Thursday, February 21, 2013

Make it a date with Ikokore


Make it a date with Ikokore

Ikokore
Ikokore, a delicacy common among the Ijebu of Ogun State, South-West Nigeria, is made essentially from water yam.
In its finished form, ikokore looks like a stew made of water yam, smoked fish, meat and chilly among other ingredients.
The Ijebu say it’s great to serve it hot on its own or with cold pap (eko) or eba.
Water yam, also known as ewura in Yorubaland, grows in most parts of the tropics, and is said to be extensively cultivated in the West Indies, the Pacific Islands and tropical Asia.
There are other dishes that can be prepared from water yam.
You may eat it boiled, fried (by mashing to make ojojo), mashed and steamed (to make ikokore); you can also make water yam chips.
Flour made from water yam can also be used for dishes such as queen cakes, biscuits and pastries.
According to EzineArticles.com, the nutritional values of water yam are wide.
Some of them are: Moisture – 70 per cent, Starch – 28 per cent, Sugar – 0.5 per cent, Fat – 0.1-0.3 per cent, Crude protein – 1.1-2.8 per cent, Crude fibre – 0.6-1.4 per cent, Ash – 0.7-2.1 per cent, Vitamin C(mg per 100g) – 5-8 per cent, Vitamin B1 (mg per 100g)- 0.09 per cent, Vitamin B2(mg per 100g) – 0.03 per cent and Vitamin A.


Ikokore Ingredients

Ikokore Ingredients
•Water yam
•Smoked or dried fish
•Beef, saki, ponmo
•Two cooking spoons of palm oil
•Salt
•Shrimps (dried or fresh)
•One tablespoon ground pepper
•One medium size onion
•Tomato
•Moderate portion of ogiri (locust beans)
Method
•Boil the beef, saki, ponmo with onions, salt and other seasoning
•Once cooked, leave to cool and cut into tiny pieces
•Peel yam, wash and grate
•Pour some water into a pot
•Add dry grounded pepper, ogiri, dried fish and shrimps, meat
•Cover and allow to cook
•Add grated yam in lumps to the pot
•Allow to cook
•Add palm oil, salt and other seasoning
•Stir gently with a wooden spoon
•Serve

Benefits of patronising fruits in season


Benefits of patronising fruits in season

Fruits
Fruits are available all the year round. No one therefore has reason not to take them. The issue perhaps lies in which one is preferred.
Did you know that you could achieve your body’s minimum fruit requirement for health living by simply patronising different fruits in season?
www.nutrition-and-you.com describes fruits as nature’s wonderful medicines packed with vitamins, minerals, anti-oxidants and many phyto-nutrients, offering nutrition and protection.
“They help body keep fit and healthy,” it adds. “Fruits are low in calories and fat and are a source of simple sugars, fibre, and vitamins, which are essential for optimising our health.
“Fruits provide plenty of soluble dietary fibre, which helps to ward of cholesterol and fats from the body and to get relief from constipation as well.”
Currently in Nigeria, there are many fruits in season: orange, pawpaw, water melon, tangerine, banana, pineapple, walnut and more.
Fruits are particularly appealing not just for their taste and nutrition, but also for their variety of shapes and exotic colours.
So, wait no further, go for that fruit.

 BY BOSEDE OLUSOLA-OBASA

Tasty grilled pineapples


Tasty grilled pineapples

pineapples
Pineapple is an oval-shaped tropical and perennial fruit plant. It’s unique for its combination of sweet and sharp taste.
Pineapple is recommended by nutritionists as a great option against indigestion.
WWW.3fatchicks.com describes the pulp as “juicy and fleshy with its stem serving as a supporting fibrous core.”
The outer part of pineapples are rough, tough, scaly and usually green in colour.
In some cases, especially when it’s ripe, the pineapple back is yellowish or reddish, but the flesh is cream.
Nutritionists agree that pineapples are very healthy and nutritious.
Some people prefer to eat pineapples fresh, but others love to have it grilled.
Grilling caramelises the sugars in fruits, creates a golden brown colour and intensifies the flavour. You may want to try it.
Whatever your choice, ensure you make it a frequent part of your meals even as its benefits are listed below.

Nutritional benefits of pineapple  

•Packed with vitamins and minerals such as vitamin A, vitamin C, calcium, phosphorus, and potassium
•Rich in fibre and calories
•Low in fat and cholesterol
•Prevents cough and colds
•Strengthens the bones (provides 73 per cent total body need for manganese)
•Keeps gums healthy
•Lowers risk of macular degeneration by as much as 36 per cent
•Alleviates arthritis
•Improves digestion

Recipe for grilled pineapple


Ingredient
•One whole fresh pineapple
•Three tablespoons honey
•One tablespoon freshly-squeezed lemon juice, lime juice, or orange juice
•Half teaspoon freshly-grounded black pepper

Method
•Peel and cut pineapple
•Cut into large sizes
•Mix honey, lemon, lime, or orange juice and black pepper in a small bowl
•Using a brush coat all sides of the cut fruit
•Preheat barbecue grill rack after oiling it
•Place pineapple wedges on the grill and cook about four minutes on each side
•Turn each side until the pineapple appears dry and golden brown
•Don’t overcook or burn
•Serve as dessert

