ESIP Report Vol II.Revised.15.7.18
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Market Development Program for the Niger Delta (MADE) II Edo State Investment Portfolio (ESIP) Inception Study Market Assessment Reports ANNEXES – Vol. II Contents Acronyms .................................................................................................................................... 3 Acknowledgments ...................................................................................................................... 6 CHAPTER I AGRICULTURE AND AGRIBUSINESS ASSESSMENT ....................................... 7 1.1 Introduction and Executive Summary ................................................................................. 7 1.2 Sector Overview ................................................................................................................ 13 1.3 Recommendations ............................................................................................................ 32 CHAPTER II ENTERTAINMENT SECTOR “NOLLYWOOD” ASSESSMENT ......................... 1 2.1 Introduction and Executive Summary ................................................................................. 1 2.2 Nollywood Market System Analysis .................................................................................... 5 2.3 Recommendations ........................................................................................................... 16 CHAPTER III INFORMATION COMMUNICATIONS TECHNOLOGY (ICT) ASSESSMENT ... 28 3.1 Introduction and Executive Summary ............................................................................... 28 3.2 ICT Sector Overview ........................................................................................................ 31 3.3 Nigeria ICT Market System ............................................................................................... 33 3.4 ICT Market in Edo State ................................................................................................... 37 3.5 Future Vision of Edo State’s ICT Sector ........................................................................... 40 3.6 Recommendations ............................................................................................................ 41 CHAPTER IV RENEWABLE ENERGY ASSESSMENT ........................................................... 53 4.1 Introduction and Executive Summary ............................................................................... 53 4.2 Renewable Energy Sector Overview ................................................................................ 57 4.3 Key Findings and Conclusions .......................................................................................... 68 4.4 Proposed Interventions ..................................................................................................... 69 4.5 Synergies Between Renewable Energy with Other Industries .......................................... 73 4.6 Theory of Change ............................................................................................................ 75 CHAPTER V FASHION AND BEAUTY ASSESSMENT ........................................................... 79 5.1 Introduction and Executive Summary ............................................................................... 79 5.2 Scope of Study .................................................................................................................. 86 5.3 Sector Overviews .............................................................................................................. 86 5.3.1 The Nigerian Fashion Sector 87 5.3.2 The Nigerian Beauty Sector 102 5.4 Key Findings and Conclusions ........................................................................................ 109 5.5 ProPosed Interventions ................................................................................................ 111 APPENDIX 1: Overview of Selected Agriculture subsectors .............................................. 113 Acronyms ₦ or N Naira ABP Anchor Borrower’s Programme ACGSF Agricultural Credit Guarantee Scheme Fund ADP Agricultural DeveloPment Programme AfDB Africa DeveloPment Bank AFEX Africa Exchange AFWN Africa Fashion Week Nigeria ALC Andela Learning Community ATL Above the Line BCCIMA Benin Chamber of Commerce, Industries, Agriculture and Mining BMPro Banke Meshida Professional Make-up BOI Bank of Industry BOS Balance of Systems BTL Below the Line CACS Commercial Agriculture Credit Scheme CBN Central Bank of Nigeria CNN Cable News Network DFI DeveloPment Finance Institutions DFID DePartment for International DeveloPment DMB DePosit Money Bank DRE Decentralised Renewable Energy DStv Digital Satellite Television EDC EntrePreneurshiP DeveloPment Centre