Experts define salt as a white crystalline substance which gives seawater its characteristic taste, used for seasoning or preserving food.
Research shows that salt is obtained from two sources: rock salt and brine. According to Foramfera, an online investment opportunities linkage firm, rock salt is a crystallised salt, also known as halite, which is a result of evaporation of ancient oceans. On the other hand, brine is water containing a high concentration of salt, obtained from ocean and salty lakes such as the Dead Sea and from underground pools of salt water.
Data from Report Linker, an online market research firm, shows that the global salt demand would climb 2.9 percent annually through 2015 to 327 million metric tons, valued at $13.6 billion.
‘’Increased salt consumption in most parts of the world will more than offset expected contractions of demand in Western Europe and Japan,’’ said the data report.
‘’Growth in chemical manufacturing output will fuel the majority of additional demand between 2010 and 2015, largely due to the continued rapid expansion of chemical production in China,’’ it said further.
Salt is found in Nigerian states such as Abia, Anambra, Akwa Ibom, Ebonyi, Benue, Imo, Nasarawa, Plateau, Sokoto, among others. Report shows there are salt springs at Awe( Plateau State), Abakiliki, Uburu(Imo State), while rock salt is available in large quantity in Benue State. Foramfera puts salt reserves in the country at 1.5 billion tonnes and adds that further research is being done by government agencies to determine further reserves.
Incidentally, the industry is yet to be fully exploited by the private sector, thereby making it difficult for the country to compete in the international salt market, say experts. The captive industry is still not attracting huge investment attention, despite that table salt is used by 170 million Nigerians.
‘’The major salt companies we know are Dangote Salt, which is in the business of refining. Its subsidiary is National Salt Company of Nigeria, that controls about 60 percent of the industry. We have Royal Salt Company. There are others but what is their share of the market?’’ queried Peter Emodi, an Abuja-based market research analyst.
While X-raying the world salt market, Report Linker said China and India remained key salt markets, not just because of their large population bases but the growth of their chemical manufacturing industry.
In 2011, Siyan Malomo, director-general, Nigeria Geological Survey Agency (NGSA), said Nigeria spent $2.3 billion to import salt every year.
In 2012, Nuthalapati Mahendra, managing director, Royal Salt Company said it had employed 5000 Nigerians and created indirect employment opportunities for many Nigerians who do business with the company.
‘’These are great opportunities for investors and have employment creation potentials. But just like in ceramics, we must take processing seriously and there needs to be incentives for daring investors, just like we have had in the cement industry’’ said Eguakhide Patrick Oaikhinan, professor of material engineering, with specialisation in ceramics, and CEO, Epina Technologies, in an interview with BuisnessDay.
ODINAKA ANUDU
