One of the most lucrative businesses you can dabble into currently is the export business in Nigeria. The reason is kind of obvious, don’t you think? Nigeria is blessed with a lot of commodities that are of value in other parts of the world. Also, owing to the fact that the Federal Government of Nigeria is now looking to diversify the economy from Oil exploration to other sectors like Agriculture, mining of resources etc.
The point is, you will always get jobs as an Export Merchant in Nigeria and you are about to learn how.
Possible Doubts of a Prospective Export Merchant in Nigeria
As a prospective Export Merchant in Nigeria, you may be faced with some crucial questions about the business such as:
- What are the requirements of Nigerian law concerning the business?
- How can I begin exportation business in Nigeria?
- What products to supply?
- How to package the product?
- How can I get the necessary help I need?
You should not allow these factors to discourage you. In fact, do not doubt your success, you are up to the task. In this article, I am going to give you some guidelines on how to successfully set up an Export business in Nigeria.
What you need to know about Export Business in Nigeria
1. Routes for Goods Delivery in Nigeria
There are several routes through which you could export goods from Nigeria to other countries of the world. You could export by air or by sea. Exporting by sea takes more time compared with the air route, it all depends on the distance of the country from Nigeria.
You will require the services of a Forwarding Agent to help you with the shipping and doing of the necessary registrations at the right authorities before forwarding the goods to its destination.
2. Export Business Seaport and Airport in Nigeria
The Nigerian seaports are popularly known as the export business. It is the most popular route for exporting goods out of Nigeria. However, you can choose to export goods by air. Some airports are known for this too.
The thing is to understand which airports are federal and which are the state airports. Why? you ask? Most Federal airports are international airports. As such, they transport people and goods from Nigeria to other countries, and from other countries back to Nigeria.
Some of these airports include:
- Port Harcourt International Airport, Port Harcourt;
- Nnamdi Azikiwe International Airport, Abuja;
- Murtala Muhammed International Airport, Ikeja, Lagos;
- Akanu Ibiam International Airport, Enugu
- Mallam Aminu Kano International Airport, Kano.
You may also choose to export using the regular seaport. There is one in Apapa, Lagos State.
How Profitable is the Exportation Business in Nigeria
You may be wondering what you stand to gain and the profit you are likely to make if you start the business. The good news is that you only get to send the goods to countries where it is needed based on the price you agreed on with your clients. A bonus is the fact that the amount you get to sell those products will be way higher than that of the local price.
Products and Goods You Can Export in Nigeria
The country is so blessed with several items, non-agricultural goods, raw or processed agricultural goods you can export out of the country. It is, however, an obligation to do well and know those products that the Nigerian government approves of.
As a matter of fact, most of the items the government allows to be exported are Agricultural products. So, if what you have in mind is to deal in the exportation of agricultural products, you have more chances of succeeding in the export business in Nigeria.
This does not change the fact that you can also export non-agricultural products out of the country.
These are some of the items you can export from Nigeria:
- Palm kernel
- Sesame Seed
- Fruit juice
- Snail or Snail shell
- Cashew Nuts
The rate at which each of the items listed is demanded by other countries depends on the receiving country. The purposes of each item also differ as some are used mainly for consumption while others are employed for special purposes.
For example, charcoal has a high demand in African countries. That means if your wish is to export charcoal your target market should be those African countries that need charcoal.
Some other items are needed not only in African countries but outside Africa too, especially the medicinal goods. Example of such medicinal goods includes garlic and ginger.
The key is to study your target recipient countries and know what they need. Pay attention to how the demand for these products varies based on country.
Things to note before Exporting to a Country
You will need to do some research on the demanding taste of your target country. This will give you an insight into what kind of item to export to such country. It will also help you to know their requirements for the kind of quality and quantity of the item they want.
Different countries have their taste and requirement for items that enters their shore. Do well to browse the internet on what the country deems as ‘quality product’.
The first step to take after you are done securing your target country and their taste for quality is to secure a good sum of money to start your exporting business in Nigeria. Especially if you wish to start as a wholesaler. This is due to the fact that the goods you want to export may be bulky. What determines the capital will be based on how much you have and the quantity of the goods you wish to export.
Apart from the money, you also need to find a way to package your items. The package is always more expensive than that of the local ones. The reason is that for your items to be allowed to leave the shore of the country to another, it must be well packaged.
2. Employing Staff
This is not a job you can do alone, you need persons to help you produce, package, and move the items. Ensure to employ people with adequate knowledge of the business.
3. Advertise your Business
You can advertise your business on Radio Stations, Television, Newspapers, Social Media, etc. The aim is to call in more clients, i.e. people around the world to show interest and need your services.
As the world is becoming a global village, the exporting business and transactions can now be done online. It is advisable that you have a website or an online portal. That way, people from all around the world can easily know the items you have and the duration of time it will take you to deliver such goods to them. Export business in Nigeria is lucrative. You just must understand the basics of it.