CASSAVA STUDY

The Nigerian Cassava Production System

The Nigerian cassava system, characterized by small-scale farmers/holdings cultivating less than 2 hectares of cassava (average of 0.5 ha), is subsistent in nature, primarily cultivated for the traditional food market, and not oriented to the industrial market. Any surplus cassava is either processed on the farm, or sold to local processors. The average production figures per hectare in Nigeria were 10.5 MT/Ha in the early 1970s, 11.5 MT/Ha in the 1980s, 10.5 MT/Ha by the end of 1980s, and 11.5 MT/Ha in the 1990s and up to 17.3 MT/Ha in Ondo in 2004 (Table 2.1).

The Average Production Figures Per State in Nigeria (2004)

State Benue Kogi Enugu Imo Cross River Kaduna Rivers Ondo Ogun Oyo Osun Akwa-Ibom Delta Ekiti Annual HA Planted (x1000) 261.1 184 186.5 156.5 177.5 206 167.5 73.2 75.7 121 66 117.8 70 41.2 Annual MT Produced (x1000) 3551 2605 2085 2052 1958 1835 1735 1267 1178 1019 915 893 811 651 Mean Yield (MT/HA) 13. 14.2 11.2 13.1 11 8.9 10.4 17.3 15.6 8.4 13.9 7.6 11.6 15.8 Rank 1 2 3 4 5 6 7 8 9 10 11 12 13 14

State Anambra Edo Niger Bayelsa Ebonyi Kwara Plateau Lagos Abia Nassarawa Taraba

Annual HA Planted (x1000) 53 45 73.5 30 29 30 26.9 25.1 15.7 25 12

Annual MT Produced (x1000) 627 545 535 459 435 425 345 300 265 248 111

Mean Yield (MT/HA) 11.8 12.1 7.3 15.3 15 14.2 12.8 12 16.9 9.9 9.3

Rank 15 16 17 18 19 20 21 22 23 24 25

Source: PCU Abuja 2002; ICP-IITA Ibadan, 2004

The Nigerian Cassava Industry

Cassava in Nigeria is currently used for two main purposes: 90% as human food and only 5-10% as secondary industrial material (used mostly as animal feed). About 10% of Nigerias industrial demand consists of HQCF used in biscuits and confectioneries, dextrin pregelled starch for adhesives, starch and hydrolysates for pharmaceuticals produces and as seasonings. 70% of cassava processed as human food is gari. Other common cassava productshuman foods are lafun and fufu/Akpu. Processed products can be classified into primary and secondary products. The former, e.g., gari, fufu, starch, chips, pellets are primary products which are obtained directly from raw cassava roots, while the latter are obtained from the further processing of primary products. Primary Products from Cassava Four primary industrial products from cassava stand out as important for Nigeria. These are (a) cassava flour, (b) crude ethanol, (c) native starch, and (d) animal feed/cassava chips and pellets and are discussed below. These products are commonly traded and show the highest potential for growth in demand, and are associated with medium and large scale processing. The Enterprise Analysis for the development of processing plants for each of these sub-sectors is presented in Annex I.

A SWOT ANALYSIS OF THE NIGERIAN CASSAVA INDUSTRY

STRENGTHS The Nigerian cassava industry has strengths namely: Domestic Demand: The presence of a huge domestic market is her greatest strength. Climate: Her climate is excellent for growing cassava. Suitable land: Even on marginal soils, cassava thrives and grows in every state within Nigeria. Nigeria has abundant suitable cassava cultivation lands, much more than the approximately 3 million hectares currently under cassava. Familiarity with Cassava Cultivation: With cassava the main food staple in Nigeria, farmers are very familiar with its cultivation. Presence of R&D Institutions: Nigeria has a core of well-informed and competent cassava scientists, furthered by the IITA and NRCRI in Nigeria. High Yielding Varieties: Thanks to the work by IITA and NRCRI researchers, high yielding cassava varieties are available for multiplication and adoption.

