Entrepreneurship Zone: 05 March 2025 : Entrepreneur tapping into Nigeria’s cocoa opportunity

Wed Mar 5 11:54:25 CAT 2025

 <https://bullszimbabwe.com/> 

Bullszimbabwe.com  <http://www.bullszimbabwe.com/>       Views
<mailto:info at bulls.co.zw?subject=View%20and%20Comments> & Comments
Bullish Thoughts <http://www.bulls.co.zw/blog>        Twitter
<http://www.twitter.com/BullsBears2010>         Facebook
<https://www.facebook.com/BullsBearsZimbabwe>           LinkedIn
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72>
WhatsApp <https://chat.whatsapp.com/CF6wllAfScU9Wr6dXxoQnO>
Unsubscribe <mailto:info at bulls.co.zw?subject=Unsubscribe> 

Entrepreneurship Zone: 05 March 2025 :  Entrepreneur tapping into Nigeria’s
cocoa opportunity

 <https://www.firstcapitalbank.co.zw/> 

John Alamu, founder of Johnvents Group

Nigeria’s cocoa industry is emerging as a key driver of economic
diversification. With growing global demand and surging investments, the
sector could unlock new revenue streams and strengthen the country’s non-oil
economy.

One entrepreneur capitalising on this potential is John Alamu, founder of
Johnvents Group, an agribusiness and manufacturing firm. Johnvents this
month announced a $40.5 million investment from British International
Investment to boost its cocoa production.

Nigeria’s cocoa sector holds immense potential, yet the country’s export
capacity remains underutilised. This investment will enable Johnvents Group
to scale up its processing capabilities, meet growing global demand, and
position Nigeria as a competitive player in the international cocoa market.

Alamu’s journey began while he was a monitoring and evaluation specialist
at the International Institute of Tropical Agriculture (IITA). He started by
offering microloans to 10 farmers – a number that eventually swelled to a
thousand. Spotting a gap, he began buying harvests (maize, soya beans,
sorghum) from these farmers – his loan clients – and selling to larger
regional agents. Margins were thin, though, so he explored cash crops. In
2016, with Nigeria facing a severe foreign currency shortage, cocoa’s forex
potential stood out. After trading the crop, Alamu seized an opportunity to
move into processing by acquiring a local cocoa factory.

Unlocking cocoa’s value

Nigeria’s cocoa industry is undergoing a transformation, characterised by
record-high prices, soaring exports, and an increasing investor appeal.

As the West African country accelerates efforts to diversify its economy
beyond oil, cocoa is emerging as a key player – offering not just revenue
but a chance to reclaim Nigeria’s place in the global cocoa market.

Cocoa prices in Nigeria surged by over 700% by December 2024 compared to
January 2023, reaching an all-time high of ₦15 million (about US$10,000) per
tonne, driven by global supply shortages, rising demand from Europe and
Asia, and currency fluctuations, according to the Cocoa Research Institute
of Nigeria.

Cocoa is already among the biggest non-oil exports in Nigeria and is
largely grown by more than 300,000 small-scale farmers in the south of the
country, according to the Cocoa Farmers Association.

Data from the World Atlas ranks Nigeria as the world’s seventh-largest
cocoa producer, yielding approximately 270,000 metric tonnes annually. It
trails Côte d’rIvoire, the global leader with over 2.3 million tonnes,
followed by Ghana (653,000 tonnes), Indonesia (641,000 tonnes), Ecuador
(375,000 tonnes), Brazil (296,000 tonnes), and Cameroon (295,000 tonnes).

Unlike global competitors that invest in processing, most African nations
export raw cocoa, missing out on the industry’s real value. The global cocoa
market was worth $45 billion in 2019 and is set to reach $61 billion by
2027, yet Africa captures only a fraction, according to the International
Cocoa Council.

The tide is, however, slowly changing, not just in the volumes of
production and pricing dynamics but also in terms of the investment flow
into the country.

Shortages in the global markets, especially disruptions in Côte d’Ivoire
and Ghana, also accelerated cocoa exports from Nigeria.
The latest (2025) data from the National Bureau of Statistics (NBS) reveals
that cocoa accounted for 7.12% of total agricultural exports, making it the
best-performing crop of the year. Key export destinations included the
Netherlands, Malaysia, Belgium, and Germany.

Notably, the NBS statistics for Q4 of 2024 show the oil sector, a
conventionally dominant sector, contributed less than 5% to the national
GDP, with non-oil economic activities surging in the quarter under review.
Agriculture, for instance, contributed 25.59%.

In a 2025 interview on The Guardian, a Nigerian news outlet, Dominic
Joshua, the founder of Cultivate Africa, an event organised by the Africa
Union Commission with partners, noted that if the trend continues, “cocoa
can generate more revenue than oil in the next decade… But the time to act
is now”.

—Howwemadeitinafrica

 Invest Cellphone:    +263 71 944 1674 | +27 79 993 5557 

Email:                <mailto:bulls at bullszimbabwe.com>
bulls at bullszimbabwe.com

Website:             <http://www.bullszimbabwe.com> www.bullszimbabwe.com 

Blog:                  <http://www.bullszimbabwe.com/blog>
www.bullszimbabwe.com/blog

Twitter (X):        @bullsbears2010

LinkedIn:           Bulls n Bears Zimbabwe

Facebook:           <http://www.facebook.com/BullsBearsZimbabwe>
www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 

DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy or
subscribe for any securities. The information contained in this report has
been compiled from sources believed to be reliable, but no representation or
warranty is made or guarantee given as to its accuracy or completeness. All
opinions expressed and recommendations made are subject to change without
notice. Securities or financial instruments mentioned herein may not be
suitable for all investors. Securities of emerging and mid-size growth
companies typically involve a higher degree of risk and more volatility than
the securities of more established companies. Neither Faith Capital nor any
other member of Bulls ‘n Bears nor any other person, accepts any liability
whatsoever for any loss howsoever arising from any use of this report or its
contents or otherwise arising in connection therewith. Recipients of this
report shall be solely responsible for making their own independent
investigation into the business, financial condition and future prospects of
any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and sourced from third parties.

(c) 2025 Web:  <http://www.bullszimbabwe.com> www.bullszimbabwe.com Email:
<mailto:bulls at bullszimbabwe.com> bulls at bullszimbabwe.com Tel: +27 79 993
5557 | +263 71 944 1674

-------------- next part --------------
A non-text attachment was scrubbed...
Name: winmail.dat
Type: application/ms-tnef
Size: 248640 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20250305/188e0e80/attachment-0001.bin>