The 2nd Annual UK-Nigeria Trade and Investment Mission Summit 2023.
“Building Sustainable Trading and Investment Roots: and understanding the ‘Rules of Origin for Nigeria”
20th to 28th August 2023
@ Cities of London and Birmingham
The ties between Nigeria and the UK may have been deep-rooted in its historical and political
heritage although over the past sixty years it has since evolved into a more dynamic relationship that
includes education, trade, arts and culture exchanges. The UK and Nigeria have an excellent
commercial relationship with over £6.1 billion worth of trade per year and the 2nd largest African
market for goods. UK companies are extremely well-known in Nigeria and UK brands (especially
luxury goods) are in very high demand, from household items to whiskey. Nigeria has one of the
lowest income tax rates in the world, 7%-24%, and therefore the growing consumer base of
Nigerians has a lot more disposable income. As a foreign investor, there are investment incentives in
Nigeria. Some of these incentives cover all sectors, while others are limited to specific sectors.
Executive Summary of UK/Nigeria Trade relations
The first UK-Nigeria Trade and Investment Mission was held in April 2022 in the cities of London and Peterborough, with participants from Nigeria and UK. The Nigeria delegation was led by the Hon. Minister for Industry, Trade and Investment, His. Excellency Otunba Adeniyi Adebayo, accompanied by the Hon. Minister of state for Finance, Budget and National Planning, Prince Clem Agba with both ministries Permanent Secretaries, Senior Directors, delegations from the Nigeria Port Authority, Standard Organisation of Nigeria, Nigeria Export Processing Zone Authority, Nigeria Oil and Gas Free Zone Authority; and from the private sector delegation are, top directors of, Agro-Allied Commodities and Produce Services Ltd Nig, OFICON Group Ltd Nig, Automatic Fit and Energy Ltd Nig, Fisolak Global Resources Ltd Nig, and British Nigeria Business Network while the UK participants were representatives of the House of Lords led by Lord Taylor of Warwick, representatives from the
Commonwealth’s trade department, Foreign and Commonwealth office, DIT East of England office, British Africa Business Alliance, Opportunity Peterborough, Commonwealth Entrepreneurs Club UK, while we had private businesses such as; Wanis International UK, ETK Group UK, Across Atlantic UK, Book Aid Africa, Chelgate Group, Genesis Energy Group, GKB Ventures UK, Alvan Blanch UK, Angle Meals, Grovemere Property Cambridge, Lancaster Business Park Ely, Paragon Precision Engineering Ely, Cambridge Commodities.
The delegation went on two business site visits of Wanis International and Paragon Precision Engineering Ltd. Wanis International Foods is one of the big importers and exporters of goods(foods) from and to Nigeria. They are the biggest distributors of Nigerian food product from large and small retailers throughout the UK and Europe.
Delegation at Wanis
The delegation met with the company Managing Director and the management staff and Paragon Precision Engineering Limited employs over 20 high skilled workers, in engineering technology designs, producing various spare parts for high key value manufacturing companies around the world, including defence and aircraft industries. Paragon Precision Engineering Ltd is owned by Mr. Ejike a Nigerian of Igbo extraction.
Mr. Ejike with delegates at Paragon Precision Engineering Limited.
The main focus of the mission is to identify key challenges and opportunities of improving trade and investment relations between UK and Nigeria post-brexit, which was very well re-emphasised in his keynote speech at the opening session in the House of Lords, Lord Carlile, who spoke on the “Economics of trade and investment post-brexit opportunities and relations, identified key policy issues and regulatory disadvantages which needs to be reviewed to better improve trade relations between the UK and Nigeria.
Though some of this regulatory and product quality specifications were obviously made know during the business site visit at Wanis International one of UK biggest importers of Agro-Produce from Nigeria.
In consideration of the above issues this year’s trade mission and summit would definitely build on the major achievements from last summit, one of which is setting the agenda and process of creating key Nigeria Produce exports with a recognised country of origin statues into the UK market.
In view of this, the trade mission would discuss and negotiate the issues surrounding the Rule of Origin and the UK policy direction on “The developing countries trading scheme” (DCTS)
Rules of origin
Rules of origin (RoOs) are used to determine where goods are ‘from’, for example, where they have been produced or had substantial work done to them. This is used in determining appropriate tariff rates, access to preferential trade arrangements or application of trade sanctions.
Rules of origin provide the criteria for testing whether a good can be considered to have been produced in a particular country. They determine whether a good qualifies for any reduction in tariffs.
The Developing Countries Trading Scheme cuts administrative costs for businesses by reducing more tariffs and bringing more countries in scope of the most generous tariff reductions. It also cuts red tape for developing countries, for example by simplifying rules of origin requirements for the least developed nations. This helps the world’s poorest countries to export to the UK and play a more active part in fast growing global supply chains.
It also helps lower costs for UK businesses, leading to lower prices for consumers across a range of everyday products, by reducing tariffs on imports from low income and lower-middle income countries. Increasing trade and decreasing tariffs is another way the government is supporting businesses and individuals with cost-of-living increment.