WEAKNESSES The major constraints identified as affecting the production of cassava in Nigeria are: Land Tenure: Insecure land tenure may hamper the development of large-scale mechanized farming. Fragmentation of Cassava Farms: The ineffective Land Tenure system makes access adequate large farmland difficult, and in turn prevents large mechanized cultivation. Non-Mechanized Cassava Production, Harvesting, Processing and Preservation: Apart from a few hired tractors, cassava farming is generally done with crude farm implements. These constraints in planting and harvesting are, according to Nweke (2004), caused by the cost of mechanized machinery processing (peelers and dryers), resulting in low quality end products. Low Yields and Low Starch Content of Common Cassava Varieties: The current cassava production yield is not high enough to compete with other crops within Nigeria (e.g. maize), or with cassava products from other countries (e.g. Thailand). Poor Infrastructures: Infrastructure weaknesses throughout the country and in particular in rural areas adversely affect the cassava industry. The roads are bad and transportation costs of moving the cassava is high. Electricity and water are in short supply and communication links are also very poor. High Transportation Costs: Cassava is highly perishable with a shelf life of 2-3 days. Once harvested, it must be either consumed immediately or processed into more stable product forms. Urgent transportation needs mean higher transportation costs. In view of its limited shelf life, cassava processing should occur close to the production areas. Fluctuation in Market Prices: With informal marketing channels and poor information flow, cassava farmers are often unable to process the harvested roots and sell these at very low prices to middlemen who can reach the processors. Additionally, the supply of cassava greatly influences market prices - When cassava is scarce and the prices high, farmers increase production. The subsequent oversupply then lowers the market price and farmers plant less cassava, which results in fluctuating price cycles of approximately two to three years (Nweke et al, 1994; Ezedinma et al, 2005a). High Raw Material Costs: Inputs and other expenses make the cost of fresh cassava roots expensive and uncompetitive against competing countries. High Inputs Costs: High transportation costs increases the cost of fertilizers and other inputs. High Energy Costs: Poor public utilities like electricity, mean reliance on generator and diesel, increasing the total energy costs. Lack of Social Capital: Relationships within the Nigerian society are usually characterized by distrust. This short- term perspective often impedes lasting business relationships.

OPPORTUNITIES Government Policy: The present Governments protective duties on competing cassava imports and the mandated 10% use of cassava flour create an enabling cassava industry. Urbanization creates a demand for value added cassava products in the internal markets, especially in the bakery industries following the mandatory 10% inclusion of high quality cassava flour. Regional Markets: Seasonal opportunities exist in the regional markets for staple quality food products. By-products: Markets for by-products and wastes create opportunities for more integrated cassava systems. Production of Modified Starches: Processing starch into high value modified starches such as dextrin, offers further opportunities for domestic substitution and will position Nigeria as a key supplier in the regional market. Lowering Cassava Prices: Lower cassava tuber costs mean lower cost of food in Nigeria. The added benefit is that it makes the cassava industry more competitive. Rural Employment: In view of the high transportation costs and the limited shelf life, initial cassava processing should occur near production areas, and along with the expected employment opportunities in the petroleum business following the introduction of E10, will improve rural employment. Vertical Integration: New organizational arrangements within the food chain (e.g. clustering system, sales of intermediate cassava products to medium & large scale drying centers) offer opportunities for smaller farmers/processors to link to growth markets. Economies of Scale: Business opportunities exist for improved transportation services that take advantage of growing internal and regional trade in cassava products. Technology Development: Building a strong cassava processing industry will stimulate technology development. Savings in Foreign Exchange: Import substitution will reduce imports of products such as cornstarch and wheat flour, and will reduce the need to buy foreign exchange.

THREATS Smuggling: Building a strong industrial cassava sector requires at least a temporary set of tariffs on competing products. Such tariffs are only effective if smuggling will be prevented. A similar situation exists in the textile sector. Globalization of the International Market: Nigeria cassava products will face competition through increased imports of competitively priced cassava products. Temporary Gluts: A glut occurs when the prices are so low that farmers choose not to harvest their roots. It is generally a location specific problem that fuels price fluctuations. Unpredictable Changes in Government Policy: Through adequate governmental policies, cassava postharvest capacity can be developed. Should the reverse occur or following inconsistent implementation and lack of transparency, the industry will remain ineffective. HIV/AIDS: While HIV/AIDS is not yet a major problem in the country, the threat for the immediate future is likely to affect the availability of labor. Domestic Maize Prices: Domestic maize competes with cassava, as many industrial cassava products can also be made from maize. Pastoralist Clash: Clashes between cassava farmers and trespassing pastoralists may affect the supply of fresh roots. Poaching on Cassava Farms: Inadequate farm security results in theft. Corruption: Extortion and unnecessary roadblock delays increase the cost of doing business, as the drivers give bribes to avoid the cassava spoiling on route.

CASSAVA PROCESSING
In spite of its economic weakness, Sub-Saharan Africa is now developing small-scale, low cost cassava processing technologies that enable farmers produce high quality cassava-based staple foods. These technologies allow farmers add value to a perceived famine reserve crop by producing a higher quality product, allowing them expand sales in their existing markets and the creation of new market opportunities. Conversely, in Asia and Latin America, the industry employ state of the art processing technologies for their industrial production of starch, ethanol, cassava flour and animal feed (cassava pellets). These regions have also developed a viable subcontract processing market where large farms employ smaller firms normally at the farm gate level, to provide them with intermediary products like cassava chips.

