Laoye: Talks between COPAN, NAFDAC on 2024 export regulation bill underway

In a recent exclusive interview with CNBC Africa, Akin Laoye, CEO of FTN Cocoa, shed light on the ongoing talks between the Cocoa Processors Association of Nigeria (COPAN) and the National Agency for Food and Drug Administration and Control (NAFDAC) regarding the 2024 Export Regulation Bill. Laoye highlighted the plans to adopt a 'hand holding' approach to achieve a win-win situation between regulators and the cocoa processing industry in Nigeria. This engagement comes at a critical time when the industry is facing challenges with infrastructure and human capabilities for regulating export transactions at Nigerian sea and airports. The dialogue is aimed at addressing concerns raised by COPAN regarding the potential impact of the new export regulations on their operations and costs.Assurances from Laoye suggest that significant progress has been made in the discussions, with both parties working towards a mutually beneficial solution. Laoye emphasized the importance of quality control and the stringent regulations that cocoa processors adhere to in ensuring that their products meet international standards. He further expressed optimism that the anticipated bottlenecks in export procedures could be eliminated through collaborative efforts and alignment with global best practices.One of the key points raised during the interview was the issue of fees and charges imposed by government agencies in Nigeria, which often add to the financial burden of exporters. Laoye highlighted the industry's concerns about additional costs and emphasized the need for a careful approach to avoid further economic pressure on operators. Discussions around these financial aspects are ongoing, with stakeholders hopeful for a favorable outcome that takes into account the cost sensitivity of the industry.The interview also delved into the quality control measures within the cocoa processing sector, with Laoye asserting that the industry is well-regulated and maintains high standards to prevent product rejections in the international market. He emphasized the significant investments made in laboratory facilities and production processes, which contribute to the positive reception of Nigerian cocoa products globally. Laoye suggested that sharing best practices with other food industries could enhance regulatory compliance and improve the overall export quality from Nigeria.As the dialogue progresses, Laoye highlighted the willingness of Nigerian cocoa processors to collaborate with regulatory bodies and share expertise to enhance the export process for various food products. The industry's commitment to quality assurance and regulatory compliance underscores its readiness to contribute positively to Nigeria's international trade reputation.Throughout the interview, Laoye also addressed the evolving landscape of the cocoa processing industry, noting challenges related to increasing raw material costs and capacity optimization. He pointed out the recent surge in cocoa prices, which has necessitated higher working capital for processors to maintain production levels. Despite these challenges, Laoye expressed confidence in the industry's resilience and highlighted the potential for government support and policy interventions to facilitate growth and sustainability in the sector.In conclusion, the dialogue between COPAN and NAFDAC signifies a proactive approach towards enhancing regulatory frameworks and fostering collaboration between industry players and regulatory authorities. The emphasis on quality, compliance, and cost efficiency reflects a shared commitment to advancing Nigeria's cocoa export industry. By navigating challenges and leveraging opportunities, the cocoa sector aims to strengthen its position in the global market and drive sustainable growth in the years to come.