The government is introducing the Developing Countries Trading Scheme (DCTS) to improve access to the UK market for developing countries. The DCTS will come into effect in early 2023. In line with the government’s new International Development Strategy, the scheme contributes to developing countries’ integration into the global economy, creating stronger trade and investment partners for the future, and strengthening supply chains. It grows free and fair trade with developing countries, boosting the economy and supporting jobs in those countries, as well as in ours.
With the theme of this year summit centred on: “Building Sustainable Trading and Investment Roots and understanding the ‘Rules of Origin for Nigeria”. The Trade Mission and Summit would be exploring the potential opportunities in which the Rules of Origin and DCTS in 2023, would do in projection balance exports of both fresh/processed and finished Agro-produce to the UK market, considering the tendency of Nigeria opening up to a Non-Oil Economy, new money, through its next 5 years National Economic Development Plan, which tends to promote private sector-led non-oil growth to build the foundation for economic diversification.
Based on the above the activities of this year’s mission and summit would be focused on two major economic cities of the United Kingdom, which are; City of London, the financial heart beat, and the City of Birmingham, the Black-County and the sustained Industrial heartland of the Northern Power House.
As a result of the need for access and roots to exports, we would make possible arrangements for delegates, especially intended exporters and Nigeria Port Authority officials to visit at least two major UK ports. There are 7 major shipping ports in the UK, managed by 5 different privately run companies. For the purposes of this mission we would consider visiting the Ports of Felixstowe, somewhere up North and the Ports of London (Tibury) down South.
Brief Information on both Ports:
The Ports of Felixstowe
A Felixstowe feature is one of the top 10 busiest European port facilities at the 9th position. The port shares most of its container handling duties (48%) amongst all the ports in the UK.
It spreads across 33.83 sq. km and has a total of 10 berths for container operations. The harbour originated in the late 1700s, while the facility is in existence since 1875.
The early operations at Felixstowe port were pipeline and railway pier transport records. Commercial cargo operations and breakthrough container handling started in the late 1960s.
Container operations at Felixstowe recorded an average of 3.8 million TEU for the past five years. Meanwhile, the figures from 2020 reflect 25.8 million MT cargo volumes with 65% of the inward flow. It shows that Felixstowe port is the pivot of major inbound finished goods trading for the UK.
There are a total of 22 movable gantries with a tire design for mobile lifting. The mega cranes at these berths have the largest capacity globally, lifting over 70 MT at once. Each crane has a maximum outward reach of 62 meters and a weight of approximately 2000MT.
Network and Layout
The human network at Felixstowe features over 3500 employees with an additional 2500 for internal handling. Over 11,000 meters of railway length and three terminals feature 72 rail calls per day.
The facility is also amongst the few in the UK to try 5G connections for security and surveillance matters. It is also one of the few harbours to have the super container vessels traffic inflow.
The Ports of London
The establishment of London port occurred during the 1st century as the most important trading port. The modern shipping trades in this port originated in the mid-1800s. London stands as the second biggest port facility in the UK behind Immingham in terms of tonnage. The port’s geographical location on the Bank of Thames invites high sea-going traffic through the North Sea. As the highest contributor, the port’s annual turnover is £4 billion over the last decade.
London is amongst the two ports in the UK to handle 54 million MT of cargo in 2019. The trade graph has a 4% decline for the port’s cargo in 2020. There are a total of 30 berths available for sea-going vessels of all sizes. Meanwhile, the average draught for vessel traffic is 17.5 meters. London Port’s 82% trade belongs to the inward flow of dry bulk, liquid cargo, and container vessels. The maximum quay length ranges around 655 meters with an average depth of 15.5 meters.
Network and Layout
The inland water network leading to the port amounts to 60% of vessel traffic within the region. The port facility employs over 45,000 staff that works for surveillance, cargo operations, and handling. It also allows passage to the national freight handling rail network.
To see more details, kindly download the concept note
Benefits of theTrade Mission
Collaboration for venture partnerships between the United Kingdom and Nigeria to engineer sector specific growth in Agro-business and non-oil exports, deriving stronger foreign exchange and new money into the Nigerian economy
Funding for emerging ventures in Agriculture, Information Communication Technology, Tech Start ups, Education, Health, Environment, Mineral Resource Utilization and Renewable Energy.
Click below to register, for interest to participate
Expected Special Guest and Speakers
HON. OTUNBA A. ADEBAYO
Hon. Minister of Trade, Investment
AMB. ALH. SARAFA TUNJI ISOLA
Nigeria high commissioner to the Uk
MR MOBIN RAFIQ Chairman Commowealth Entrepreneurs club
MR DAVID SMITH
Chairman British African Business Alliance
MR. ANDREW MONCUR
DR. CLINTON LIU
CEO MCG Global
DR. IKECHI IGBUGBA
CLIR. MUHAMMAD BUTT Leader of Council
London Borough of Brent
Director & Head Agriculture and Food Investments United Green