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Viewing cable 09ABUJA1112, NIGERIA: AMBASSADOR HOSTS PPP AGRICULTURAL EVENT ON

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Reference ID Created Released Classification Origin
09ABUJA1112 2009-06-19 09:43 2011-08-25 00:00 UNCLASSIFIED Embassy Abuja
VZCZCXRO3805
PP RUEHMA RUEHPA
DE RUEHUJA #1112/01 1700943
ZNR UUUUU ZZH
P 190943Z JUN 09
FM AMEMBASSY ABUJA
TO RUEHC/SECSTATE WASHDC PRIORITY 6355
INFO RUEHOS/AMCONSUL LAGOS PRIORITY 1540
RUEHZK/ECOWAS COLLECTIVE
RUEHGB/AMEMBASSY BAGHDAD 0395
RUEATRS/DEPT OF TREASURY WASHDC
RUCPDOC/DEPT OF COMMERCE WASHDC
RUEHRC/DEPT OF AGRICULTURE WASHDC
UNCLAS SECTION 01 OF 02 ABUJA 001112 
 
SIPDIS 
 
DEPT PASS TO AID FOR AFR/SD 
DEPT PASS TO USTR-AGAMA 
BAGHDAD FOR DUNDAS MCCULLOUGH 
TREASURY FOR PETERS AND IERONIMO 
DOC FOR 3317/ITA/OA/KBURRESS AND 
3130/USFC/OIO/ANESA/DHARRIS 
USDA FAS/OCBD/PSIMMONS AND LSIMMERING 
 
E.O. 12958: N/A 
TAGS: EAGR ECON EFIN ETRD PGOV NI
SUBJECT:  NIGERIA:  AMBASSADOR HOSTS PPP AGRICULTURAL EVENT ON 
CAPACITY BUILDING AND AGRO-FINANCING; OPENS AGOA RESOURCE CENTER 
 
1. (U) SUMMARY: On June 9-10 in Lagos, the Ambassador hosted a 
Public Private Partnership (PPP) agricultural event entitled 
"Boosting the Nigerian Agricultural Sector through Financing, 
Processing, Capacity Building, Capital Equipment and Market Access". 
 The PPP event covered the need to boost the Nigerian agricultural 
sector, address financing challenges facing Nigerian importers, 
processors, and buyers of capital equipment, and encouraged 
increased Nigerian exports under the African Growth and Opportunity 
Act (AGOA).  The event included presentations by the U.S. Commercial 
Service (USCS), Foreign Agricultural Service (FAS) U.S. Agency for 
International Development (USAID), U.S. Export Import Bank (EXIM), 
U.S. Trade and Development Agency (TDA), Overseas Private Investment 
Corporation (OPIC) and the USAID West Africa Trade Hub.  This event, 
attended by some 450 private and public sector representatives, was 
a follow up to a nationwide energy conference last year in which 
many of the same agencies participated.  Both events also focused on 
how to raise the profile and use of AGOA by Nigerian companies.  In 
addition to the importance of AGOA, and commissioning a new AGOA 
Resource Center, the Ambassador also highlighted the USG Global Food 
Security Program for Nigeria.  End Summary. 
 
2. (U) On June 9 and 10, the Ambassador hosted an agricultural event 
on financing and capacity building in Lagos entitled, "Boosting the 
Nigerian Agricultural Sector through Financing, Processing, Capacity 
Building, Capital Equipment and Market Access."  This was the second 
in series of public-private partnership (PPP) efforts between the 
U.S. Mission to Nigeria, the Bank of Industry, several Nigerian 
banking partners, and USG agencies seeking to raise profile and use 
of AGOA by Nigerian companies.  The event concentrated on building 
capacity in the Nigerian agricultural sector through practical 
workshops addressing financing challenges, preparing products for 
export to the U.S. and providing technical assistance for 
agribusiness development.  The event consisted of four modules: 
--Financing mechanisms for bank representatives and those in 
agribusiness or food processing intending to expand or develop, and 
in need of capital equipment and technology from the U.S.; 
--Food labeling for agricultural exports to the U.S.; 
--Technical assistance for agricultural processing; and 
--Scaling up on use of AGOA. 
 
Financing and Investment 
-------------------------- 
 
3. (U) In the financing module, OPIC, EXIM, USTDA, USCS and FAS 
provided participants with tools on understanding agricultural 
financing and how to plan for agricultural infrastructure 
investment.  Furthermore, they presented information how to 
successfully acquire and finance capital equipment and technology 
from the U.S. and how to access investment finance and insurance 
products to help both U.S. and Nigerian companies build their 
businesses. 
 
Technical Assistance for Agricultural Processors 
--------------------------------------------- --- 
 
4. (U) In this module, USAID concentrated on technical assistance 
for agricultural processors for financing and developing the 
agricultural value chain, including use of the Development Credit 
Authority (DCA) through several partnering banks in Nigeria.  DCA 
allows USAID to issue partial loan guarantees to private sector 
lenders, pledging to cover the lender's risk of borrower default up 
to 50% of loan principal.  This encourages financial institutions to 
provide loans to new sector and borrowers, and reduces market entry 
risks for lenders contemplating new products. 
 
Food Labeling 
------------- 
 
5. (U) In a two-day food labeling workshop an expert FAS consultant 
trained over 100 participants on U.S. standards, regulations and 
requirements for labeling agricultural products for export to the 
U.S. The session was interactive and beneficial, and participants 
were hungry for information on how to better package and properly 
label their products for entry into the U.S. market. 
 
AGOA/Trade Hub 
-------------- 
 
 
ABUJA 00001112  002 OF 002 
 
 
6. (U) In this module, experts from USAID and its West Africa Trade 
Hub led an interactive workshop on how agribusinesses can scale up 
operations to take advantage of AGOA.  Presenters used case studies 
of Nigerian agribusinesses that had successfully used AGOA to export 
to the U.S.  They provided step-by-step instructions for how to 
research the U.S. market, develop a solid business plan, access 
capital, and begin exporting.  They suggested all participants take 
advantage of the U.S.- BOI AGOA Resource Center, which the 
Ambassador and BOI Managing Director Evelyn Oputu commissioned on 
June 9 as part of the agricultural event. 
 
U.S.-BOI AGOA Resource Center 
----------------------------- 
 
7. (U) For the past year, the Ambassador has been working very 
closely with the Nigerian-American Chamber of Commerce (NACC) and 
BOI to relocate the AGOA Resource Center from a small desk at NACC 
to a full-service, multi-room facility at BOI that is easily 
accessible for the public.  The Ambassador took advantage of the 
agricultural event to commission the new Center alongside BOI MD 
Oputu.  Participants from the agricultural event, government 
officials and several media representatives attended the 
commissioning ceremony of the U.S.-BOI AGOA Resource Center, which 
will be used by private sector companies who are interested in 
accessing or further scaling up on AGOA. 
 
8. (U) This message was coordinated with Consulate Lagos. 
 
SANDERS