Friday, January 30, 2015

Maize (also known as ‘corn’ in some countries) is one
of the most common and important food crops across
Africa. Maize is widely eaten in various forms and
more than 900 million Africans depend on maize
every year because it is often cheaper than rice and
wheat, two of the other most consumed cereals. In
fact, many of our daily diets contain maize either
directly or indirectly. Production of meat, eggs and
dairy products (like milk and yoghurt) would be
difficult without maize, which is a hugely important
ingredient in animal feed. Although our continent
produces over 50 million tons of maize every year,
Africa still spends over $2 billion to import maize
from abroad. As Africa’s population continues to
grow, the demand and consumption of maize will
increase rapidly over the coming years. This article
explores the lucrative market for maize within and
outside Africa. You will also learn the secrets of this
business including FREE manuals and materials to
guide you.
Why is maize an interesting business opportunity?
Maize is a totally amazing crop. By planting just one seed of
maize, you get over 500 kernels in return at harvest. That’s an
incredible return on investment! In fact, maize was made for
developing regions like Africa.  It utilises sunlight very effectively
and Africa has sunlight in abundance. Maize can grow on a vast
array of soils and can survive in different climatic conditions on
our continent. Maize also matures really fast. From the time it is
planted, maize requires only between 90 to 120 days (about 4
months) to reach harvest. This allows it to survive in areas with
short periods of rainfall and irregular water supplies.
One of the reasons maize is in high demand
as a food crop is its high energy and
nutritional value. It is rich in Vitamins A, C
and E, several essential minerals, and
contains up to 9 percent protein. It is also
rich in dietary fibre and carbohydrates which
are a good source of energy. It is no
surprise that in many parts of East Africa,
maize accounts for an average of one third
of the daily caloric intake. Maize remains a
key food crop in Africa, Latin America and
Asia. Although it is primarily used as human
food in developing regions of the world,
maize is one of the most important raw
materials for animal feed production and
biofuels in developed countries. (photo
credit: newscom.com)
Maize is also a versatile food product for Africans. It is processed
and prepared in various forms depending on the country and
culture. Ground maize is prepared into porridge in Eastern and
Southern Africa, while maize flour is prepared into porridge/pap in
West Africa. Ground maize is also fried or baked in many
countries. In all parts of Africa, green (fresh) maize is boiled or
roasted on its cob and served as a snack. Popcorn is also a
popular snack derived from the maize crop.
Because of its huge strategic importance and versatile uses as
human food, animal feed and a valuable industrial raw material,
the production of maize is taken very seriously around the world.
According to IITA estimates , about 800 million tons of maize is
produced worldwide every year. Africa produces 6.5 percent of this
volume which is still insufficient for local consumption. Nigeria
remains Africa’s largest producer with nearly 8 million tons
produced per annum. It is closely followed by South Africa,
Tanzania, Kenya and Uganda. The United States remains the
world’s largest producer with 42 percent of all maize produced
globally.
Who are the biggest buyers and consumers of
maize in Africa?
Photo credit: capitalfm.co.ke
Maize is a food crop that is in high demand across Africa. In this
section, we shall look at the three major segments that make up
the biggest demand for maize in Africa – human beings, animals
and industries. We will now look at each of these segments to find
out the reasons for their demand and the lucrative potentials of
this demand.
Human beings
Africans directly consume about 30 percent of all maize that is
produced worldwide. Unlike in developed countries where a major
portion of maize produced is used for animal feed, maize is a
significant part of diets in Africa. More maize is eaten per person
in Africa than in any other part of the world. Lesotho has the
highest consumption per capita of maize in the world (174kg/
person). Eastern and Southern Africa uses 85% of harvested maize
as food, while Africa as a whole uses 95%, compared to other
world regions that use most of their maize as animal feed.
Africa has one of the fastest growing populations in the world with
an annual population growth rate of nearly 3 per cent over the last
20 years. With the world’s highest birth rate, its current population
of nearly one billion people is predicted to more than double in 40
years to 2.3 billion (source: McKinsey Research). It is expected
that the demand for maize as human food will grow in step with
Africa’s population. The demand for more maize in the coming
years is certain. Whether the increased volumes of maize will be
produced locally or imported from outside the continent remains
uncertain.
Animal Feed Producers
Maize is a favourite raw material for animal feed. It is cheaper
than many of the other feed alternatives and provides the required
nutritional content for livestock. As a result, over 60 percent of
maize produced worldwide is used in feed production. In Asia, and
many of the developed countries, more maize is used in animal
feed production than for human consumption. For example, the
United States, the world’s largest producer of maize, uses over 80
percent of its maize harvest to produce animal feed.
As discussed in our animal feed production article, the growing
production and demand for meat is having a strong effect on the
demand for maize. In the future, less maize may be eaten directly
and more will be consumed indirectly (through poultry, meat and
dairy products).
Industrial consumers
Maize has quite a high starch content which makes it a high-
demand industrial raw material. The starch obtained from maize is
processed into several additives, agents and ingredients such as
dextrine, sorbitol, sorbic acid and lactic acid. You may not
recognize these substances but they are used in many household
items that you know and use such as: ink, cosmetics, paint,
medicines, syrups, ice cream, shoe polish, fireworks batteries and
glue. Yes, all of these things contain starch.
Starch from maize is also heavily used to produce bioethanol, a
form of renewable fuel used as an alternative to petrol (gasoline) to
power cars, trucks and buses. Ethanol is also used as a solvent in
the manufacture of varnishes and perfumes; in the preparation of
essences and flavorings; and in many medicines and drugs.
Photo credit: businessdailyafrica.com
Some of the biggest industrial buyers of maize are food producers
and breweries. International food processing giants like Nestle and
Kelloggs (just to mention a few) purchase a lot of maize to
produce some of the famous cereal-based breakfast brands like
Cornflakes. Breweries also use maize as a major raw material for
beer production. Africans consume millions of litres of beer every
year and this volume is expected to rise significantly due to
population growth and economic prosperity. The more beer that is
produced, the more maize that will be purchased by brewers
across the continent to produce beer.
How to start and succeed in the maize production
business
Compared to many other crops, maize is quite easy to produce.
However, succeeding in the maize production business requires
knowledge and skill. Based on our research, we have identified
some things entrepreneurs should consider and keep in mind if
they plan to get involved in the maize business. Here they are:
Find suitable land
The first and most important thing you will need to get started with
maize production is land. Maize grows best in rich loamy or sandy-
loam soils in a well-drained area that has a flat or fairly flat
landscape. Maize will not do well in waterlogged land. If the land is
not well drained, you could make ridges or mounds to protect the
crops from waterlogging. Because the maize plant loves sunlight,
the land has to be in the open and free from any kind of shade
(such as tall trees or man-made structures) that prevents sunlight
from reaching the planted maize.
The land has to be cleared and tilled before the rainy season starts
and the maize should be planted immediately after the land is
prepared. If this is not done, weeds may grow fast and compete
with the maize for nutrients and sunlight.
Use the right varieties
There are different varieties of maize in the world today and the
type you choose to produce will depend on consumer preferences
and market demand in your area. In some localities, white corn is
more popular than the yellow variety. In some other areas, it is
vice-versa. However, the best maize varieties grow fast, are high
yielding, mature earlier than the local varieties and are resistant to
major pests and diseases. There are now some hybrid varieties
that use much less water and can often survive in drought-prone
areas.

No comments:

Post a Comment