BY BOSEDE OLUSOLA-OBASA

Hot, spicy Nkwobi


Hot, spicy Nkwobi

A plate of Nkwobi.
Nkwobi is prepared from cow leg cooked in thickened and cholesterol-free palm oil broth spiced with chili sauce.
Although the delicacy originates from South-Eastern Nigeria, it is popular among most Nigerians, irrespective of tribe, and served at big social events, including weddings and child-naming ceremonies.
It is important to note that one of the ingredients used in preparing Nkwobi is the Utazi leaf, which is said to contain properties that can significantly reduce the blood sugar level in diabetic patients, as well as serve as antioxidant.
Ingredients
•Cow leg
•Palm oil
•Potash (kanun)
•Seasoning
•Ground fresh pepper
•Ground crayfish
•Onions
•Salt
How to prepare
•Cut the cow leg into small pieces and wash thoroughly. Cook with meat ingredients (onions, thyme, seasoning, salt)  until it is very soft and tender enough for consumption.
•Pour small quantity of palm oil into a mortar, add a little of the ground potash and mix until the solution is thick and yellowish
•Add the ground fresh pepper, crayfish, seasoning and salt to taste.
•Pour the cow leg into well mixed sauce and mix again.
•Add the shredded utazi leaves and mix.
•Garnish with onions and serve.

Healthy feeding in 2013


Healthy feeding in 2013

Healthy feeding in 2013
Health and Life Africa, an online nutrition platform, defines a healthy diet thus, ‘The simplest definition of a healthy diet is one that provides the daily energy requirements with foods with varied but essential nutrients.’
No doubt, eating healthy has become important in the scheme of things for many Nigerian families. This partly owes to the growing need to live well by eating well.
But while many set out at the beginning of each year to give their families a healthier routine of meals, only a few stay true to it.
The reasons are obvious: the race to make ends meet usually encroaches on the better part of time required to fix good meals.
That is why many people, no matter how buoyant their purses are, often end up with junk meals. This is at the risk of not eating at all.
No matter your category, it is essential to eat balanced diets all year round because what you eat reflects in your health.
However, the basic rule to eating healthy is not to rely heavily on staple foods such as bread, grains, rice, pasta, potatoes, except they are richly complemented with lots of fruits, vegetables, meat and dairy.

