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10/10/2017 How to Make Money in Nigeria as a Product Sourcing Agent | MyTopBusinessideas.


How to Make Money in Nigeria as a Product Sourcing Agent
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As a product sourcing agent you can conveniently plug into the export value chain. What a good way to build up a
successful exportation business from nothing and have fun doing it? Not only does it require little nancial
investment to start, but it o ers the prestige of working with Nigerian exporters spread all over the Country.

What you need to start: In all honesty, you don’t need previous experience in the eld to get started, but you should
have a good head for organizing and paying constant attention to little details.

Making contacts with exporters: As a product sourcing agent, you will need to make contact with the Nigeria
exporters. You can register with some trade portals where you will have access to their chosen commodities,
speci cations and contacts details. You can also send a mail to them and inform them that you can meet their
requirement. However, you will need to submit a product sample to your potential clients; then you can go ahead to
discuss the price and the terms of payment.

Your clients: As a product sourcing agent, you will deal majorly with
farmers. You will need to go to their farms and deal with them directly
and you might need to transport the commodity to the city. You can
also deal with the local buying agents and the commodity merchant.
Although, this can be an expensive route to take but they make product
sourcing very easy.

‫اﻛﺗﺷف أﺳرار اﻟﺑﯾﺗﻛوﯾن‬
THE VALUE CHAIN: How Product Sourcing
‫اﻛﺗﺷف ﻛﯾﻔﯾﺔ اﺧﺗﯾﺎر وﺳﯾط اﻟﺗداول‬
Agents Make Money in Nigeria
‫ ﺗﻌﻠم ﻓﻧون اﻟﺗداول‬.‫اﻷﻧﺳب واﻻﻛﺛر ﺛﻘﺔ‬ 1. Farmers cultivate and harvest the commodities
‫ﻓﻲ اﻟﻌﻣﻼت اﻟرﻗﻣﯾﺔ‬
Nigeria, one of Africa’s most populous countries, has a highly diversi ed
agro-ecological condition, which makes the production of a wide range of agricultural products possible. Agriculture is
one of the most potentially viable sectors of the Nigerian economy, particularly in terms of its employment generation
potentials; as well as its contribution to Nation’s Gross Domestic Product (GDP) and export revenue earnings.

The Agricultural sector is being totally transformed by the federal government to enable the country move from
traditional farming to modern agriculture as a business both for small and large-scale farmers. The objective is to
ensure food security whilst also promoting exports in agriculture value chains where we have a comparative

A lot of Nigerian exporters are investing in large scale plantation of di erent agricultural product and making over
900% returns on their investment. This makes agricultural exporting one of the fastest growing business
opportunities in Nigeria ( As a small investor, you can get involved in
the export value chain by getting a land lease for a year at N5,000 per hectare or buying the land completely and start
a large scale agricultural plantation.

2. Local buying agent (LBA)

Local buying agents purchase commodities from di erent farmers, and pre–process them for export. They make sure
they have enough commodities in stock before the market day. The local buying agents (LBA) are divided into two

The Local commodity merchants
The City-based or large scale merchants 1/3

How to Make Money Fast 5. Franchises for Sale 3. He or she can also decide to pay in advance for the products or pay when the commodity is delivered to the warehouse. On the other hand.10/10/2017 How to Make Money in Nigeria as a Product Sourcing Agent | The local commodity merchants operate at the local level. an exporter can decide to deal with any of the agents or commodity merchants. 3.000. All you need is the desire and determination to make it work. the export business might be right for you. you will need a point man especially when you are sourcing for agro products. especially when you have the nancial muscle to buy in large quantities. A point man will make product sourcing very easy for you as they know the terrain and they know how to deal with the agents. 5. the city commodity merchants are based in Kano. Exporters Exporters are the receiver of the products and they deal with the international markets. They help in quick and e ective co-ordination of your chosen agricultural commodity. Commodity Merchants The commodity merchants purchase products from di erent local buying agents and farmers to process and sell to the sales agent and exporters.000 and N10.000. 4. you can buy from them if you have big orders. you must have a big 2/3 . A lot of Nigerians are operating a highly lucrative export company and they are making a steady income of between N500. I will advice any new entrants into commodity sourcing to deal with the farmers or the local buying agents. the sad truth is that Nigerians cannot even meet the demand coming from the Europeans Countries now. Dealing with them ultimately saves the time of the sourcing agent because you will get your commodities at one point How to Start an Online 1. However.mytopbusinessideas. because commodity merchant are very expensive to deal with. La a. Commodity sales agent These set of individuals purchase the commodity from merchants and local buying agents to deliver to exporters’ warehouse. Some of them are based in Lagos. and an air of diplomacy. As a product sourcing agent. In the export value chain. They are based in Lagos and you will need to give them advance payment before they can supply you your chosen commodity. etc. The cheapest exportable product is charcoal and the startup capital required is N650. They are big players and before you can buy from them.000 per trailer. Some Asians that come to Nigeria do buy from them because the city commodity merchant can arrange for ve to ten containers within few days. As a product sourcing agent. The pro t from the rst transaction can be ploughed back and an investor will be able to build up his capital base. Business Best Work from Home Jobs 2. a local buying agent that operates in Jujunku in Taraba state will buy from the farmer and stock his shop with agricultural commodities before the set market day. and at their spare time. Start My Own Business 4. while the pro t return on investment is N150. For instance. Kaduna. http://www.000 per month regularly. If you have the ability to sell.

Once you get the business underway. you will nd out that the time you spend is highly rewarded with money. the commission for setting up sales is very pro table. maize. inexhaustible (especially for agricultural commodities and other consumables) The market is. How to Make Money Sourcing Products for Local Manufacturing Companies Do you know that some local manufacturers are looking for ways to increase their market share for the goods they produce? You can help them achieve their goal by helping them source their raw http://www. you can start as a product sourcing agent and increase your skill in the export value 26. Author’s Bio: Tunji Afuwape is a small business nance consultant and expert. thus.mytopbusinessideas. cassava our. He provides “how-to” advice on small business and home-based work issues. His organization helps small businesses reach their fullest potential. Cocoa. You can get their LPO. Export Business Can Still Accommodate More Nigerians The non-oil export business is still at its very primitive stage in Nigeria with a very high potential for growth.377+ People Have Started a Business Using Our IDEAS Enter your email addre GIVE ME IDEAS We promise never to share your email with anyone Ads by Google Friv Louis Vuitton More on Import & Export How to Import Goods from China (http://www. Shea butter. You can read his full bio here and contact him also for business advice (http://www.mytopbusinessideas. I discovered that some of them pay on delivery and being their regular supply can raise your income 3/3 . Therefore.mytopbusinessideas. A lot of Nigerian companies are looking for cassava tuners.10/10/2017 How to Make Money in Nigeria as a Product Sourcing Agent | MyTopBusinessideas. If you are interested in the export vitamin-a/) How to Start a Cooking Gas Retailing Company (http://www. He is the CEO of 21st Strategies. In fact. And after you establish and maintain a number of exclusive accounts.  Starting a Business Producing Garri Forti ed with Vitamin A (http://www.mytopbusinessideas. there is space for everyone that will like to earn foreign exchange via the export business. The biggest advantage is the money you will make.