The Profitability profile of Fluted Pumpkin Leaf (Ugu) Export

Fluted pumpkin leaf (Telfairia Occidentalis or Ugu in native language) is one of the commonest, most lucrative, edible vegetables in Nigeria. It possesses universal appeal, nutritional value and medicinal properties. Virtually every part of the fluted pumpkin plant is useful. Fresh pumpkin leaves are one of the main ingredients used in preparing some common Nigerian soups (Ofe Egusi and Ofe Ogbono / wild mango-seed soup) and other meal.Apart from containing essential vitamins and minerals,pumkin leaves are often referred to as ‘blood tonic’ because of their tested healing and energizing potentials. As a result of haematinic properties of the fluted pumpkin leaves, liquid extracts from the leaves can be used in the treatment of anaemia because of the high levels of protein and iron in the plant. When the vegetable is prepared for herbal medicine, it is used to treat sudden attack of convulsion, malaria, and anaemia; it also plays a vital and protective role in cardiovascular diseases.

The root of the fluted pumpkin plant possesses anti-plasmodial and schizonticidal properties making it capable of treating parasitic malarial infections. The plant contains high amounts of phosphorus making it useful for keeping off onset of kidney diseases like kidney stone.

The fruits are not edible but seeds produced by the gourd are high in protein and fat, and can be included in the dishes to make a well-balanced diet or processed into oil for cooking or soap-making. Fluted pumpkin seed oil contains high amounts of anti-oxidative properties such as oleic acid, vitamin A, alkaloids, tannins and linoleic acid, which are used for treating infertility in males. The seed is also highly recommended for nursing mothers because it has lactating properties. The seeds can further be processed into flour produced from that can be used for high-protein bread. The seeds, extracted from the gourd fruits are very cheap and can be easily sourced for replanting.

Fluted pumpkin cop is mostly grown in the southern and middle parts of the Nigeria but it can also be grown in any part of the country, even the north, as it copes equally well amidst arid conditions. In a number of large farms, it is often left to creep on the ground with associated exposure to pest and disease infestation, and splash of sand by torrential rains on the leaf. Traditional farmers do better to stake the plant (raise it up with poles of stick and bamboo wood) for increased yield and income. The staking also transposes the crop for better exposure to sunlight, ventilation and enhanced yield. However, a beneficial outcome of allowing the gourd to roll flat on the ground is the suppression of weeds, especially when intercropped with tall, upright plant such as maize.

Fluted pumpkin farming is indeed worth undertaking. It is not capital intensive. For one to start on a small scale, all that is needed is a piece of land and the disposition to do or hire manual labour on seasonal basis. In arid regions, the farming activity may require local, makeshift irrigation.

No wonder, fluted pumpkin vegetable trade is booming in both the domestic and international markets. Even at that, only the few Nigerian entrepreneurs who are privy to export information are making a fortune in the lucrative business, earning huge foreign exchange. Europe and America constitute the largest markets for fluted pumpkin.

A good number of the emerging exporters lack knowledge of acceptable produce quality and international regulatory requirements, target markets, price mechanism, distribution networks, transportation modes and other essential details. Knowledge of appropriate packaging is exceptionally vital from the point of view that vegetable is susceptible to spoilage when exposed to extreme temperatures (heat, cold or humidity) or subjected to extended time or other risky environmental conditions. Although, cargo planes and ships are usually well equipped to handle goods that require refrigeration and controlled atmospheric conditions that should keep them in good quality until they get to consumers abroad, a good number of Nigerian exporters are yet unable to understand and utilize the best opportunities and facilities available in cargo aviation at major airports. Understanding the quality standard that the vegetable commodity must satisfy before they may be allowed passage through the destination inspection points must also be emphasized.

In general, fruits and vegetables including live cut flowers and plants require specific conditioning and monitoring because consumers, especially those residing in advanced countries, pay strict attention to quality, safety, hygiene, handling and packaging. To avoid the incidence of rejection at any stage, it would not be a bad idea if an intending exporter involved the Agricultural Quarantine officers in the comprehensive supervision of the crop, from the planting stage, through harvest to the point of export. This initiative would guarantee early access of the produce to laboratory inspection, which would ultimately ensure that phytosanitary conditions conform to international standards. At the port of origin, agricultural quarantine officers, among other inspection authorities, must finally examine particular vegetable consignments in order to ensure that the produce conforms to regulatory standards; if it does not, passage would be denied. In a situation whereby inspection of the produce was not properly carried out but allowed passage at the port of origin, there is the tendency that it might be rejected at the destination port. Therefore, apart from personal efforts by the intending exporter to hygienically prepare the product for the export market, it is necessary to fully involve the Nigerian Agricultural Quarantine Services from the beginning.

It is instructive to note that a lot of people who rushed into the lucrative vegetable export business had their fingers burnt because they did not do their homework very well. Having a background practical knowledge of the local market, though very critical, is not sufficient to understand the international market. The prospective exporter must take a step further. Doing a thorough background study is most crucial because it provides the potential exporter, above all, with the much needed strategic information such as: international produce quality standards, packaging requirements, the intricacies of the trade, and the regulatory guidelines and procedures. In order to avoid ‘had I known’, prospective exporters are therefore advised to do an in-depth contextual research. Engaging the services of a qualified consultant to handle this task would not be a bad idea.

Now, let’s do a preliminary assessment of the lucrativeness of the vegetable export business, leveraging on the local pricing dynamics.

Consider a small export venture that buys the certified fluted pumpkin vegetables from the local market, for sale in the international market.

Based on a similar market survey in Europe and America, the international value of the leaf is $2.20 per kg.

Based on a recent market survey in Nigeria, the average local market price of pumpkin leaf is N200 per kg and the average local resale value of pod is N200 per kg. [The seed count in a mature fluted gourd can be up to 196 or more. It is usually difficult to transport the pod because of its bulky nature; hence, it is more convenient to sell the product in the local market].

If the prospective exporter intends to start small (dealing on 10-tonnes per shipment), he would need to set aside a capital of about N5m. He would use N2m to buy 10 tonnes of the leaf in the local market at N200, 000 per tonne. Then he would use approximately N3m to settle registration fees and inspection charges plus packaging, transportation, marketing and hidden costs. By the time he air-cargoes the vegetable to Europe or America, he would sell it at around $22,000 or N7.92m (gross turnover, at an exchange rate of 1USD=360NGR); thereby making a net profit of over N2m ($5,500) in just one cargo shipment; indicating a 40% net profit margin or rate of return. When compared to the average return on investment in Nigeria which hovers around 10%, it could be seen that the fluted pumpkin leaf export venture guarantees a fantastic return on any one’s investment. The profit margin would certainly be greater if the profit derivable from the sales of the pods in the local market is added to the profit generated from the international trade operations.

Again, the vegetable business would become more sustainable if the businessman cultivates the produce in his farm. He would by this arrangement procure the leaves directly from his farm on an uninterrupted basis rather than depend on the open market for his supplies. More importantly, he would get dependable certification/ official approval from the Agricultural Quarantine Service.

In case you are fascinated about this money-spinning business and you want to get more information, contact: dilisinvestltd@gmail.com

Chukwudi Odili