Daylong Group seeks to end agric supply chain fragmentation

A Lagos-based agribusiness firm, Daylong Group, has said that it is tackling long-standing challenges in Nigeria’s agricultural value chain by investing in processing infrastructure, product certification, and traceability systems aimed at reducing food imports and boosting exports.

According to a statement issued on Wednesday, the company said Nigeria’s continued dependence on palm oil imports, despite its vast agricultural potential, underscores the need for stronger processing and supply chain systems.

“Nigeria has the land, the climate, and the smallholder farmers needed to achieve self-sufficiency in palm oil production. The challenge has never been cultivation; it is the lack of processing infrastructure, certification systems, quality management, and documentation that can transform agricultural output into products that meet modern market standards,” the statement read.

The company said it has adopted a vertically integrated model designed to address these challenges by controlling key stages of the value chain. “What makes our approach different is that we are treating agriculture the way a technology company would approach a fragmented industry,” the company said. “We own the full stack, monitor every layer of the process, and ensure that every product can be verified.”

The company explained that its palm oil plantation and refinery are located in Edo State, while spice cleaning, grading and dehydration are carried out in Kaduna. Packaging and distribution operations are coordinated from Lagos.

“Our operations span refined palm oil production, spice processing, flavour blends, industrial ingredient supply, consumer food products, and exports,” the company said. “This structure allows us to maintain quality standards from farm to market.”

Industry figures cited by the company show that Nigeria currently produces about 1.4 million tonnes of palm oil annually but consumes approximately 2.5 million tonnes, leaving a significant supply gap filled by imports. “For a domestic producer with certified products and documented quality systems, this gap represents a major opportunity,” Daylong noted.

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The company also highlighted opportunities within Nigeria’s spice sector, particularly ginger production. “Nigeria is the second-largest producer of ginger globally, accounting for about 16 per cent of world production, yet it captures less than three per cent of global export revenues,” it said. “Our investment in Kaduna is aimed at processing spices closer to their source and improving their export readiness.”

The firm also pointed to recent developments in regional trade infrastructure as a major boost for export-oriented agribusinesses. “The launch of the East and Southern Africa Air Cargo Corridor has significantly reduced transportation costs for exporters,” the company said. “This creates new opportunities for Nigerian agro-processed products to compete across African markets.”

The firm noted that government initiatives aimed at increasing domestic palm oil production, encouraging local processing, and improving sector-wide traceability could further strengthen the industry.

“The convergence of growing domestic demand, improved trade infrastructure, and supportive government policies presents a unique opportunity for companies that have invested in certified and export-ready products,” it said.

Reflecting on its long-term vision, the company said the central question guiding its operations is simple. “What happens when operational discipline and verifiable technology are applied to an agricultural value chain that has traditionally lacked both? We believe the answer lies in creating a more efficient, transparent, and globally competitive food supply chain for Nigeria,” it said.

The company expressed confidence that improving processing capacity and supply chain transparency would help reduce import dependence, support local farmers, and position Nigerian agricultural products more competitively in regional and international markets.