Katsina, one of the states in the Northwest geopolitical zones is blessed with a lot of lucrative business opportunities, unfortunately, a lot of them remain untapped or underutilised.
Carved out of Kaduna state on September 23, 1987, Katsina State came into being during the military regime of Gen Badamasi Babangida.
With its 24,192 km2 land area, Katsina is the seventeen largest state in Nigeria in terms of landmass with 34 local government areas.
- Dominant languages: Hausa and Fulfude
- Predominant Religion: Islam
Is it safe to Do Business in Katsina?
The state is a good location for the production of consumables which could be supplied to other neigbhouring states – Zamfara, Kano, Jigawa, and Kaduna – and they also feed the consumer need in the Republic of Niger, since it’s one of the states in Nigeria that share boundaries with foreign countries.
Called the “Home of Hospitality”, but the activities of bandits and remnants of Boko Haram from the Northeast have found their way into some parts of the state, so in terms of security, Katsina has some challenges.
The 2020 data by the Nigerian Bureau of Statistics (NBC), Katsina was one of the states that attracted zero Foreign Direct Investment, insecurity is hugely responsible for this and partly the pandemic.
Not just that, it also shows that the state has to do more in attracting investors and putting measures in place to make the state an investment destination.
In terms of ease of doing business by PEBEC (Presidential Enabling Business Environment Council), Katsina occupies no. 9 on the table.
Opportunities in Katsina
Below are the lucrative business opportunities in Katsina you can invest in are:
Cotton production:
Countries like the United States, China, Zambia, South Africa, Uganda, and Tanzania generate huge revenue from cotton production either as suppliers of the raw materials or in making the final products.
In Nigeria, Katsina State is the largest cotton producer in the country, which means a good location for the citing of textile industry to make clothes, the bedcover, sheets, pillowcases, and other textile materials.
Cotton is an investment opportunity in Katsina that is yet to be tapped. The beauty of the raw material is that cotton is planted in nearly all the 34 local governments in Katsina state, meaning wherever you cite your textile industry, you can lack raw material.
Sugar production
Apart from its local consumption, sugarcane is used for several finished products like ethanol, sugar, and sweeten pharmaceuticals. Medically, sugarcane juice is used to reduce weight.
Since Katsina is one of the largest producers of sugarcane in Nigeria, the location of a pharmaceutical firm in that location would reduce the cost of sourcing for raw materials.
Solid Minerals Mining
There is large deposits of many solid minerals like gold, basalt, diamonds, feldspar, granite, graphite, gold, iron ore, kaolin, manganese, nickel, uranium.
Some of these minerals are already been mined illegally, legitimate mining companies can even make money from some of these minerals.
For instance, gold, diamonds are used for pieces of jewelry and ornamental designs, this is a business opportunity for investors.
Agribusiness Opportunities
Apart civil servants, the majority of residents in Katsina are large-scale farmers of maize, tomato, soybean, onion, and sorghum among others.
Citing of tomato paste manufacturing company in that part of the country wouldn’t only reduce Nigeria’s reliance on importation of tomato paste, the company would also have less to worry about the raw materials.
Cross-Border Haulage Business
Its closeness to the Republic of Niger makes haulage a lucrative business in Katsina, not just that, this business can also service the market demands of agricultural products of neighboring states.
Tourism Investment
Apart from its rich cultural heritage, Katsina has some tourist centres that seek investment.
Animal Feeds Production
The large-scale plantation of maize assisted by irrigation in some local governments like Sabua, Danja, Malumfashi, Kankara, faskari, and kufur among others where an intending investor who wants to go into the production of feeds, starch, and flour among others can be located.
Power Generation Investment
Power supply from the government has failed woefully. It is costlier to purchase and maintain generators.
Another lucrative business opportunity in Katsina is solar power generation since the state has more than 26 celsius most of the year, the weather is a good source of solar power generation.
Peanut Packaging
Katsina contributed largely to Nigeria’s revenue through exports of groundnuts before the discovery of crude changed the economic initiatives of the state governments.
Groundnut is produced on large scale in the state, this is a raw material for oil production, packaged peanuts, and confectioneries animal feed production.
Soya Milk Production
Katsina land is suitable for the farming of soybeans, most especially in Funtua, Dandume, and Bakori, and other parts of the state.
This is a good opportunity for an investor who is looking for where to cite large production of soya milk factory and cooking oil.
Agric Products Online Marketplace
Although there are mega markets in the state, a technology-driven marketplace can be founded with a special focus on the farmers in Katsina to list their agric produce.
Leather Products Manufacturing
Katsina is one of the major producers of livestock such as cows, sheep, goats, and camels, raw materials of which can be used for making leather shoe, leather bag and so many other leather-finished materials.
Veterinary Services
Livestock is another mainstream of revenue for thousands of Katsina people. Most times, they need a vet doctor to take care of their herds for them. Offering this service is a great business one can engage in.
Take Away:
Lucrative business opportunities in Katsina are numerous for an investor with a low and big budget, but we hope that the state government stops complaining and takes steps to wipe out those criminals who parade themselves as bandits.
The state should also stop granting amnesty to Boko Haram remnants (which they mildly call bandits) and take steps in attracting local and foreign investors with a secured environment and other incentives to up the internally generated revenue of the state through result-oriented business incentives.