Investment Opportunities In Ginger

Ginger is well known in many human communities around the world. Nigeria is the fourth largest exporter of ginger in the world, with China being the second largest producer and India the largest producer and exporter to more than 50 countries and accounting for more than 70% of the world’s production.

In the Nigerian market, ginger is well known and on high demand even though it is quite expensive.


SOURCING

Kaduna State is the highest producer of ginger in Nigeria, while states like Gombe, Bauchi, Benue, Nassarawa among others are major producers of the crop.


NIGERIA’S PRODUCTION STATISTICS

Nigeria produces an average of 160,000 metric tonnes of fresh weight ginger per annum.


PLANTING SEASON

Planting is done at the start of the rainy season, usually April to May. In areas with abundant supply of water throughout the year, planting can be done anytime. Ginger is usually intercropped with perennial crops such as coconut and coffee.


USES

Ginger is highly medicinal as it aids in digestion and absorption of food and has antiseptic properties.
Ginger based products have wide range of applications in many industries like food processing, pharmaceutical, soft drinks, meat canning, confectionary, tobacco processing, soap making and so on.


PRICING

Between N200, 000 and N230, 000, an individual can procure one ton of powdered ginger for export, also between N160, 000 and N180, 000, one can also procure similar tonnage of dry ginger.


EXPORT MARKET

The export markets for the Nigerian ginger includes the United Kingdom, Germany, Spain, Netherlands, France, United States of America, Russia, Saudi, Arabia among others


TRADING

On the average, ginger takes about nine months from the time of planting to mature. Harvesting of ginger starts from October and normally continues until April/May. This largely depends on the market situation as ginger can be left on the ground (not harvested) for two years.
 
Ginger is traded in three basic forms, which includes fresh, pickled or preserved and dried.


EXPORT SEASON

The export season of ginger begins from January to May and from October-November.


PROCESSING

Many products can be manufactured from ginger like dehydrated ginger, ginger candy, ginger powder, ginger oil and oleoresins.

The activities involved in processing ginger depends on the end product required. When the harvested rhizome is washed with boiling water and dried the product is called dried ginger and this can be grinded to produce powdered ginger or can be used as a full dried ginger rhizome. The rhizome can also be processed as fresh ginger or peeled.


STORAGE

Dried ginger when stored in woven plastic sacks in non-cemented dusty rooms can stay for up to 10 years depending on the kind of variety and market demand.


CHALLENGES IN PRODUCTION

Challenges facing ginger production in the country includes poor researches, lack of organic fertilizer, loan facilities, modern farming implements, direct link with international buyers and exploitation of farmers by middle-men, who are reaping big at the expense of the local farmers.


GINGER INVESTMENT SUMMARY

• Production
• Processing
• Export
• Storage