In the southeast geopolitical zone, Anambra is the most highly industrial state. The state comprises innovators, and manufacturers among others. But the business potential of the state has not been fully harnessed. In this post, we’ll discuss some of the business opportunities in Anambra for foreign and indigenous investors.
Just like every other state, there are specific businesses that sell fast in Anambra, but you put in mind that you have to be strategic by carefully mapping out your plan.
Table of Contents
It’s also very important to note the Anambra which is commonly referred to as, “The light of the nation” has some challenges you have to contend with in the course of your business plan and execution.
Is Anambra a good place for business?
Investors, most especially foreigners, depend largely on data. They don’t invest based on sentiment. As such, the question of whether Anambra is a good place to start a business was answered by the Presidential Enabling Business Environment Council or PEBEC, an investment team constituted by the government sometimes ago, and in the report, Anambra is among the top 10 best states to do business in Nigeria.
Specifically, the team based its research on indicators like Infrastructure and Security, Transparency and Access to Information, Regulatory Environment, and Skills Workforce Readiness. In the end Anambra ranked number seven.
Based on this report, the industrial southeast state is good to start a business, however, you must conduct your market research to have first-hand information.
Investment policies by the state government
Investment policies of a state are one of the driving factors that encourage business owners to expand their business or even create a one.
To make it easy for investors in Anambra, the state established ANSIPPA or Anambra State Investment Promotion and Protection Agency (ANSIPPA).
The agency was charged with the responsibility of providing a one-stop-shop for prospective investors and assisting prospective investors to resolve the issue of registration with the government, processing of land titles so that investors do not have to run from one government ministry or agency to the other.
Security
Before the activities of the separationist group IPOB, Anambra was one of the most peaceful states in Nigeria, since the arrest of their leader, lawlessness has taken over the state. However, the state government and the entire southeast states are calling for a political solution to the problem.
Even at this, we urge prospective investors to be cautious when visiting the state, considering the events that played out during the 2021 Anambra governorship election, though former CBN governor Charles Soludo emerged as the winner, the election was characterised by apathy partly because of the uncertainties over security.
The decision is now for you to take, below are some of the business ideas you start to lay your hands on in Anambra state. See below investment opportunities in Anambra
Oil and Gas Investment
This is one of the investment priorities of the state government. The sector comes with huge potential. There are several ways you can invest in oil and gas, some of them include:
- Establishing an oil exploration company and signing an MoU with the state government
- Register as one of the major local suppliers in the neighbouring state
- Operate as an industrial supplier of gas or petroleum products within the state.
Note:
The oil and gas business is an investment that requires huge financial requirements, most especially if you want to invest in the exploration aspect of it. Whatever, the requirements are, investing in oil is one of the lucrative businesses in Anambra.
Online Marketplace Innovation
Anambra state boasts of international markets, but markets in the state are yet to fully embrace technology to drive sales. Online marketplaces like Aliexpress and Amazon among others are driven by technology.
In Onisha and Nnewi for instance, buyers from foreign countries from Ghana, Niger Republic, Chad still have to fly down to the state to do business, things can be done better than this.
A technology investor can take up this investment opportunity in Anambra by coming up with a world-class marketplace for hundreds of shoemakers and other creative wearable materials in the state to list their products that can be sourced from any part of the world. Invariably, this will open the door for another business opportunity
Haulage/Transportation Business
A bubbling online marketplace automatically makes haulage business a good business to start. Buyers who make purchases online from other African countries would, through the haulage company, get their order in their doorsteps.
Have you ever thought of the amount haulage firm that works with aliexpress and amazon generates each year?
Even without the online marketplace, haulage is still one of the businesses that sell fast in areas like Nnewi and Onitsha because bulk buyers of products made in Onitsha and Nnewi want to get them transported to points of sale across Nigeria and other parts of the African countries.
Auto Components Distribution Business
In Nnewi and Onitsha, there are firms that fabricate auto components which can be found in different parts of Nigeria. The state also boasts of local manufacturing of autos.
Security Consultancy
Millions of business owners are ready to spend a chunk of their income to protect their businesses and investments. As such, if you’re a security expert or retired military personnel looking for ways to make from the needs of business owners, setting up a security consultancy company in Anambra would be a great business.
Textile Supply
Anambra is home to some textile manufacturing companies. This is a business opportunity for someone who has between NGN1,000,000 to NGN2million to invest in textile distribution.
Through this, you can start supplying other sellers in the southwestern states or other states in Nigeria. With just a slight difference in profit margin, wholesalers may choose you over going to the Anambra to buy. Give them a competitive price.
Light Manufacturing
There are electronic and home appliances that are manufactured in Anambra and the produce from the state aren’t enough to meet the demands of Nigeria. Millions of bulbs are still being imported from China into Nigeria. Your company can fill in this gap.
Business Consulting
Anambra means business. A typical Anambra man has hundreds of business ideas in his mind, he may be constraint by finance. There is a market for you!
Don’t be constrained by finance, so starting a business consulting firm, packaging business ideas for individuals who have the money will generate money for your ideas.
Investing in Natural Resources
Anambra state is blessed with natural resources like iron ore, phosphate, lignite, and limestone among other mineral resources in Nigeria, which is of economic importance to the development of the state.
To join the list of investors in the state, obtain a mining licence from the ministry of mineral resources and steel development, talk to the state government through the Anambra State Investment Promotion and Protection Agency (ANSIPPA) to process land titles.
Investment Energy
Power supply is still one of the major challenges businesses are faced within Nigeria. Investment in renewable energy in Anambra to provide power supply to companies is another business idea for investors.
Other business ideas in the Anambra include:
- Food Supply and Packaging
- Agribusiness
- Healthcare
- Tourism
Wrapping up
The aforementioned business opportunities in Anambra is a list from which local and foreign investors can consider. However, it’s important to conduct your due diligence to know the one that is good for you
By March 2020, business activities and investment in the state is expected to take a new dimension considering the economic track record of a former CBN governor Soludo
The outgoing governor Willie Obiano focused on 4 -pillar economic agenda: 1) Agriculture, 2) Oil and Gas, 3) Trade and Commerce, and 4) Industrialization.