BY BOSEDE OLUSOLA-OBASA


Aftermath of flooding: Food prices rise by 200%


Aftermath of flooding: Food prices rise by 200%

Foodstuffs on display
Just as Nigerians were nursing the hope that the prices of staple food items would fall at harvest season, the prices have started to go through the roof.
A countrywide survey by our correspondents indicates that the prices of food  items are rising beyond the reach of the average Nigerian, an aftermath of the devastating floods that have hit most states of the country.
Many states are recording between 200 and 300 per cent rise in the prices of food items like garri, beans and rice, among others.
Five months ago, our survey in Lagos had found that the prices of some staple foods had risen by 300 per cent, though major food dealers said then that prices would drop during the harvest season.
The cost of importation, insecurity, global climatic change, partial removal of fuel subsidy and lack of a food policy were said to be partly responsible for the hike.
With all these factors still present and the recent floods that have swept through most states in the country, the hope of price reduction is waning.
Amidst this, the Federal Government had in line with its self-sufficiency rice policy (by 2015) proposed a 10 per cent duty, plus a 100 per cent levy on imported polished rice in the 2013 budget.
Notable as the FG’s self-sufficiency initiatives are, they have come under severe scrutiny by members of the public, who contend that in the obvious absence of locally-grown rice on account of the floods, there should be a relaxed policy on imported brands.
Meanwhile, Nigeria’s inflation rate was officially put at 11.7 per cent in August 2012, compared to 12.8 per cent recorded in July, according to a recent report from the National Bureau of Statistics.
Though the inflation rate dropped, the NBS said the composite food index increased year-on-year by 9.9 per cent to 135.9 points in August 2012, down from 12.1 per cent in July 2012.
The relative moderation of food prices in August came and later snapped, according to the NBS, owing to a number of factors, including higher prices of fish, oils and fats, as well as increase in imported food prices. This trend ensured that the full benefit of a drop in inflation did not manifest in food prices drop.
The prices of staple food items in Kogi State, especially in Lokoja, have skyrocketed a month after floods ravaged about 334 communities in nine local government areas of the state.
More than 152,272 hectares of farmland were submerged by the floods, according to the Chief Press Secretary to the Deputy Governor of Kogi State, Mr. Michael Abu.
A random survey conducted at Old Market and International Market, Lokoja, on Wednesday showed an increase in the prices of many food items. This has been linked to the recent flooding in the state, which rendered many Kogi residents homeless, and destroyed many farmlands.
A staple food dealer at Old Market, Mrs. Aminat Suleiman, said essential food items had witnessed a sharp price increase. Suleiman said that a bag of beans that sold for N6,500 and N7,000 before the floods is now N14,000.
According to her, yellow garri, which is common and sold for N6,500 a bag, currently goes for N9,000. White garri, formerly sold for N5,500 per bag, now goes for N8,000.
She added that a bucket of yellow garri formerly sold at N350 now sells for N450 to N500, while a bucket of white garri, which previously cost N200, now costs between N350 and N400.
Suleiman said, “A few weeks ago, a paint bucket of beans ‘Oloyin’ specie of beans went for N200, but it is now N600 a bucket, while the other lower brand otherwise known as ‘Olotu’  previously sold for N750, now goes for N1,500. A cup of beans commonly referred to as Derica is now N250.”
Miss Rose Ajayi said that a carton of popular brand of noodles, which formerly went for N1,750, currently goes between N2,050 and N3,000.
Another trader, Mr. Rufus Alade, said that a bag of brand of rice called ‘Agric rice’ previously sold for N6,700 now goes for N7,500. He added that other brands of rice like ‘Mama Gold’ and ‘Royal Umbrella’, which were sold at N9,280 now go for  N10,000.
Another trader, Kayode Ahmed, said that prices of onion and Irish potato had also soared.
“A bag of onion ranged between N6,000, to N6,500 few weeks ago, but currently a bag of onion is N25,000. This is quite high and it is even difficult for us to recoup the cost of purchase not to talk of profit making,” he said.
A trader, who deals in groundnut oil and palm oil, Alhaji Shakirat Yekini, said that 25 litres of palm oil previously sold between N5,500 and N5,800 now goes for N7,000 to N7,300. A yam, dealer, Mr. Alfred Umaru, said that a tuber of yam which previously sold for N200, now goes for between N350 to N400.
In Awka, the effect of the flooding that swept through the food basket of Anambra State has begun to take a toll on the prices of foodstuff in the state.
A survey of the Nkwo Amaenyi Market and the Eke Awka Market in Awka showed a rapid rise in the prices of foodstuff. Before the flooding, the price of a ‘Painter’ (small gallon of paint) that used to be N240 is now N400. A cup of ‘iron’ beans that used to be N35 is now N90.
A cup of brown beans that was N35 before the flooding is now N80, while a cup of local beans that was N25 is now N45.
A measure of dried Mangala fish that was N200 is now N300. Fiofio, a brand of local beans that used to be N35 is now N50.
A 50cl bottle of palm oil that was N200 is now N240, while a 50cl bottle of groundnut oil that was N400 is now N420. A small tuber of yam that was N200 is now N250. But the price of rice has not changed.
In spite of the rising rates, there are  fears that the prices will go up considering that the areas affected by the floods are the food basket of the state.
Mrs. Virginia Okeke, who sells foodstuff at Amaenyi Market, said food prices were likely to increase because the market at Otuocha was affected by the floods.
Two local government areas – Anambra West and Ogbaru – considered to be the food basin of Anambra, were completely submerged, while Anambra East, Ayamelum, Awka North, Ihiala and Ekwusigo, also noted for producing food and fish, were partially submerged.
However, reports by our correspondent in Enugu State said the Eastern Zonal Executive Council of the Senior Staff Association of Nigeria Universities said the flood had not made a noticeable impact on food prices yet because the state witnessed only about two serious cases of flooding.
