende pointed out that exporters struggle to meet the stringent quality control standards of international markets. He cited the acceptance of Ghanaian yams in the European Union, contrasting it with restrictions on Nigerian yams. To address this issue, Witford Nigeria is developing a tech-driven platform to connect Nigerian producers with international buyers, aiming to streamline the export process and promote transparency while encouraging greater youth and female participation.
Olagbende also highlighted additional challenges, such as high-interest rates and limited capital availability, which hinder investments in value-added processing—a lucrative but capital-intensive area of the commodity value chain. The need for substantial reserves for off-season storage is compounded by current interest rates, making investments difficult. Furthermore, unpredictable policy shifts create uncertainties that deter long-term investments necessary for transforming the sector.
To overcome these hurdles, Olagbende called for government action to implement favorable policies, including interest rate reductions, to create a more attractive investment climate. He proposed partnerships with foreign companies as a solution for local investors lacking resources for large-scale processing, contingent on a supportive and stable business environment in Nigeria. This strategy could attract foreign investment and facilitate knowledge transfer, enhancing Nigeria’s processing capacity and retaining more value within the country.
Emphasizing the importance of knowledge, partnerships, and resilience, Olagbende advised aspiring entrepreneurs to understand industry trends, build strong alliances, and leverage technology to navigate the complexities of Nigeria’s commodity market successfully.
