Friday, 29 April 2016


Read this story culled from
"First Bank Nigeria Limited has officially announced its plan to cut about 1000 jobs and focus less on providing loans to the oil industry in a bid to reverse the 2015 financial year's 82 per cent slump in profit.
First Bank building
Speaking to Bloomberg in Lagos, Adesola Adeduntan, the chief executive officer of First Bank of Nigeria, has said that one thousand (1,000) staff of the bank will lose their jobs as the bank expects to boost its return on equity (ROE) – a key measure of profitability, to between 11 percent and 14 percent in 2016 from from last year’s 'really bad' figure of three per cent.
Below is how Bloomberg exclusively reported the story;
FBN Holdings Plc, which owns Nigeria’s biggest bank, plans to cut jobs and focus less on providing loans to the oil industry in a bid to reverse last year’s 82 percent slump in profit.
The lender expects to boost its return on equity, a key measure of profitability, to between 11 percent and 14 percent in 2016 from last year’s “really bad” figure of 3 percent, according to Adesola Adeduntan, chief executive officer of FBN’s main First Bank of Nigeria unit. It is also targeting a cost-to-income ratio of 55 percent in two years time from 59 percent, he said.
“ROE will be much better than last year,” Adeduntan said by phone from Lagos on Wednesday. “At a minimum, we should triple it. We do not shy away from taking difficult decisions. We used to have above 8,000 people. We’ll push it down, gradually, to 7,000.”
Net profit fell to 15 billion naira ($76 million) from 84 billion naira in 2014, as impairments soared and Africa’s biggest economy slowed amid a crash in the price of crude, the biggest source of government revenue and export earnings. Growth decelerated to 2.8 percent in 2015, the lowest level since 1999, and may worsen to 2.3 percent this year, according to the International Monetary Fund.
First Bank’s non-performing loans ratio stood at 22 percent at the end of March, compared with 3.8 percent a year earlier. Reducing that figure is the “number one priority,” said Adeduntan. The bank will do that by reducing the proportion of its lending to the oil and gas sector, currently at about 39 percent of total loans, and focusing more on blue-chip companies in other industries, he said.
Enough Cash
Adeduntan ruled out any equity raising this year, saying the bank’s capital adequacy ratio of 17.2 percent was enough of a buffer and above the central bank’s minimum requirement of 15 percent. It would still be adequate if the floor is raised to 16 percent in July for systemically important institutions, including First Bank.
“We continuously evaluate it and the position now is that there’s no need for external capital,” said Adeduntan, 46, who became CEO in January after joining First Bank as chief financial officer in mid-2014. “We generate enough internal capital,” he said.
FBN’s shares rose 5.3 percent to 3.57 naira on Wednesday. They’re still down 30 percent this year, more than the Nigerian Stock Exchange All Share Index’s drop of 13 percent.
The bank’s valuation lags that of its main competitors such as Guaranty Trust Bank Plc and Zenith Bank Plc. Its stock trades at 0.22 times book value, or the theoretical price that shareholders would get if all assets were sold and liabilities paid-off. That compares with 1.18 times for GTBank and 0.62 for Zenith.

The market has over-corrected,” Adeduntan said. “It’s priced in all the negative information. For us, it can only go up."
The story above is a clear reason why those who are working in corporate organizations should take having a PLAN B seriously and consider Non-Oil Commodity Export Business as an interesting business to use as a PLAN B.

Wednesday, 13 April 2016


Non-Oil Commodity Export market has become more interesting of recent due to the recent economic situation of Nigeria which the fall in oil prices caused. Therefore, non-oil commodity export is seriously under consideration as an alternative to salvage the falling economy.Value Added Exporting in simple term, means adding value to the commodities you are exporting. No matter the amount you are making right now as profit in your export business you can make more of it if you add value to the commodities you are exporting. Majority of the commodities exported from Africa especially Nigeria are exported in the raw form, which industries in the other continents like Europe, Asia, America e.t.c will add value to it and sell it at a higher price and the funniest case is that they sell some of this product back to us at a higher cost after adding value to it.

