Farouk Gumel, the Executive Director and Vice Chairman for Africa at TGI Group has emphasized the critical importance of revitalizing Nigeria’s manufacturing value chain to unlock its full economic potential.
Gumel conveyed this message during his address at the 2023 United States (US)-Africa Business Summit, organized by the Corporate Council on Africa (CCA) in Gaborone, Botswana.
TGI Group holds a notable position as a substantial contributor to the Nigerian economy, serving as a prime example of an organization that has proactively managed its value chain.
Gumel highlighted the company’s comprehensive approach, which encompasses the production of essential agricultural inputs like seeds, fertilizers, and agrochemicals, as well as empowering local operators within communities.
“We believe in a balanced approach that marries modern techniques with job preservation,” Gumel remarked.
He urged other enterprises to follow TGI Group’s lead by embracing technology without causing unemployment, particularly in regions abundant with unskilled labor.
Gumel also advocated for the adoption of contemporary farming methods to improve yield and productivity as a foundational step. He emphasized that any intervention should result in a mutually beneficial outcome for the company’s operations and the host communities.
This approach, Gumel noted, constitutes a pivotal element of TGI’s strategy and underscores the company’s dedication to supporting farmers beyond the harvest.
Gumel said, “Our factories have guaranteed off-take agreements with the farmers, solidifying our commitment to the entire value chain, from input supply to processing.”
‘Even in areas with limited direct control, such as product packaging, TGI has adeptly structured its operations to navigate challenges successfully.TGI Group’s forward-thinking approach extends beyond its core operations,” he said.
Acknowledging the shared responsibility of this initiative, he noted that the company acquired Union Bank, a prominent financial institution.
Gumel explained that through this acquisition, TGI is promoting financial inclusion in rural regions, converting agro-dealers into agent bankers who offer crucial banking services to individuals in underserved communities.