US corn seeks out opportunities in African market
Corn and sorghum producers have a new potential export market in Nigeria, West Africa, according to US Grains Council.
Africa's most populous nation lifted its import ban on corn and sorghum, allowing the two products to enter the country at a 5 percent tariff rate, according to a report released by USDA's FAS. (September 24, 2008)
US Grains Council (USGC) Director of the Mediterranean and Africa, Kurt Shultz, said that the recent lifting of the ban creates numerous opportunities for US producers and exporters.
According to USDA representative in Nigeria, the poultry industry uses approximately 900,000 tonnes (35.4 million bushels) of corn annually.
Domestic poultry operators have expressed interest in importing US supplies and as corn prices increased this year, the Poultry Association of Nigeria lobbied the government to overturn the import ban, according to FAS report.
There is great potential in this market for US corn producers. Even though Nigeria's corn producing area is expanding, production costs remain high as nearly all corn is planted and harvested by hand, Mr Shultz adds.