Business Economy of Kano State

BUSINESS AND ECONOMY

The economy of Nigeria has been primarily fueled by the exportation of raw resources. North Nigeria, particularly Kano, has groundnut as one of its major exports. Kano has produced around half million tons of groundnuts and this quantity was around half the production of entire Nigeria.

Agriculture was essentially disregarded by the government during the 1970’s with the occurrence of oil boom. During this time, a very large number of rural settlers transferred to urban areas.
The products that Kano produced were heavily demanded even in Northern Africa. Professor Elizabeth Isichei accurately observed that Kano produced burnouse and blue haiques, which reached Southern Morocco. The country cloth produced by Kano is much more valuable than similar products in Manchester.

Agriculture

Kano’s economy hugely relies on agriculture. In fact, around three-fourths of the total state population performs jobs that are agricultural in nature. Cowpeas, maize, millet, rice and sorghum are the primary food crops that are dominantly cultivated in Kano for the necessities of the locals. On the other hand, cotton and groundnuts are Kano’s primary agricultural crops for industrial utilization and exportation.

Groundnuts have served as among the most important sources of income for the state. Kano State is also one of the biggest exporters of skins and hides. It possesses more than four-fifths of the tanneries found in the state’s industrial estates. Its exported tanned leather is considered one of the best worldwide. Other products that are grown and exported by the state are chili pepper, cotton, garlic, gum Arabic and soya beans.
These items can be purchased at the Dawanau Market, which is located around 13 km from the center of Kano City. More than one-fifth of Nigeria’s non-oil income is contributed by the state.

Commerce

The Kurmi Market, which was established in 16th century by Emir Muhammad Rumfa, immensely promoted Kano’s commerce. His successors contributed to Kano’s rise as a business powerhouse in Sudanic Africa. Emirs Ibrahim Dado and Sulaimanu compelled merchants to shift from Katsina during the 19th century. Such shift was caused by the Maradi raid and it served as a primary factor behind Kano’s prominence and rise within the Sokoto Caliphate.

The caliphate’s jihad leaders promoted Kolanut trade and this caused Kano to earn around $30 million annually. The innovativeness of Kano’s traders enabled them to successfully incorporate craft industry with commerce during the pre-colonial times. During the said timeframe, Kano produced approximately ten million pairs of sandals. During Emir Alhaji Muhammadu Sanusi’s rule from 1953 to 1963, the Bompai Industrial Estate was founded by means of a loan guaranty.

Kano State is the most significant and biggest among the commercial centers found in North Nigeria. With a population of approximately ten million, the state grants a steady and continuous market for both semi-processed and manufactured products. The amount of trading processes performed daily, especially in Kurmi, Katin Kwari, Kwanar Singer, Muhammadu Abubakan Rami and Dawanau markets demonstrate Kano’s immense potential as a market for different goods.

Malam Aminu International Airport road, railway links for other places within Kano, the country’s exceptional road network and other remarkable infrastructures permit the continual progress of financial processes. Kano has numerous brokerage firms, bank branches and insurance firms, which make the state the most important business center in North Nigeria.

Industrialization

The State of Kano is the biggest industrial center in Northern Nigeria and the second biggest in whole of Nigeria. The state has more than four hundred private SMEs, which produce diverse products like agricultural implements, tanned leather, pharmaceutical products, dairy products, bicycles and textile materials. Kano’s government provided big industrial areas like Challawa Industrial Area, Sharada industrial areas and Tokarawa Industrial layout for enhancing industrial progress. The state plans to add more industrial estates.