Nigerians’ demand for wheat is pushing for increased importation with a supply gap of nearly five million metric tonnes, which cannot be provided through local supply.
A study by KPMG attributed the growth in wheat demand to usage by manufacturers of wheat-based foods such as flour, pasta, semolina, noodles and wheat meal.
According to the study, the size of the Nigerian biscuit segment has been estimated at N121 billion, having grown at a common annual growth rate (CAGR) of 16 percent in the past five years.
Data by the Federal Ministry of Agriculture and Rural Development said the 420,000 metric tonnes of wheat produced in Nigeria last year were grossly inadequate to meet growing demand.
Data sources accessed by The Nation have shown growing imports in the last six years.
For instance, Knoema, an international research firm, stated that the nation’s wheat imports quantity increased from 350,000 tonnes in 1971 to 650,000 tonnes in 2020 growing at an average yearly rate of 10.21 percent.
In its report, Knoema noted that Nigeria imported 6.5million tonnes of wheat last year.
Source: The Nation Nigeria