Mrs. Nkemdil Uchendu, a trader at New Market in Enugu, said, “No food item has increased in price. If there is any, it could be on the basis of supply, distribution and other market challenges, not necessarily the floods.”
In Abeokuta, the capital of Ogun State, our correspondent reported that the head of the butchers at Kuto Market, Alhaji Samsudeen Balogun, said the problem of flooding in some parts of the North where they usually got their supplies, had continued to affect the prices of cattle, sheep and goat.
Balogun said the current situation had led to a hike in the prices of livestock by suppliers.
He said that an average sized cow that used to sell for about N100,000 some months ago now goes for N250,000, while a goat, which used to go for N10,000, now costs double.
“We usually buy the cow from the sellers from the North at Olodo Market in Ibadan and some other places. The price has increased and they told us that it is as a result of flooding and insecurity in the North,” Balogun said.
“In fact, we do a lot of persuasion and bargaining before they would sell to us even at the new prices. If we don’t buy the cow, there will be shortage of meat and our customers will suffer. We pray that God should bring the problems in the North to a quick end.”
The pepper and onion sellers at the market however said that though their supplies were affected by the flooding in the North, they had an alternative source.
According to them, they have the opportunity of sourcing their supplies from some parts of the South-West.
Mrs. Yusuf Alake, one of the pepper sellers, noted that in spite of this, the prices of these ingredients had increased compared to the recent past.
At the Fruit Garden Market in Port Harcourt, a basin of garri, which cost N1,800 last September had risen to between N4,000 and N4,500, while a cup of beans that sold for N65 per cup currently goes for N100.
A rubber of fresh tomato, which was sold for N250 before the advent of the floods in some parts of the country, now sells for N400. The price of pepper has not changed as it still stands at N150 a rubber.
A custard rubber filled with fresh tomato is currently N1,100 as against the old price between N700 and N800, depending on the freshness of the item.
At the Fruit Garden Market, a bag of Mama Gold rice is now N11,000 as against N9,500, which it was sold before September 2012. The price of a cup of beans, which stood at between N60 to N70 now sells at N100.
A food stuff seller, Mr. John Okoro, blamed the astronomical increase in the prices of beans, rice, garri and tomato on the flooding of some parts of the country.
“When the cost of transporting these food items is very high, the effect will be on the cost of the food items. That is why we are experiencing this increase in the price of some of the foodstuffs,” Okoro argued.
Also, Esther Chibueze, who sells plantain at Mile One Market, said a bunch of plantain now goes for N2,200 as against N1,500. Chibueze attributed the increase in price to the floods in Bayelsa and Rivers states.
According to her, moving food items like plantain from the farm is difficult due to the flooded areas in the South-East and South-South zone of the country.
The prices of staple food items have also increased in Calabar and other major towns in Cross River State following the devastating effect of flooding and other natural disasters occasioned by climate change.
At the popular Etim Edem, Watt and Marian markets, a milk cup of beans, which was formerly sold for N30 or N40, now sells for N70, depending on the variety. A small 5kg bag of beans currently sells for N2, 000.
A bag of garri, which used to be sold for N11, 000 now sells for N16, 000.
A bottle of groundnut oil now sells for N260, while the same bottle of palm oil which was sold before at N160 now sells for between N200 and N220.
A trader at the Etim Edem Market in Calabar, Mr. Linus Chukwu, said, “The floods have affected farmers greatly, especially the cassava farmers and that resulted in the rise in prices.”
Residents of Abuja, have also been feeling the effects of the floods. Investigations showed a noticeable increase in the prices of foodstuff in the markets at Kubwa and Utako. Some traders told Saturday PUNCH that the price of garri had increased tremendously because of the floods.
For instance, a bag of garri, which was N7,000, now sells for N14,000, representing 1000 percent increase in price. The traders said that the flooding in the Niger Delta and other parts of the country was responsible for the rise in the price of garri.
According to them, several people from states in the Niger Delta, especially Delta, have been besieging Abuja to buy cassava in large quantities.
The prices of goat meat are also prohibitive with a medium-sized cut costing about N1,500.
Traders blame the high cost of foodstuff from the farms and the hike in transport fares for the general rise in the cost of other commodities.
A meat seller, Ibrahim Abubakar, said that cattle dealers found it difficult to transport their livestock from the North, adding that the flooding in parts of the country was responsible for the hike in food prices.
Curiously, the prices of imported rice also rose from N9000 to N11, 000. Also, a kilogram of salt was increased from N70 to N100.
However, the effect of the floods on price of yam was not as high.
At the Giri junction on the Abuja Airport Road, yam sellers now sell 10 tubers of fresh yam for N2000 as against the initial price of N1,500 for 10 tubers of yam of average sizes.
Elsewhere in the capital, food prices have continued to soar even as the floodwaters recede.
A separate survey carried out in Dutse, PW and Kubwa Markets showed a slight increase in the prices of food items like rice, beans, yam, tomato, onion as well as fresh pepper.
In Lagos, the cost of imported rice ranges between N8,000 and N10,000 per bag depending on the brand. But market forces ignited by the flooding, tariff on imported polished rice among others, threaten to push the price up, especially as the festive seasons are approaching.
Rice dealers said that the price should shot up in some weeks’ time because of the floods that have washed large rice farmlands away.
The floods, the worst in 30yrs, submerged property, farmlands, and the Niger Bridge, the link between the north and the south of the country.
Meanwhile, the Nigerian Institute of Food Science and Technology has called on the Federal Government to properly manage the issue of flooding in the country so as to prevent food scarcity.
The institute said that devastation caused by the flooding in some parts of the country, if not properly handled, might lead to further devastation.

