1 / 37

AUGUST 2016

OPPORTUNITIES AND CHALLENGES IN NON-OIL EXPORTS By NIGERIAN EXPORT PROMOTION COUNCIL AT A-Z SME NETWORK EXPORT FORUM DATE: 9 TH AUGUST 2016 VENUE: PATAYA RESTAURANT, 30 ADEOLA HOPEWELL ST. LAGOS STATE TIME: 9AM TO 12NOON PM. AUGUST 2016. OUTLINE. Export Regulatory Framework/ Policy Guidelines

marvene
Download Presentation

AUGUST 2016

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. OPPORTUNITIES AND CHALLENGES IN NON-OIL EXPORTSByNIGERIAN EXPORT PROMOTION COUNCILAT A-Z SME NETWORK EXPORT FORUMDATE: 9TH AUGUST 2016VENUE: PATAYA RESTAURANT, 30 ADEOLA HOPEWELL ST. LAGOS STATETIME: 9AM TO 12NOON PM AUGUST 2016

  2. OUTLINE • Export Regulatory Framework/ Policy Guidelines • Incentives and Opportunities for Exporters • Funding Opportunities for SMEs in Export Business • Market Opportunities/Destinations • Government Prohibitions. • NEPC Strategy at expanding export opportunities/Intervention Projects • Concluding Remarks • Conclusion

  3. The Nigerian Export Promotion Council (NEPC) as a Federal Government Agency, was established by Decree 26 of 1976 with subsequent amendments in 1986 and 1992 to perform the following key functions: • Promote the development and diversification of Nigeria’s export trade. • Assist in promoting the development of export-oriented industries. • Play a leading role in the creation of export incentives to support the export sector • To actively articulate and to promote the implementation of export policies and programmes of the Nigerian Government

  4. VISION:To Make The World A Market Place • For Nigerian Non-oil Products . • MISSION:To Spearhead The Diversification Of • The Nigerian Economy By Expanding • And Increasing Non-oil Exports For • Sustainable And Inclusive Economic • Growth • In both the Vision and Mission statements of NEPC, the expected role of development and promotion of non-oil exports are clearly stated.

  5. OTHER RELEVANT INSTITUTION CREATED BY THE FEDERAL GOVERNMENT TO FOSTER TRADE IN NIGERIA. • RMRDC • NEPZA • NEXIM • SMEDAN

  6. WHAT IS EXPORT TRADE? • Export trade is simply exchange of goods and services or a combination of both between two businessmen in different countries

  7. WHO IS AN EXPORTER? • An Exporter is one who engages in the trade of goods and services with buyer(s) in a foreign market. Exporters are classified as follows;- • (a) Export Agent/Broker • (b) Export Merchant • (c) Manufacturing Exporter

  8. WHY DO WE EXPORT? • To earn foreign exchange • To increase profit levels • To gain access to bigger markets • To gain access to more developed technology and enhance quality of production • To reap economies of large scale production

  9. EXPORT REGULATORY FRAMEWORK/ POLICY GUIDELINES EXPORT GUIDELINES • Registration with Nigerian Export Promotion Council (NEPC). • All exports be subjected to inspection by Inspection Agents appointed for that purpose by Federal Government of Nigeria. • Exporter shall Obtain a Nigeria Export Proceeds Form (NXP Form) from his/her Bankers. • The Exporter shall complete the NXP Form in sextuplicate, and submit it to his Bankers along with a contract of sales or pro-forma invoice, and details of how the proceeds are to be remitted for each export transaction. • The Inspection Agents shall ensure the quality, quantity and the true value of the goods to be exported to the consignee and shall, if satisfied, issue a Clean Certificate of Inspection (CCI) in respect of such goods.

  10. EXPORT GUIDELINES • Exporters shall open a domiciliary account with any bank in Nigeria. • Payment of Nigeria Export Supervision Scheme (NESS) Administrative charge of 0.5% FOB value of the intended non –oil export. • Evidence of quality inspection and certification by the Federal Produce Inspection Service (EPIS) or by relevant government Agent. • Submission by the exporter certified true copies of the Clean Certificate of Inspection from the NESS Inspection Agents. . • Repatriation of Export Proceed. • The Commercial Bank shall also notify the Central Bank of Nigeria (CBN) of the repatriated amount against the NXP form filled by the exporter.