Take for example, our very own shea butter which is exported abroad from Nigeria, some cosmetics manufacturing companies will add value to it, produce a cream and brand it with a beautiful name which is sold back to us and some of our people buy these creams at exorbitant prices. This same scenario applies to some other Nigeria’s exportable commodity.It is important as an exporter or a prospective exporter to work in a new direction of adding value to the commodities you specialized in exporting. Advantages of adding value to your exportable commodities are: 
1.       Increase in your ROI (Return on Investment)

2.       International Exposure for your brand

3.       Ability to sell  value added products in the local market

Examples of commodities that exporters can add value to are:

1.       Shea Nut and Butter: Shea Nut can be reprocessed into Raw Shea Butter Grade A, while Raw Shea Butter can be reprocessed into Refined Shea Butter. Raw Shea Butter export will give you more profit while Refined She Butter will give you higher profit.

2.       Cashew Nut: It can be processed into kernels for higher profit margin.

3.       Hardwood Charcoal: it can grinded to produce charcoal powder and packaged for export

4.       Sesame Seed: To improve it, it can be cleaned and dehulled

5.       Cassava: Value can be added to Cassava by packing and exporting it’s finished products like Garri, Fufu Powder, Tapioca e.t.c. It can be branded and packaged for export.

We will be discussing fully on value added exporting in a special series of articles, we will be releasing soon. The most important aspect in the exporting business is to simply do it right. To do it the right way, you will need the service of a consultant to put you on the right path and lead you to success.

If you are seriously interested in starting a Non-Oil Commodity export Business or you are interested in making more profit margins by adding value to the commodity of your interest, subscribe to our Non-Oil Commodity Export Business Consulting Service and we will definitely be of great help to your success in the business by the special grace of God.

Watch out for the Value Added Export Series.

To your success,

Gbeke Faith
Chief Consultant
TOSFAT Concepts



Friday, 8 April 2016


TOSFAT LOCAL SUPPLIERS NETWORK is a special network created for the benefit of local suppliers of Agricultural and Mineral Commodities in Nigeria. This network serves as a platform to promote the business of the local suppliers. Joining this network will help you in getting consistent buyers for your commodities all over Nigeria.

Are you  a local supplier of Agricultural Commodity(ies) like: Sesame Seed, Dried Split Ginger, Garlic,Cocoa,Shea Nut, Shea Butter, Cashew Nut e.t.c or Mineral Commodities like: Lead Ore, Zinc Ore, Copper e.t.c, join TLSN today. To join the TOSFAT LOCAL SUPPLIERS NETWORK, send us a mail to: with the subject, "TLSN" or call: 08038248222/08076000259 for more information.

Thursday, 3 March 2016


Nigerian Non-Oil Commodity Export Business is an emerging market that is not yet fully tapped by Nigerians. It is an interesting business with a long, medium and short term business opportunities. While some Nigerians that are tapping into it in the right way, most of the new entrance into this business did not know the right step to take to be successful in this business. Non-Oil Commodity Export Business has three major challenges:
  1. Buyer Sourcing and Management
  2. Local Sourcing and Quality Management
  3. Logistics Management
Out of these three challenges, the toughest is: Buyer Sourcing and Management. For the context of this article, we will be discussing how to source  reliable buyers. There is various method of sourcing for buyers, but I will be discussing the easiest and reliable method that I have used for my clients which is ENHANCING YOUR EXPORT COMPANY IMAGE.

Enhancing your export company image is of serious importance. The way you present your export company to the world is the way they will accept it. Any prospective buyer that gets to know the name of your company will instantly want to know more about you. The best way to enhance your exporting company image is through a Corporate Website and a Strong Social Media Presence.There is a saying, that “first impression, last longer”. The first medium that will carry and promote the image of your company is your website. This will take your company to the nook and cranny of the whole world where you cannot be simultaneously at the same time. It will take your business to the closet of your buyers. Therefore, it is of great importance to have a company website for your non-oil commodity exporting business.

It is also important that the presentation of the website must not be poor. The design, wordings, pictures and arrangements must be appealing to the buyer depending on the type of commodity you are exporting. Also, your contact information must be clear in order for your buyers to contact you easily. An excellent website can take your business to the next level beyond your dreams; it will also give you a strong social media presence which will create more exposure of your company to the international market.