Friday, April 8, 2011

Between fast foods and cardiovascular diseases

Lets digress a little.

Between fast foods and cardiovascular diseases
By Akor Ojoma

Due to the overwhelming need to have many things done fast these days, time has become golden, thus the need to eat fast and on the go has been answered by fast foods.  The lure of fast foods is the speed with which the food is produced.
The temptation to take the easy way and eat fast food is strong especially if you are tired of work and are in no mood to cook. Fast foods do not only mean hamburgers and French fries but other foods that are usually cooked with oil and have considerable amounts of unhealthy fats in them too. Some pizzas can be considered fast foods as well as some Chinese takeout foods.
However, fast foods and cardiovascular diseases (that is diseases relating to the heart and blood vessels) go hand in hand. The link between fast food and heart disease is very real and medical practitioners have long been warning people regarding the implications of eating too much fast food without any proper form of exercise.
According to medical experts, there is strong correlation between unhealthy eating habit, our lifestyle and cardiovascular diseases. They say the high rate of cardiovascular diseases among the youths these days is because they are not eating healthily and exercising enough. Parents who delight in feeding their kids on fast foods are advised against it.
Managing director of  Emzor Pharmaceuticals and Chairman Chike Okoli Foundation, a foundation championing the crusade on healthy eating and exercise, Chief Stella Okoli said, “these days it is fashionable to eat foods with chemicals and many fats, thinking we are enjoying but are rather  killing ourselves gradually. We should exercise more, eat more natural foods and patronise less of fast foods” she said.
The World Health Organization says “cardiovascular diseases include coronary heart disease that is heart attacks , cerebrovascular disease, raised blood pressure  also called hypertension, peripheral artery disease, rheumatic heart disease, congenital heart disease and heart failure. The major causes of cardiovascular disease are tobacco use, physical inactivity, and an unhealthy diet.”
Globally, cardiovascular diseases are the number one cause of death and are projected to remain so. An estimated 17.5 million people died from cardiovascular disease in 2005, representing 30 % of all global deaths. Of these deaths, 7.6 million were due to heart attacks and 5.7 million due to stroke. About 80% of these deaths occurred in low- and middle-income countries. If current trends are allowed to continue, by 2015 an estimated 20 million people will die from cardiovascular disease, mainly from heart attacks and strokes.
There are multiple risk factors associated with cardiovascular diseases such as high blood pressure, smoking, diabetes, high cholesterol, physical inactivity, obesity and such people need to beaware and make life style changes  to prevent it at all cost.
The link between fast food and heart disease lies in several factors such as the quality of the food, the way the food is cooked and the frequency of the fast food meal.
Quality of food
Hardly any fast food chain serves lean meat. Others use meat which may have fats mixed with them. The reason why fast food and heart disease work out dangerously is that the fats contained in the food are usually animal fats. These can add to plaque and fatty deposits in arterial walls. Fats can also affect the quality of our blood and being obese can construct out blood vessels and arteries.
The way fast foods are cooked
The way fast food is cooked also contributes to the link between fast food and heart disease. Primarily, the kind of oil used to fry the hamburger pastries and French-fries can contribute to heart disease. Re-using the oil can also affect people not only in the aspect of heart disease but also in other forms of diseases. Cancer is one disease that can be triggered by using oil too many times.
Symptoms of cardiovascular diseases
Often, there are no symptoms of the underlying disease of the blood vessels. A heart attack or stroke may be the first warning of underlying disease.
Symptoms of a heart attack include: pain or discomfort in the centre of the chest; pain or discomfort in the arms, the left shoulder, elbows, jaw, or back. In addition the person may experience difficulty in breathing or shortness of breath; feeling sick or vomiting; feeling light-headed or faint; breaking into a cold sweat; and becoming pale. Women are more likely to have shortness of breath, nausea, vomiting, and back or jaw pain.
The most common symptom of a stroke is sudden weakness of the face, arm, or leg, most often on one side of the body. Other symptoms include sudden onset of: numbness of the face, arm, or leg, especially on one side of the body; confusion, difficulty speaking or understanding speech; difficulty seeing with one or both eyes; difficulty walking, dizziness, loss of balance or coordination; severe headache with no known cause; and fainting or unconsciousness.
People experiencing these symptoms should seek medical care immediately.
Prevention
The Word Health organization advises that  being overweight increases the risk of heart attacks and strokes. To maintain an ideal body weight, take regular physical activity and eat a healthy diet. Eating at least five servings of fruit and vegetables a day, and limiting your salt intake to less than one teaspoon a day, also helps to prevent heart attacks and strokes. Cessation of tobacco use reduces the chance of a heart attack or stroke.
It also advises:
“Have your blood pressure checked regularly. If you have diabetes control your blood pressure and blood sugar to minimize your risk. Heart attacks and strokes can strike suddenly and can be fatal if assistance is not sought immediately.”
Experts also advises that to prevent heart diseases through healthy eating one should limit unhealthy fats and cholesterol.
“The best way to reduce saturated and trans fats in your diet is to limit the amount of solid fats — butter, margarine and shortening — you add to food when cooking and serving. Use low-fat substitutions when possible for a heart-healthy diet. Also choose low-fat protein sources like lean meat, poultry and fish, low-fat dairy products and egg whites or egg substitutes are some of your best sources of protein. But be careful to choose lower fat options, such as skim milk rather than whole milk and skinless chicken breasts rather than fried chicken patties. Fish is another good alternative to high-fat meats. Legumes — beans, peas and lentils — also are good sources of protein and contain less fat and no cholesterol, making them good substitutes for meat. And finally eat more vegetables and fruits.”
By Akor Ojoma

