July '23 - Sept '23
The rainy season in Nigeria's middle belt generally starts from April and goes on to the end of October. It is the season of heightened harvest and planting due to the absence of irrigation facilities for dry season farming in many parts of the country. As such, agri-rental services revenues take an uptick.
There has been a surge in attention toward agricultural mechanization in West Africa, and private enterprise now leads this narrative about agricultural and rural development in West Africa. "Current and future agricultural mechanization interventions, including projects, programs and policies, cannot repeat the mistakes of the past, where the provision of machinery, equipment and mechanization hire services across Africa was led by the public sector" (Malabo Montpellier Panel, 2018).
Nigeria is the largest cassava producer globally, accounting for about one-fifth (21%) of total production worldwide, so naturally, mechanization efforts are particularly focused on that industry. The cassava industrialization and processing revolution in Nigeria is still at its infancy, and the country hopes new initiatives and grass roots development will increase production, through utilization of industrial tools and processing techniques.
At Abodunde Farms we have a full flour mill with a range of graters, pressing and milling equipment, as well as, other machinery for cassava processing. We had been making our own flour until the COVID pandemic affected our ability to source the raw cassava input effectively. It then made more sense to focus on sourcing the flour. This is when we realized there was a tremendous opportunity to provide Agri-rental services to smallholder farmers and other cassava flour processors in our region.
In rural areas of many developing countries, consumers of farm equipment rental services are typically smallholder farmers within village communities cultivating less than one hectare, or small agriculture food processors. Providers of rental services in this context are primarily farmers who themselves have invested in equipment, both for their own use and because they have identified a potential for selling services to their local markets. This is an area of the agriculture value chain that is growing exponentially in Nigeria.
Femi Abodunde, CEO
We sell a variety wholesale produce at traditional and ancient markets in NW Edo, Southern Kogi, and Abuja. Yellow "eba" garri and Edo red palm oil are our core products.
We are developing several high margin packaged products for retailers which we will list here periodically
500 ml Edo Red Palm Oil
We are a wholesaler that has traditionally served buyers, who then repackage our produce for re- sale at supermarkets. We recently decided to start serving supermarkets directly. This allows us to pass on tremendous margin opportunity to local retailers. For example, our 500 ml edo red palm oil retails at upto N1500 in various urban supermarkets. We offer it wholesale to retailers at an introductory price of N1000.
QUALITY, FRESHNESS & TASTE
A natural, unmixed, cold pressed palm oil product produced in Edo State. Hygienically packed and sealed at source to lock in freshness and taste.
Food Prices Explained
The prices of agricultural futures depend on a number of external factors – and these prices ultimately impact what consumers pay for food.
Political unrest can disrupt productivity, impacting supply and commodity pricing.
Diminished or increased international production, or harvests, will drive global food prices.
International Trade Relationships
Government policies to support domestic production, can reduce international competition, limit supplies and impact prices.
Diseases can cause shortages in grains, which reduce food supply, resulting in lower demand.
Strength of U.S. dollar relative to other currencies means producers often need to adjust prices based on production costs in local currency.
High oil prices can drive up the costs of bringing food to market and these costs are passed along to consumers. Transportation shortages can also raise prices.
Planted & Harvested Acreage
Farmland is being lost at an alarming rate due to farmer exploitation and other factors. When farmers plant on limited acres, pricing is affected.