At TOSFAT Concepts, we can help you in building an excellent website that will take your business to the next level.  Our expertise in the Non-Oil Commodity Export Business is an added advantage that we will put to use in developing an excellent website that will portray your company professionally to your buyers.  You only need to supply us your company information and let us know the commodity you are exporting or interested in exporting. We will do the rest of the job and produce an excellent website for you. We will also advice and help you on promoting your website to create a strong media presence and get your company information to be accessed by buyers.

Also, if you already have a website, we can assist you in reviewing your website and advice you on necessary amendment you need to make on the website to meet up to international standard.

We wish you well in your exporting career.

To your success,

Gbeke Faith

Wednesday, 24 February 2016


Plantain flour is used in preparing a staple food, loved  by different tribes of Nigeria. In the southwestern region of Nigeria, it can be kneaded into dough usually called “Amala” by the Yoruba speaking tribe. The health benefit of plantain flour cannot be over emphasized. This makes this product a very good exportable product among semi-finished exportable product category in Nigeria. 

Plantain flour is made of dried and pulverized sliced plantain. Therefore, the major constituent used in making Plantain flour is PLANTAIN. Plantain is rich in high fiber content, It has low sodium/fat content and relatively rich is protein (between 3.0 to 3.5%) compared to other fruits.  It contains high level of Ascorbic Acid, Carotene and some other vitamins valuable to the development of the body. Plantain flour consumption is especially good for patients suffering from: Diabetes, Coronary Heart Disease, Arteriosclerosis, Angina Pectoris, Palpitation, High Cholesterol Level, High Blood Pressure, Obesity e.t.c. Plantain has been listed as one of the major high fibre rich foods. 

There is high demand of plantain flour in the international market. Especially Nigerians in diaspora are in current need of plantain flour. The increasing health benefit of plantain flour discovered day-by-day by researchers worldwide has relatively increased the demand of the product. Right now, just a few companies are supplying this product to the international market from Nigeria. To start this business, the most important Raw Material you need is PLANTAIN which we have enough suppliers to supply you.

For production of plantain flour, you will need the following machines:
1.       Dryer
2.       Plantain Slicer
3.       Hammer Mill with Cyclone
4.       Vibro Sifter
5.       Soaking Tanks
6.       Packaging Machine

The procedure of production involves the following:
a.       Sorting: Separation of unsuitable ones out of the batches.
b.      Weighing: The sorted plantain is properly measured on the scale.
c.       Blanching: In order to achieve easy peeling, in this process, the plantain will be soaked in hot water to soften the skin.
d.      Peeling: The skin will be removed manually with sharp knives to obtain it’s pulp.
e.      Slicing: A mechanical slicer will be used to slice the pulp.
f.        Drying: In this process, the sliced plantain will be dried
g.       Milling: A hammer mill will be used to mill the dried sliced plantain.
h.      Sieving: In this process, the flour is sieved to obtain the desired particle size.
i.         Packaging: Finally the flour will be packaged in a moisture proof packaging material according to various measures.

This project requires you to put some things in place before take-off like: factory building, machinery and equipment, generator, project vehicle, office furniture, equipment and bore hole. You might also need up to 58 personnel both skilled and casual in running this project. 

This project requires within N25m – N30m for startup depending on your business location and can attract a Return on Investment of 30% - 48% per annum, if you are producing within 450-500 tons/annum or more.

The most interesting aspect of plantain flour is that it has high demand both in the international and local market. This means, you can sell locally here in Nigeria and also export to African countries and other continents of the world. You can make more profit if you are exporting it abroad. If you are a Nigerian and well established in Diaspora, you can embark on this project in Nigeria, and start importing the product to your country, thereby serving as both exporter and importer. This will highly increase your profit in the business but it is important for you to check import regulation of the country of your residence. 

At TOSFAT Concepts, we can assist you to set-up this project from scratch. We will work hand-in-Hand with you and give you quality consultation from setting up the business to getting buyers for your product both locally and internationally. You can enjoy this benefit by simply signing us up as the Managing Consultant for your project. You can contact us with our details for more information.

To your success,
Gbeke Faith
Chief Consultant
TOSFAT Concepts