Amanze ChinonyeIn Northern Nigeria, tomato farmers have long battled the problem of surplus produce going to waste due to lack of storage and poor market access. But a shift is underway. Local cooperatives and agro-processing startups are converting these excess harvests into paste, puree, and sauces extending shelf life and boosting earnings.
According to the Food and Agriculture Organization (FAO), Africa loses up to 37% of its food post-harvest, primarily due to spoilage, poor handling, and inadequate infrastructure. But the expansion of agro-processing the transformation of raw agricultural goods into higher-value products is being positioned as a key strategy to curb this waste and improve livelihoods.
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By processing fruits, vegetables, dairy, or cereals into more stable forms, agro-processors reduce perishability and improve economic returns. For example, cassava can be processed into gari, starch, or flour, with longer shelf life and higher market value than the raw root.
Affiong Williams, CEO of ReelFruit, a Nigerian agribusiness that processes and exports locally grown and dried fruits said agro-processing has helped tap into overlooked opportunities.
“Our products are made from fruit that would otherwise go to waste. We work with farmers who can now earn more and waste less,” she said
A Pathway to Jobs and Rural Development
The economic ripple effects are far-reaching. Agro-processing creates jobs in manufacturing, packaging, quality control, logistics, and distribution especially in rural areas where employment options are limited.
The African Development Bank (AfDB) has made agro-industrialization a central focus of its development strategy. Through its Special Agro-Industrial Processing Zones (SAPZ) initiative, the Bank is investing in rural infrastructure to link farmers with processors and markets.
“We must industrialize Africa’s agriculture through agro-processing zones that link farmers to markets and add value to what they produce,” said Dr. Akinwumi Adesina, President of the AfDB.
These zones, now under development in countries like Nigeria, Ethiopia, and Senegal, are expected to reduce food loss, attract private investment, and modernize agriculture.
Tapping Local and Global Markets
Processed agricultural goods have greater market appeal and flexibility. Dried mango, tomato paste, and shea butter are easier to store, ship, and sell not just domestically, but internationally. Exporters in Ghana, Nigeria, and Kenya are finding ready buyers for these products in Europe, North America, and the Middle East.
This value addition not only earns foreign exchange but helps stabilize prices locally by reducing gluts during harvest seasons.
“Agro-processing is one of the most effective ways to expand income opportunities for farmers while reducing losses,” said Abebe Haile-Gabriel, FAO’s Assistant Director-General and Regional Representative for Africa, during a 2024 summit.
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Persistent Challenges
Yet, the promise of agro-processing is not without obstacles. Small and medium processors often lack access to modern equipment, affordable power, and cold storage. Financing remains out of reach for many rural entrepreneurs. Meanwhile, limited enforcement of quality standards continues to hinder exports.
Agribusiness support organizations, such as Nourishing Africa and the Global Alliance for Improved Nutrition (GAIN), are pushing for more capacity building, especially for women and youth entrepreneurs in the sector.
A Timely Solution
As food insecurity rises due to climate shocks, conflict, and inflation, agro-processing is gaining new urgency in 2025. With global supply chains still strained, countries are looking inward to strengthen their domestic food systems.
Turning raw produce into market-ready goods is proving not only smart economics it’s a strategic imperative.
“In a time of scarcity, we cannot afford to waste food. Agro-processing is how we protect our harvests and our people,” said Dr. Martin Fregene, Director of Agriculture and Agro-Industry at AfDB.
Economic Implications
Agro-processing presents a major opportunity for a country like Nigeria to diversify its economy beyond oil by adding value to its abundant agricultural produce. Though agriculture contributes about 25% to the GDP, the country still imports a large portion of processed foods.
By developing local processing industries, Nigeria can reduce food imports, create jobs, and generate higher export earnings. According to the African Development Bank, every dollar invested in agro-processing yields up to three dollars in economic activity.
“Agro-processing can be the engine for inclusive economic transformation in Nigeria,” said Prof. Oyebanji Oyeyinka, AfDB Senior Adviser on Industrialization.
Beyond boosting farmer incomes, a vibrant agro-processing sector could support rural development, enhance food security, and stimulate industrial growth making it a key lever for long-term economic stability.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