The giant strides of Nigeria's food and beverage sector


The food and beverage sector of the Nigerian economy, though making progress, still has room for improvement to be able to compete favourably with its foreign counterparts. With sixteen companies listed in that subsector of the Nigerian Stock exchange, four flour mills in particular have proved to be good investment for the shareholders.
Opeyemi Teller, of Greenwich Trust Limited said "The food and beverage sector of the Nigerian economy is a thriving one. The capacity utilization, which is the rate at which manufacturing companies are able to use their raw materials in the installed capacity for production in the food, beverage and tobacco sub-sector, is now peaked at 50 per cent. This make the sub-sector most developed in the manufacturing sector as at the last survey/research conducted".
According to her, taking into consideration the agrarian background of Nigeria, the food, beverage and tobacco sub-sector is perhaps the most developed in the manufacturing sector of the economy in terms of huge investment committed to it over the years.
The funding survival
Nigeria's food and beverage sector has been taking impressive steps in sourcing for funds, the latest being the recent N70 billion bond issuance by Flour Mills of Nigeria, the largest flour mill in the country.
With this move which was executed late last month, the company stands as the first outside the banking sector to launch a bond in recent years with a book building for the five-year, fixed-rate unsecured bonds.
"The issue was overwhelmingly subscribed to, with a total of N49.8 billion in bids being received from a varied composition of investor types (banks, pension funds, asset managers and insurance companies)" a statement from the company said.
Although, Flour Mills targeted an initial issue amount of N35 billion, the company accepted bids up to 12 per cent, for a total amount of N37.5 billion.
The flour and pasta maker said it would use the proceeds for refinancing existing loans and funding new ventures in its foods business. Flour Mills, which has a production capacity of 6,000 tonnes of flour per day, said two weeks ago that its first-half pre-tax profit rose by more than a quarter to N8.9 billion.
The Group Treasury Director of the company, Vlassis Liakouris, said "With the advent of this bond issue and inclusion of long term debt in our capital structure, the working capital adequacy and financial flexibility of the company is greatly improved".
According to him, the benefits of the firm's expansion will also significantly enhance its cash flow generating capacity adding that the firm has successfully diversified its funding base to include non-bank institutional investors. The bond is also meant to refinance its existing term loans, expand its business operations and augment its working capital shortfall.
Even though it is the first of the lot to open its books to bonds, Dangote Flour Plc following closely at its heels recently released strong profit growth driven by improved operations in its nine months results.
Dangote mills reported a turnover up by 15.4 per cent to N54.3 billion (US$358.2m) from the N47.0 billion (US$310.4) recorded in the commensurate period of 2009. Profit before tax went up by 24.9 per cent to N7.1 billion from N5.7 billion in the 2009 quarter, while profit after tax grew by 24.5 per cent to N7.0 billion. Profit before tax margin increased slightly to 13 per cent from 12 per cent in the corresponding 2009 quarter.
Experts say the company's continuous focus on cost reduction has translated into improved operational efficiency. Its capacity expansion project is still on-going and is aimed at achieving 7,300 metric tons per day. Dangote Flour is at the final stage of commencing direct and indirect exports to Chad, Cameroon, Niger and Sudan which is expected to boost the company's performance.
Is bond it?
Even though Nigeria removed all taxes on corporate debt issues and cut transaction fees earlier this year, allowing firms to raise capital on the bond market at lower coupon rates and offer tax-free returns to investors, investors and stakeholders are still apprehensive if indeed bond is the way out.
With the firms seeking new means of financing, it is envisaged that more of the firms may divert to bonds, if it works for the pioneer.
Finance experts however say the bond issue is positive but it comes at a price.
Tajudeen Ibrahim, a research analyst at Stanbic IBTC said bond issuing is a positive step and that investors' concerns can be regarded as excessive, especially in the short term.
"Although the timing of this issue is disappointingly late given that interest rates have climbed in the past two months, we believe it is still positive for Flour Mills of Nigeria for the following reasons: First, cost savings on lower interest rates relative to previous outstanding debt; and then, it will foster the focus and execution of long-term strategy aimed at improving net earnings. In view of Flour Mills's plan to refinance existing debt, net borrowings are N14 billion" he said.
"The issue comes at a price due to weaker earnings per share in the medium term owing to higher interest expenses; and covenants that limit Flour Mills ability to borrow beyond a certain threshold. We believe that investors' concerns over the increase in Flour Mills leverage in the short term is excessive, bearing in mind the company's ability to repay debt from future cash flow," he added.
Room for improvement
Despite the thriving strides, finance experts say a lot of opportunities still abound for the sector to take advantage of.
"Even at its present state, a lot of investment opportunities still exist in the sub-sector due to Nigerian's comparative advantage and potential for the production of all primary raw materials required in the sub-sector and the apparent shortage of capacity to meet the demands of existing industries" Ms Teller said.
The food, beverage and tobacco sector has consistently remained the sectoral leader on a year-to-date basis return on the Nigerian Stock Exchange, and it is currently second mostly capitalised sector with N2.29 trillion market capitalisation after the banking sector.
Nigeria is the 3rd largest importer of wheat in Africa, importing an estimated 3.7 million metric tons is 2009. A bulk of these wheat imports come from the US and Canada and account for 80 per cent of the Cost of goods sold (COGS) of flour production.
To promote the local milling industry, the Federal Government maintains a 35 per cent import duty on wheat flour, while raw wheat attracts a duty of 5 per cent. The Nigerian Flour Milling industry has a highly concentrated structure. It is made up of 11 millers, 4 of whom account for 88 per cent of industry's total production.
The total milling capacity in the industry is estimated at 6.5million tons per annum, with an average capacity utilisation of 50 per cent. This statistics include obsolete and inefficient mills, which are uneconomical to operate.
Flour Mills is the largest flour milling company in the industry. The Company has production capacity of 6,000 tonnes per day and has highly diversified income streams. The second largest company in the industry by capacity and market share is Dangote Flour Mills. Honeywell Flour Mills, which started operations in 1995 has carved a niche in the industry and grown the company's market share. Crown Flour Mills Nigeria is one of the oldest players in the industry with 85 years of experience.
Experts say government's import ban on packaged noodles has supported increased demand of pasta from local manufacturers.

PRODUCE OF NIGERIA

PRODUCE OF NIGERIA


Foodstuffs on display



INTRODUCTION
Nigeria produces a wide range of agricultural commodities, which could serve as raw materials for industrial production in Europe, Asia and Latin America. Top on the list of agricultural commodities in Nigeria are Cocoa, Cotton, Accha, Soya beans, Sorghum, Maize, Cassava, Gum Arabic, Ginger, Sesame Seeds, Sheanuts, Cashew nuts and Cowpea.
While the tree crops such as cocoa and cashew are produced in the southern pan of the country, cereal crops such as soya beans, sorghum, maize, sesame seeds and cowpea are produced in the savannah belt in Nigeria. Also produced in the savannah belt are ginger, gum Arabic and sheanuts.
With the Nigerian Government's current efforts at increasing output in the agricultural sector, more volumes of agricultural produce are available for external trade.
Below is synopsis of the production areas and uses of the major agricultural products of Nigeria.

Soybean
Soybean (Glycine Max) is a legume which is produced in the middle belt of the country of which Benue State is the largest producer in Nigeria. It produces about 48% of the total natural output of 352,000 metric tonnes per annum.
Soybean is an important source of high quality and inexpensive protein and oil. With an average protein content of 40% and oil content of 20%, soybean has the highest protein content of all food crops and is second only to groundnuts in terms of oil content amongst food legumes.
The oil produced from soybean is highly digestible and contains no cholesterol. Soybean is the largest single source of edible oil and accounts for roughly 50% of the total seed oil production worldwide. Nigeria has only one variety of soybeans which is yellow in colour.
Soybeans is used for production of milk, edible oil and animal feeds. It is also useful in the treatment of malnourished children particularly in the sub-Saharan, Asian and Latin American countries.

