Nigeria’s Cocoa Growth Hinges on Traceability, Technology and Sustainability
LAGOS – Nigeria’s ambition to increase cocoa production and strengthen its position in the global cocoa market will increasingly depend on its ability to improve traceability, sustainability and digital systems across the value chain, stakeholders have said.
The concern comes against the backdrop of the Federal Government’s distribution of one million improved hybrid cocoa seedlings to farmers. Stakeholders described the intervention as an important step towards revitalising cocoa production, but stressed that it must be supported by broader measures to deliver lasting impact.
According to stakeholders who spoke in separate interviews with Daily Independent, boosting cocoa production is no longer solely about increasing yields, as international markets are placing greater emphasis on sustainability, traceability and the environmental conditions under which cocoa is produced.
Oba Dokun Thompson, the Oloni of Eti-Oni in Osun State, said the current intervention was particularly significant because it came at a time when traceability and sustainability had become paramount in commodity production, especially for exports to Europe.
He pointed to the European Union Deforestation Regulation (EUDR), which is expected to take effect from January 1, 2027, as one of the developments making traceability increasingly important for Nigeria’s cocoa industry.
Thompson said the Federal Government’s plan to establish a national framework for full traceability and a data warehouse for commodities would further strengthen the country’s efforts to meet emerging international requirements.
He explained that the initiative was taking place alongside the distribution of improved cocoa varieties developed by the Cocoa Research Institute of Nigeria (CRIN).
Nigeria currently produces about 330,000 tons of cocoa, while the average output of cocoa plantations is about 400 kilogrammes per hectare.
Thompson said the adoption of appropriate agricultural practices could increase output to about 1.5 tons per hectare, creating the potential for Nigeria to raise cocoa production to about 500,000 tons within five years.
The improved varieties, he noted, have a short gestation period and are expected to begin fruiting within two years, compared with five to seven years for traditional varieties. They are also pest resistant, have good flavour and high yield potential.
However, stakeholders stressed that the productivity gains expected from improved seedlings would only be sustainable if farmers received the necessary technical, financial and technological support.
James Oyesola, a member of the National Cocoa Management Committee (NCMC), said improved seedlings represented only one element of a successful cocoa production system.
He advocated sustained investment in research and digital technologies to improve traceability, farm advisory services and market information across the cocoa value chain.
Oyesola said farmers needed regular training on proper planting techniques, pruning, shade management, soil fertility improvement, integrated pest and disease management, harvesting, fermentation, drying and quality preservation.
He also called for the promotion of climate-smart cocoa production practices to strengthen farmers’ resilience to changing weather conditions.
According to him, the rehabilitation of ageing cocoa farms must accompany the seedling distribution programme because many cocoa plantations consist of old and declining trees that produce far below their potential.
“Simply distributing seedlings without rehabilitating existing farms may limit the programme’s overall impact,” he said.
Oyesola, who is also the State Cocoa representative and Director, Tree Crops and Climate Change Ministry of Agriculture, Ogun State, identified access to quality farm inputs as another important factor. He urged that farmers should have timely and affordable access to fertilisers, certified agrochemicals, improved farm tools and irrigation support where necessary.
Beyond production, he said market access and incentive systems would determine the willingness of farmers to invest in their farms.
He advocated stronger market linkages, quality-based pricing, certification programmes and local value addition, while noting that well-organised farmer cooperatives could strengthen farmers’ bargaining power and facilitate access to finance and inputs.
Traceability Becomes Critical
The growing emphasis on traceability is also expected to influence how cocoa is produced, monitored and marketed.
Oyesola said compliance with the EUDR involved much more than distributing improved seedlings. He noted that Nigeria would need to invest in farm mapping using GPS coordinates, digital traceability systems, farmer registration, reliable data management and institutional capacity for monitoring and verification.
He said the National Cocoa Management Committee had already established a National Task Force for the implementation of the EUDR compliance process.
Thompson, who is also the founder of the International Cocoa Diplomacy (ICD), similarly explained that the National Traceability and Sustainability Framework being developed by the Federal Government would have the capacity to monitor crop health through satellite and remote sensing technology.
According to him, the technology could warn farmers of potential hazards that could adversely affect their crops and could also be used for yield predictions.
He added that discussions were ongoing with the Federal Government on ways to further de-risk agricultural investments through blended finance and robust green insurance models that could serve as incentives for private investors.
For Ayo Akinola, a member of the NCMC and Country Focal Person for the ICCO-led African Cocoa Exchange (AfCX) Programme, the one-million-seedling intervention should be viewed within the broader challenge of transforming Nigeria’s cocoa industry into a modern, sustainable and competitive agribusiness.
Akinola described the intervention as not a “silver bullet” but a major step in the right direction that could rekindle public, private and development-sector interest in addressing production, productivity, farmgate livelihoods, infrastructure and sustainability challenges.
He said the intervention could also provide a pathway for digitising upstream activities, maximising farm yields and incomes, reducing costs and improving adaptation to climate change.
According to Akinola, the initiative could help create a sustainable cocoa agribusiness model consistent with the expectations of the EUDR compliance framework and the global marketplace.
Calls for Stronger Coordination and Policy
Akinola also identified institutional coordination as a major issue confronting the sector.
He said the Federal Government’s intervention represented a “call to action” to dismantle what he described as the longstanding “silo-mentality” within the cocoa ecosystem, which had contributed to mistrust and overlapping mandates among ministries, departments, agencies, trade organisations, value-chain actors and development partners.
He argued that the one-million-seedling intervention was only a small component of the 10-year National Cocoa Plan aimed at taking output beyond the 500,000-tonne benchmark, restoring credibility and premium prices to Nigerian cocoa beans and derivatives, and creating a stronger domestic consumption market.
For the sector to achieve these objectives, Akinola called for the resolution of the legislative impasse surrounding the Nigerian Cocoa Management Board and the establishment of a cocoa-driven Commodity Exchange Platform.
He said such a platform would support price discovery, geo-referencing, traceability and blockchain mechanisms from the farmgate while helping to build a more sustainable and competitive cocoa economy.
Sustainability and Global Competition
The sustainability challenge has become particularly urgent as the global cocoa industry faces growing pressure over environmental concerns and alternative sources of cocoa.
Oba Thompson said the cocoa industry was facing one of its greatest challenges, with several sustainability and compliance issues to address, alongside growing calls for the acceptance and adoption of cocoa alternatives and substitutes, including laboratory-created cocoa.
Against this backdrop, stakeholders believe Nigeria must build systems that allow it not only to produce more cocoa but also to demonstrate where and how the commodity was produced.
The distribution of improved seedlings through accredited farmers and recognised farmers’ unions or associations is expected to support this objective by making tracking more feasible and ensuring that production follows acceptable sustainable practices.
Oyesola said the government’s expectations of increased export earnings, stronger EUDR compliance and improved global competitiveness were ambitious but achievable if the seedling programme formed part of a broader and coordinated cocoa development strategy.
He noted that Côte d’Ivoire and Ghana did not become global cocoa leaders overnight, stressing that Nigeria would similarly require sustained effort and policy consistency.
He disclosed that the NCMC had visited Ghana in 2022 and Côte d’Ivoire in 2025 to study what the two countries were doing in the cocoa sector.
Ultimately, stakeholders agree that Nigeria’s cocoa challenge is no longer simply about planting more trees. The industry must simultaneously raise productivity, rehabilitate ageing farms, improve farmer incomes, strengthen research and extension services, digitise traceability, meet sustainability requirements and develop stronger market and value-addition systems.
With the EUDR deadline approaching, the ability to trace cocoa from the farm to the market could become as important as the quantity produced.
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