  11. REQUIREMENTS FOR REGISTRATION AS EXPORTER • Limited liability, Co-operative societies, NGO, and Govt Agencies. • Obtain Registration Form N1000, Processing Fee-N10,000 • On-line registration N13,500, On-line registration and profiling; N36,000 • Replacement for loss of certificate N10,000, Renewal fees N5000 • (A ) LIMITED LIABILITY • Certificate of Incorporation • Certified true copy of Memorandum & Articles of Association • Certified true copy of Form CO7 • Company Rubber Stamp/Seal. (B)CO-OPERATIVE SOCIETIES • Certificate of Registration • Bye-Laws • Co-operative Rubber Stamp/Seal. ( C ) GOVERNMENT & NON-GOVERNMENT ORGANIZATIONS • Certificate of Registration by CAC. • Articles of Association. • Law establishing the agency in the case of government organization. • Rubber Stamp/Seal. • Original documents to be presented for sighting.

  12. RENEWAL OF EXPORTER’S CERTIFICATE • The certificate has no limited life span except by default. It must however be revalidated every “ two year”. An exporter must produce evidence of revalidation on demand. • Any company that fails to revalidate its registration six (6) months after shall be required to register afresh or pay fine unless acceptable reason(s) are given for the delay. • REQUIREMENTS FOR RENEWAL • Application for renewal written on the company’s letter headed paper should be addressed to the NEPC office nearest to you. • Original of the Exporter’s Registration Certificate • Certified True Copy of Form CO7 (Particulars of Directors) in case of Limited Liability Company (Original for Sighting )

  13. OPPORTUNITIES IN NON-OIL EXPORT • Some products and services that can be exported from Nigeria are: • Commodities- • Leather, Cashew, Charcoal, Cocoa, rubber, Gum Arabic, Soya Beans, Spices, Coffee, Shea-nuts, Cotton, Chilies and so on • Manufactured: • Pharmaceuticals, Wood products, Fruit juices, Electrical wires, Palm kernel oil, Detergents, Plastics, etc. • Solid Minerals: • Copper, Lead, Kaolin, Iron, Precious Stones and so on. • Services • Music, tourism, movies, ICT, Professional Services, consultants, training, translators, cooks, hairdressers, designers so on.

  14. STEPS IN EXPORTING • Prepare an export plan • Decide on the product or service to export • Register as an exporter-NEPC for N13,500 or N36,000 • Identify buyers, negotiate trade terms (cost, payment, price, etc), design export contract • Secure certifications(NAFDAC,SON, QUARANTINE) • Secure export finance • Procure products, package, label etc.

  15. STEPS IN EXPORTING-cont’d • Open a domiciliary A/C-commercial bank, fill Nigerian Export Proceeds(NXP)Form • COBALT will carry out Inspection of product and issue the CCI • Complete Single Goods Declaration Form---Nigerian Customs Service • Forward the product -sea, air, land • Repatriate export proceeds—collect evidence from bank • Fill out Export Expansion Grant Form-NEPC (Optional)

  16. TRANSPORTATION SYSTEM/SHIPPING: LOGISTICS Transportation component is an important part of the export process

  17. EXPORT WAREHOUSE CONTAINER STUFFING FINAL INSPECTION AT THE PORT BEFORE SHIP LOADING SHIP LOADING AFTER INSPECTION

  18. FINANCIAL INCENTIVES AVAILABLE TO EXPORTERS • Nigeria Export Import (NEXIM) Bank ): provides export credit and guarantee facilities similar to those provided by the Export Finance Company in Ghana. • NEPC-Export Development Fund (EDF): provides assistance to private sector exporting companies to cover part of their export promotion activities. These include the following:- • Participation in training courses, symposia, seminars and workshops in all aspects of export promotion • Advertising research and studies • Export research and studies • Product design and consultancy • Participating in trade missions, overseas trade fairs, exhibitions and promotion • Cost of collecting trade information • Backing up the development of export oriented industries