Cocoa
Cocoa (Theobroma Cacao) is the second major non-oil foreign exchange earner in Nigeria after leather. It is produced in 16 states of the federation namely Ondo, Cross River, Oyo, Osun, Ekiti, Ogun, Edo, Kogi, Akwa Ibom, Delta, Abia, Kwara, Ebonyi, Rivers, Taraba and Adamawa with an annual production of 400,000 metric tones however 98% of this is exported. It provides means of livelihood, sustenance and employment opportunities to over five million Nigerians, In the year 2005 alone, export revenue from the sale of cocoa amounted to US$136.7 million.
Nigeria along with Cote d'lvoire and Ghana all in West Africa, account for about 70% of the world's cocoa production.
Major market destinations for Nigeria's Cocoa are: Netherlands, U.K., France, Germany, Spain, Italy, USA and Japan. Other markets being explored are the emerging economic powers of China and India. Stakeholders in the cocoa sub-sector in Nigeria are: Stanmark Nigeria Ltd, Olam Nigeria Ltd, Export logistics Ltd, Nivik Investments Ltd and Multitrex investments Limited.

Cotton
Cotton (Gossypium) is a major agricultural and industrial crop in Nigeria, providing employment and means of livelihood to about 2 million Nigerian families. A total of 24 states of the Federation produce cotton namely: Katsina, Zamfara, Gombe, Kaduna, Kano, Sokoto, Kebbi, Niger, Plateau, Jigawa, Yobe, Bauchi, Borno, Adamawa, Kwara, Taraba, Nasarawa, Kogi, Benue, Ekiti, Oyo, Ondo, Osun and Ogun. The average annual production is about 250,000 metric tonnes against a total world production of 20.5 million metric tones.
Major market destinations for Nigeria's cotton are the EU, China, South Korea and Taiwan.
Major stakeholders in the cotton sector in Nigeria are: Olam Nigeria Ltd, Nigeria Seed Cotton Ltd, West African Cotton Processing Company, National Seed Service and AFCOT Nigeria Ltd.
The crop has occupied a strategic position in the economic activities of Nigeria, providing both food and fibre for the rapidly expanding vegetable oil and textile industries in the country. Thus unlike cocoa, cotton has a strong backward linkage with domestic industries which consume up to 50% of the total annual production.

Cassava
Cassava (Manihort Esculentus (Euphorbiacea)) is grown in all the states of the Federation with the current production level being about 45 million metric tonnes per annum; a figure expected to double by 2020. Nigeria is the leading cassava producer in the world, producing a third more than Brazil and almost double the production capacity of Thailand and Indonesia. Although it is the world leader in cassava production, 90% of the annual production in Nigeria is targeted for the domestic food market.
The Nigerian Presidential Initiative on Cassava, which was launched in 2003, brought cassava and its potentials to the national limelight. This initiative created tremendous market opportunities both at home and abroad. There is now increased use of cassava as industrial raw material by feed mills, starch producers, chips and pellets, ethanol, glucose syrup as well as cassava four for bread making.
The business opportunities created has led to increased local investments in the cassava processing industry such as the Cassava Glucose Syrup Factory which when commissioned would require 132,000 metric tonnes of fresh cassava tubers annually to produce 26,000 metric tonnes of glucose syrup. There is also the Cassava processing factories for flour, and starch in various pads of the country.
There are opportunities for Nigeria to earn about US$12 billion per annum from cassava and its bye-products. Cassava has the potential to industrialize Nigeria more than any other product if its potentials are properly harnessed, cassava will not only be a white gold but an alternative to oil as a non-oil foreign exchange earner and a key instrument for job creation and catalyst for development.

Gum Arabic
Gum Arabic (Acacia Senegal) is grown in the Sahelian zone of the country, covering 14 States of the Federation namely Borno, Yobe, Jigawa, Bauchi, Gombe, Taraba, Plateau, Adamawa, Sokoto, Kebbi, Katsina, Zamfara, Nasarawa and Niger with an estimated population of 4 million Nigerians engaged in its cultivation and trade. Gum Arabic is a natural gum that exudes from the exterior of Acacia trees in the form of dry, hard nodules. There are over 1,100 Acacia species worldwide. However Acacia Senegal and Acacia Seyal are the most commercially exploited species. Nigeria has three grades of Gum Arabic, Acacia Senegal (grade 1) Acacia seyal (Grade 2)and Combretum (Grade 3).
The major Acacia utilized for commercial Gum Arabic production in Nigeria are Acacia Senegal and Acacia seyal.
Nigeria is the 2nd largest producer of the crop in the world after Sudan with average production of 20,000 metric tonnes of all grades of Gum Arabic. In the year 2004, world production of Gum Arabic was put at 70,000 metric tonnes while Nigeria's production amounted to 18,935 metric tonnes with export earning of US$88.08 million, Due to the ability of the Gum Arabic tree to withstand adverse environmental conditions, it has become a potent weapon in the continued fight against desertification and environmental degradation in the Sahelian belt of the country.
Gum Arabic is used as thickener, suspender, emulsifier, stabilizer, flavour carrier, binder and encapsulating material. In addition, it is used in confectionaries, food, beverages, pharmaceuticals and chemical industries. Major markets for the product are: Belgium, China, USA, U.K and Japan.
To sustain the supply of Gum Arabic to both local and international markets, efforts are being made to establish a Gum Arabic Security Stock in the three leading producing countries (Sudan, Nigeria and Chad) with the support of the GAO, Network for Natural Gums and Resins in Africa (NGARA) and Association of International Producers of Gum Arabic (AIPG). This will lead to rapid development of natural gum as a national resource for fighting poverty, desertification and environmental degradation.
The National strategy for Gum Arabic is to encourage local value addition through increased local processing in order to attract better returns on investments. This is more so considering the fact that for every one kilogramme of processed Gum Arabic there is value added of US$5.00. Thus, apart from providing more income, local processing creates job opportunities thereby empowering our people.

