Feerum at the Polish-Nigerian Economic Forum

FEERUM is consistently working to implement the strategy of expansion into African markets. The company’s representatives took part in the first Polish-Nigerian Economic Forum, during which FEERUM was awarded the “Golden Mercury” award for outstanding achievements in the development of exports.

FEERUM S.A. is a leading producer of comprehensive drying and storage units in Poland. Most of the company’s revenues now come from the Polish market, however, the share of export revenues is growing dynamically. In the first half of this year, the value of exports increased threefold in relation to the first half of 2016. This excellent result was influenced above all by the increase in sales to Eastern European markets – Ukrainian and Lithuanian. FEERUM sees a great development opportunity in the possibilities of the African market.

– We are intensively preparing for the implementation of a contract for the construction of five grain silos and storage facilities on the territory of the United Republic of Tanzania and revitalization of existing storage facilities with a total value of USD 33.1 million – informs Daniel Janusz, chairman of the board of FEERUM S.A. – We are waiting for the intergovernmental ratification of this agreement, leading a number of important preparatory works in Tanzania and Poland – he adds.

In May 2017, an annex to the contract was signed for the payment of a one-off advance of USD 4.97 million to the FEERUM (ie approximately PLN 21 million), representing 15% of the total contract value, without the company having to submit an unconditional bank guarantee.

– The African continent is increasingly counting on the international arena as a large market for potential investments and promising economic opportunities. The branch of agricultural machinery and equipment is one of the most promising areas – ensures Dawid Pokrywka, Export Director FEERUM S.A.

In May this year, the company participated in an economic mission in Ethiopia, organized under the patronage of the President of the Republic of Poland Andrzej Duda. She participated in similar missions in Rwanda, Egypt, Zambia, Algeria, Senegal and Angola.

The Federal Republic of Nigeria belongs to the markets with the largest potential in Africa. With a population of over 170 million, it is the seventh in the world and the largest nation in terms of population on the continent. The vast majority of Nigerian people live from agriculture. Although this branch of the economy generates around 30 percent of GDP, it employs as much as 70 percent of the workforce. As in all of Africa, the problem is the lack of adequate storage infrastructure for cereals, which leads to large losses, sometimes reaching 40 percent of the harvest.

The first Polish-Nigerian Economic Forum (25-26 September 2017) was attended by 35 representatives of Nigeria’s economic and political circles, including many State Ministers and heads of regional chambers of commerce from Adamawa, Sokoto Kaduna and Plateau. Krzysztof Jurgiel, Minister of Agriculture and Rural Development, presented to the guests from Nigeria the possibility of cooperation with the agri-food sector. The federal government of Nigeria, in the face of growing food prices and high amounts paid for imported food, introduced a number of initiatives and incentives aimed at reviving this sector of the economy and using its potential. FEERUM S.A. has all the data to take advantage of.