  19. EXPORT FRIENDLY COUNTRIES/DESTINATIONS • Europe: Commodities, processed wood ,charcoal, processed Shrimps, Seafood, vegetable, Chilies, Nuts, horns & tips, coffee, Gum Arabic. • USA: Ginger, seafood, processed food, Rubber . • Asia: Charcoal, Cashew nuts, Horns & Tips • Africa Confectionaries, Plastics, Bathroom Slippers, Biscuits ,juices, milk products, Pharmaceutical. • Middle East: Sesame seed, Copper Ingot , Ginger

  20. EMERGING PRODUCTS & DESTINATIONS

  21. NON-OIL EXPORT TO TOP 10 DESTINATIONS, 2014. Export Business...Tomorrow's Business

  22. PACKAGING OF BANANA AT ILAWE IN EKITI STATE PACKAGING OF BANANA IN CAMEROUN

  23. Export ready pineapples from San Carlos farm in ENUGU

  24. Packaging Designed by NEPC for Yam Export

  25. Packaging of Dry Fish at ABUAD Fish Processing Centre.

  26. Packaging of Cocoa in Jute Bags ready for export.

  27. Human Capital Development Centre, NEPC office, Apapa, Lagos

  28. NEPC STRATEGY AT EXPANDING OPPORTUNUTIES IN NON-OIL EXPORTS • ONE-STATE-ONE-PRODUCT (OSOP) • Development of one exportable product per state and the FCT. • Take into cognizance existing products where states have comparative advantage. • Enhancing supply base and value chain as a means of employment generation and wealth creation. • Establishment of Common Facility Centers (CFCs) to enhance value-addition. • Nigerian Diaspora Export Programme – NDEX: • Leveraging on the large Nigerian diaspora population to increase the volume and value of non-oil exports. • The three components :- • The Nigerian Heritage City, a business and cultural enclave • Promotion of Products and services of Nigerian origin • The Nigerian Cuisine Beyond Borders

  29. NEPC STRATEGY AT EXPANDING OPPORTUNUTIES IN NON-OIL EXPORTS- CONT’D • NATIONAL STRATEGIC EXPORT PRODUCTS(NSEPS) • Project rooted in the National Industrial Revolution Plan(NIRP) and consisted of the followings:- • Agro-industrial(Palm-oil, Cocoa, Cashew, Sugar and Rice) • Mining Related(Cements, Iron ore, Metals, Auto parts/cars, Aluminum) • Oil and Gas industrial products (Petroleum products, Fertilizer/ Urea, Petrochemical and Methanol)

  30. NEPC INTERVENTION PROJECTS a. STDF PROJECT 172 Expanding Nigeria’s exports of Sesame Seed and Sheabutter through SPS Capacity building for Public and Private Sector in eight states (Borno, Taraba, Benue and Kogi for Sesame Seed and Oyo, Kwara, Niger and Kebbi for Sheabutter). The intervention on quality issues through the Standard Trade Project Facility (STDF) is a collaborative effort between the World Trade Organization and NEPC.

  31. NEPC INTERVENTION PROJECTS- cont’d • Common Facility Centers in Aba, Benue State and Agoa training office in Lagos. • Establishment of Common Facility Centers (CFCs) to enhance value-addition in Aba and Benue state. • Establishment of HCDC centre in Lagos for training of production of clothings for the US market.

  32. ISSUES/CHALLENGES Lack of medium & long term loans for Agric Value Chain

  33. SELECTED GOVERNMENT PROHIBITION PRODUCTS

  34. CONCLUDING REMARKS Entrepreneur should not think Export business is about… × Make a deal today is the easy part! × More than 50% of start up exporters are out of business after 3 years × More than 50% of the exporters are depending on one market / one product / one buyer × Think that a product just sells itself × Do not build relationships with buyers × Consider exports an incident

  35. CONCLUDING REMARKS…Cont’d As Entrepreneur, you Should… • Understand Market Opportunities • Think like your most important buyers • See export as a day to day ongoing business • Willing to invest time and effort • Takes himself/herself and his/her client serious

  36. Conclusion • In conclusion, it is important to mention that export require lots of time, efforts and resources. The Council will assist exporters as much as possible to succeed. • For more information and further advice on NEPC activities please check the website below and e-mail your request accordingly;- • Website: www.nepc.gov.ng • E-mail: nepclzo@gmail.comlagos@nepc.gov.ng

  37. Export Business... Tomorrow's Business

More Related