Ginger
Ginger (Zingiber Officinale) is produced in six states of the Federation namely, Kaduna, Nasarawa, Benue, Niger and Gombe with Kaduna as the major producer. Nigeria's production in 2005 was estimated at 110,000 metric tonnes (FAO). Out of this, 10% is locally consumed as fresh ginger while 90% is dried primarily for the export markets.
The commodity is highly valued in international markets for its aroma, pungency and high oil and Aleo resin content. Nigeria is the third largest exporter of ginger in the world after China and India.
Ginger is an important Nigerian export crop. The major market destinations are the UK, USA, Japan, Canada, Belgium, Germany and the Middle East.
The major stakeholders are Belphins Nigeria Limited, Goldchains International and Olam Nigeria Limited.

Sesame Seed
Sesame seeds (sesamum indicum) belong to the plant family Pedaliaceae. it is an important oilseed crop believed to have originated from tropical Africa. 25% of world sesame seed hecterage is planted in Africa and Nigeria is one of the major producers of sesame seed in Africa. It is found predominantly in Benue and Jigawa States in Northern Nigeria. It is one of the oldest food and cash crop in Nigeria which is produced in 21 states of the Federation. The commodity ranks second to cocoa in terms of volume of export and foreign exchange earnings. Global production in 2005 was put at 2.4 million metric tonnes with China and India as leading producers. Nigeria is the 5th largest producer of the commodity in the world with an estimated production of 120,000 metric tones annually.
Global export for the commodity amounted to 900,000 metric tonnes while Nigeria exports about 80,000 metric tonnes annually valued at US$68.0 million. Major market destinations for Nigeria's sesame seed are: Japan, EU, Korea, China, Turkey and the Middle East.
Sesame seed is used for oil, roasted seed, soup, spice, seed, confectionary, industrial raw material for pharmaceuticals, cosmetics soap etc.

Sheanut
The shea tree (Butyrospermum Parkii) is a precious natural resource which grows in the wild across the Sudan-Sahelian region of Africa. The major producing countries are: Nigeria, Togo, Benin, Ghana, Uganda, Mali, Burkina Faso and Central African Republic. Nigeria is currently the leading producer of sheanut in the world and in 2004 Nigeria's production of the commodity was 414,000 metric tonnes with export value of US$61.04 million (Source: FAO).
Apart from its role as an important raw material shea butter is used in the manufacture of chocolate and other confectioneries. It is also used in the cosmetics and pharmaceutical industries. Major destinations for Nigeria's sheanut are the EU and Japan while for the shea butter are Asia, Europe and the Americas.

Cashew
Cashew (Anacardium Occidentale) is produced in 28 states of the Federation and the Federal Capital Territory (FCT). In 2004, Nigeria's production of cashew amounted to 60,660 tonnes out of which, 30,510 tonnes were exported at a value of US$22.27 million. With the present emphasis of the Nigerian Administration on the development of non-oil export programmes, cashew industry is experiencing a major turn around.
Major stakeholders in the cashew industry in Nigeria are; Cocoa Research institute of Nigeria (CRlN) Cashew Association of Nigeria (CAN), Olam Nigeria Ltd. Safari Trade Ltd Abdulson Nigeria Ltd Fagro Venture Nigeria Ltd Asia Commodities Nigeria Ltd, Century Export Ltd, LMB O'sea Nigeria Ltd and Seacon Nigeria Ltd.
The main export destination for Nigeria's cashew is India. Others are Vietnam, South Africa, U.K. and USA.

Other Produce
Other produce are Maize Accha (Digitaria exilis), Cowpea (Vigna unguiculata), Maize (Zea Mays) Sorghum (Sorghum Bicolor (L) Moench). Sorghum (Sorghum Bicolor (L) Moench). These crops are grown in the savannah regions of Nigeria. They each have two varieties, white and yellow, although Accha is white and brown.
(i) Accha (Digitaria exilis) is grown in the Central and North Eastern parts of Nigeria. It is consumed mainly as a cereal. The grain tastes similar to rice. It may be consumed directly, cooked in porridges and four creams similar to grits and wheat cream.

(ii) Cowpea (Vigna unguiculata) is a grain legume largely grown in the northern part of Nigeria which has a savannah type of vegetation with light rainfall. Nigeria is the world's largest producer of cowpea, as it produces over 2.7 million metric tonnes of cowpeas with an average yield per hectare of 417 kg. It produces the white and brown varieties.
(iii) Maize (Zea Mays) is grown in all parts of the country as it is a versatile crop that grows across a range of agro-ecological zones, though it is grown slightly more in the Northern pad of the country. Two types of maize are grown in Nigeria Yellow and White. Maize apart from being eaten as it is on the cob, is used as food in form of porridges Corn fakes and popped grains. However, more than 60% of Nigeria's production of maize is consumed by the industrial sector for production of flour, beer, malt drink, corn flakes, starch, syrup, dextrose and animal feeds.
(iv) Sorghum (Sorghum Bicolor (L) Moench) is a grass of East African origin, which is grown in the North of Nigeria. Sorghum is the 4th important cereal after wheat, rice and maize and is used as a maize substitute for livestock feeds because of their similar nutritional values. It is also used for distilled beverages, Condiments, ethanol and alcoholic beverages.