The Minister of Industry, Trade and Investment, Mrs Jumoke Oduwole, has described the regulation of the European Union (EU) on cocoa sustainability, which could impact Nigeria’s export, as both a “formidable challenge and a transformative opportunity” for the country.
On Monday, the federal government and stakeholders in the cocoa value chain met to assess the progress so far made towards complying with the EU Deforestation Regulation (EUDR) on sustainability.
She said the regulation was a call to action as it remained a “pivotal moment for Nigeria’s cocoa industry.”
The EU, which accounts for over 60 per cent of Nigerian cocoa exports, had set the December 31, 2020, deadline (later extended to December 2025) for Nigerian cocoa farmers to comply with the regulation which bordered on sustainable cocoa trade under the EUDR Compliance framework.
The deadline applies to the broader EUDR, which includes cocoa and other commodities, and was extended from an earlier date to allow for more preparation time.
Failure to comply could lead to rejection of Nigeria cocoa exports to Europe, among other punitive measures.
Mrs Oduwole said the roundtable was more than a high-level dialogue but a “platform to align national ambition with global standards, as well as a crucial step in ensuring the resilience, sustainability, and competitiveness of our cocoa value chain.”
The Minister pointed out that the the EU deforestation regulation was reshaping the way agricultural commodities are traded globally.
“But beyond that, Nigeria and this administration is at the forefront of climate change and climate justice, and what is important to is the use of our land for sustainability.
“So, without even an external project, this is something that is Nigeria first. As Mr President has put it, always Nigeria first in this issue. We’re thinking first and then joining the rest of the world to see how we’re using our resources for the betterment of everybody.
“So, for Nigeria, Africa’s fourth largest cocoa exporter, it’s both a formidable challenge and a transformative opportunity.
“With the EU accounting for over 60 per cent of our cocoa exports, compliance is not optional. It is an economic, environmental, and developmental imperative. And importantly, we have to support our domestic farmers and investors who are in this space,” she said.