EE Energy Efficiency ESIP Edo State Investment Portfolio ET Hub Edo Tech Hub EU EuroPean Union FADAN Fashion Designers Association of Nigeria FAFIN The Fund for Agricultural Finance in Nigeria FCMB First City Monument Bank FDI Foreign Direct Investment FGN Federal Government of Nigeria FMARD Federal Ministry of Agriculture and Rural DeveloPment FtF Feed the Future GAP Good Agricultural Practices GDG Google DeveloPers GrouP GDP Gross Domestic Product GEMS Growth and Employment in States, Nigeria GSM Global System for Mobile Communication GVE Green Village Electricity HCDC Human CaPital DeveloPment Centre HiDef High Definition HOT House of Tara HQCF High Quality Cassava Flour ICT Information Communication and Technology IEA International Energy Agency IFC International Finance Corporation IFDC International Finance DeveloPment Corporation IMPRIN Initiative for Migrant Protection and Reintegration in Nigeria IOM International Organization for Migration IoT Internet of Things KPIs Key Performance Indicators KW Kilo Watts LFDW Lagos Fashion and Design Week LFW Lagos Fashion Week LGA Local Government Area LVMH Louis Vuitton Moet Hennessy M4P Markets for the Poor MADE Market DeveloPment Programme in the Niger Delta MDS Modern Day Slavery MFB Microfinance Bank MFB Micro Finance Bank MINC Make-up in Nigeria Conference MNO Mobile Network Provider MSME Micro, Small and Medium EnterPrises MSMEDF Micro, Small, Medium EnterPrise DeveloPment Fund MUA Make-up Artist MW Mega Watts NACCIMA Nigerian Association for Chambers of Commerce, Industry, Mines and Agriculture NAN News Agency of Nigeria NBS National Bureaus of Statistics NCAC National Council of Arts and Culture NCAN National Cashew Association of Nigeria NEPA National Electric Power authority NEPC Nigerian ExPort Promotion Council NGBA Nigerian German Business Association NIPC Nigerian Investment Promotion Commission NIRSAL The Nigeria Incentive Based Risk Sharing System for Agricultural Lending NITDA National Information and Technology DeveloPment Agency NSIA Nigeria Sovereign Investment Authority OPM Other PeoPle’s Money PFI ParticiPating Financial Institution PHCN Power Holding ComPany of Nigeria PIND PartnershiPs Initiative in the Niger Delta PSH Peak Sun Hours PV Photo Voltaic R&D Research & DeveloPment RE Renewable Energy ROI Return on Investment SABC South Africa Broadcasting CorPoration SHF Small Holder Farmers or Style House Files SHS Solar Home System SME Small and Medium EnterPrises SPO Special Palm Oil SPV Special Project Vehicle SSPE Small Scale Processing EquiPment SWOT Strengths Weaknesses OPPortunities and Threats TPO Technical Palm Oil USAID United States Agency for International DeveloPment VLD Village Level Dealer VPC Veterinary Pharmaceutical ComPanies W Watts WTO World Trade Organisation Acknowledgments DAI EuroPe and the MADE II Programme would like to acknowledge the great amount of work contributed by the following consultants in the comPletion of this rePort: Team Leader: Adam P. Saffer Agriculture: Md. Rubaiyath Sarwar (Lead) Busuyi Okewo Idris Rufus Entertainment: Marshall Bear (Lead) Chidi Ukwu ICT: Talia Dweck (Lead) Hanson Johnson Fashion: Snow Ogunjimi (Lead) Folake IkumaPayi Renewable Energy: Tinyan Ogiehor (Lead) Adam P. Saffer Wholesale/Retail: Sheriff Mohammed (Lead) CHAPTER I AGRICULTURE AND AGRIBUSINESS ASSESSMENT 1.1 Introduction and Executive Summary The PurPose of this assessment is to determine if, within the agricultural sector in the Edo State, there are suitable oPPortunities for ESIP to facilitate further investment, increase incomes, and/or generate new jobs for the State’s vulnerable population. The objective of this assessment is to chart a course for ESIP to identify and pursue investment and employment related initiatives in the agribusiness sector in Edo State that will serve as viable and aspirational alternatives to illegal emigration, and likely human trafficking. The assessment methodology used included secondary source desk research, key informant interviews with a broad cross section of public and private sector agricultural and agribusiness stakeholders, and meetings with potential farmers, farming conglomerates, equipment manufacturers, input suppliers and agro-dealers, and off-takers for further Processing and/or exPort. For more detail on the overall MADE II and ESIP Projects, the overall objectives and key performance criteria, and the Markets for the Poor (M4P) research and assessment methodology utilised, Please refer to ChaPter 1 of the consolidated ESIP IncePtion Study Main RePort. This assignment was undertaken to chart a course for ESIP to identify and Pursue investment and employment related initiatives in the agribusiness sector in Edo State that will serve as viable and aspirational alternatives to illegal emigration, and likely human trafficking.