A Simplified Example of the Cassava Value Chain

PROCESSING
RAW MATERIAL PRIMARY PROCESSING Traditional African Food Processing (Grating, Pressing, Sieving, Cooking) Flour Production
(Chipping, Drying, Milling)

SECONDARY PROCESSING

MARKET Garri, Lafun, fufu

Bakery and confectionary baking Pellets Extrusion

Bread, candies, cakes, ice cream Animal feed

CASSAVA FRESH ROOTS

Chips Production (Chipping, Drying) Crude Ethanol Production (Liquefaction,

Saccharification, Fermentation, Distillation)

Distilleries Final Distillation

Fuel ethanol other industry Beverages, pharm industry

Native Starch Production (filtering,

settling, starch washing, drying, milling)

Processed Foods Bullions Textile Industry Pharmaceuticals Dextrin Paper & Wood Other modified Starches

Soups, sauces, sausages Garment Pills, capsules & syrups Furniture Other industries

Nigerian cassava production is by far the largest in the world; a third more than production in Brazil and almost double the production of Indonesia and Thailand.

The Food and Agriculture Organization of the United Nations (FAO) in Rome (FAO, 2004a) estimated 2002 cassava production in Nigeria to be approximately 34 million tonnes. Comparing the output of various crops in Nigeria, cassava production ranks first, followed by yam production at 27 million tonnes in 2002, sorghum at 7 million tonnes, millet at 6 million tonnes and rice at 5 million tonnes (FAO, 2004a).

Nigeria: Leading World Producers of Cassava

Source: Cassava Industrial Revolution In Nigeria FAO 2004

 By zone, the North Central zone produced over 7 million tonnes of cassava a year (1999 to 2002). South South produces over 6 million tonnes a year while the South West and South East produce just less than 6 million tonnes a year. The North West and North East are small by comparison at 2 and 0.14 million tonnes respectively (Table in next slide). On a per capita basis, North Central is the highest producing state at .72 tonnes/per person in 2002, followed by South East (.56), South South (.47), South West (.34), North West (.10) and North East (.01). National per capita production of cassava is .32 tonne/per person. Benue and Kogi state in the North Central Zone are the largest producers of cassava (IITA, 2004). Cross River, Akwa Ibom, Rivers and Delta dominate state cassava production in the South South. Ogun, Ondo and Oyo dominate in the South West and Enugu and Imo dominate production in the South East. Kaduna alone in the North West is comparable in output to many of the states in the southern regions at almost 2 million tonnes a year with very little currently produced, in the North East.

Cassava Area by Region 1999-2002 (HA)

Region South West South South South East North West North Central North East Total 1999
5,846,320 6,609,290 5,852,190 2,572,410 7,625,990 179,900 28,686,100

2000
4,993,380 6,268,114 5,384,130 2,435,211 7,116,920 165,344 26,363,099

2001
5,663,614 6,533,944 5,542,412 2,395,543 7,243,970 141,533 27,521,016

2002
5,883,805 6,321,674 5,846,310 2,340,000 7,405,640 140,620 27,938,049

Source: (PCU 2003)

Average Cassava Yield by Region and Year (MT/HA)

Region South West South South South East North West North Central North East Average

1999 13.59 11.35 14.03 2.77 11.80 4.19 9.17

2000 13.48 11.13 13.66 2.91 12.38 4.92 9.33

2001 14.14 11.54 13.59 2.95 12.36 4.72 9.45

2002 13.93 11.44 13.95 2.82 12.58 4.83 9.49

ESTIMATED AREA PLANTED WITH MAJOR CROPS IN NIGERIA, 2003/2004 2007/2008

'000 Hectare

Crops Millet Guinea Corn /Sorghum Groundnuts Beans Yams Cotton Maize Cassava Rice Melon Cocoyam Oil palm tree

2003/04 3,832.76 3,952.81 2,158.15 2,154.72 2,084.72 285.45 3,134.66 2,499.80 1,389.13 494.50 288.74 -

2004/05 3,835.58 3,956.71 2,152.96 2,153.51 2,060.80 307.37 3,209.20 2,570.25 1,454.57 532.52 296.81 -

2005/06 4,428.18 4,597.56 2,265.30 2,153.49 2,165.75 301.43 3,791.95 2,790.00 1,590.37 530.65 315.47 -

2006/07 4,270.00 4,578.00 1,666.00 3,098.00 1,696.00 222.00 4,670.00 2,659.00 1,526.00 200.00 513.00 -

2007/08 3,827.61 4,113.68 2,336.40 2,364.89 2,651.03 261.80 3,175.92 2,983.60 1,680.76 503.91 421.86 1,165.80

Source: National Bureau of Statistics

ESTIMATED YIELD PER HECTARE OF MAJOR CROPS IN NIGERIA, 2003/2004 2007/2008

/Kilogramme Crops Millet Guinea Corn Groundnuts Beans Yams Cotton Maize Cassava Rice Melon Cocoyam Palm Fruits 2003/04 1,104.4 1,177.2 1,083.5 688.1 12,596.9 1,426.3 1,656.0 12,268.3 2,145.7 718.6 6,505.7 2004/05 1,101.7 1,148.8 1,218.0 698.3 11,905.4 1,497.4 1,713.5 12,456.1 2,188.5 592.6 7,260.4 2005/06 1,190.8 1,248.3 1,259.3 905.5 11,870.0 1,616.2 1,686.4 12,765.1 2,042.0 674.0 7,038.1 2006/07 1,391.0 1,414.0 1,838.0 1,217.0 16,675.0 2,324.0 1,504.0 14,310.0 2,184.0 1,855.0 4,327.0 2007/08 1,141 1,269 1,230 887 10,264 17,106 2,870 11,133 2,005 750 6,670 908

ESTIMATED OUTPUT OF MAJOR AGRICULTURAL CROPS IN NIGERIA, 2003/2004 2007/2008

'000 Metric Tonnes Crops Millet Guinea Corn Groundnuts Beans Yams Cotton Maize Cassava Rice Melon Cocoyam Palm fruits 2003/04 4,232.77 4,653.10 2,338.34 1,482.71 26,261.08 407.15 5,190.94 30,668.19 2,980.57 352.53 1,878.47 2004/05 4,226.78 4,545.30 2,621.66 1,503.88 24,534.60 460.25 5,498.89 32,015.39 3,183.39 315.55 2,154.97 2005/06 5,273.05 5,739.20 2,852.73 1,950.07 25,707.45 487.18 6,394.78 35,614.05 3,247.52 357.65 2,220.32 2006/07 5,940.00 6,474.00 3,062.00 3,770.00 28,280.00 516.00 7,023.00 38,041.00 3,333.00 371.00 2,220.00 2007/08 4,367.80 5,218.40 2,872.74 2,096.76 27,211.07 4,478.28 9,113.711 33,216.39 3,369.70 377.95 2,814.14 1,057.97

Nigerian Map of Staple Food Production 2002

Source: (PCU 2003) and (Geo Spatial Laboratory )

Nigerian Map of Cassava Yield 2002 (MT/HA)

Source: (PCU 2003) and (Geo Spatial Laboratory )

Common Nigerian Cassava Products

ABACHA
Abacha is a product commonly produced in parts of south-eastern Nigeria but is rare elsewhere. The production involves boiling roots that are cut into small flat pieces. The sliced pieces are soaked overnight to make wet abacha, or sun-dried for the dried form.

CHIPS
Chips are dried small regular shaped cassava product.

FLOUR
There are many processes used for producing cassava flour. They may involve all or some of the following unit operations- peeling of the roots (day of harvesting), washing, slicing or grating, pressing (immediately), Granulation, drying (sun or mechanical), milling, sieving, and storage. The flours produced have different properties and are used for various purposes.

FUFU Fufu is a fermented wet-paste from cassava and it is ranked next to garri as an indigenous food of most Nigerians in the South. The fermented cassava paste remained a common source of producing the cooked form of fufu until lately when the idea of dried fufu flour came into being. Apart from ease of preparation into the consumable form, dried fufu has the added advantages of having longer shelf life, convenience of storage and less bulky. When cooked, fufu is creamy/white smooth textured product. It is eaten as a main meal with soup or stew. When properly stored it has a shelf life of six months or more. GARRI Garri is a creamy-white, granular flour with a slightly fermented flavor and slightly sour taste. It is produced from cassava roots and eaten as a main meal with soup or stew. It is consumed as a drink with sugar and milk. When properly stored it has a shelf life of six months or more.
PELLETS

Production of pellets involves pressing chips, in an extruder, through a large die. The heat and moisture in chips helps in the formulation of a pellet shaped product.

Per capita Consumption of cassava (gram/person/day)

National Dry Savana1 Moist Savanna Humid Forest Zone Rural Medium Urban Nassarawa Taraba Borno Kaduna Kebbi Kano Osun Edo Kwara Imo Bayelsa Akwa Ibom
Source: (Ministry of Health )

226.93 131.16 192.37 284.42 239.74 220.53 213.76 136.13 168.59 56.47 123.16 148.16 162.06 136.43 166.91 324.17 345.50 356.13 409.15