Timi Oke is the co-founder and CEO of AgroEknor, a company that exports dried hibiscus flowers grown in Nigeria to markets around the world, including the US, Mexico, and Europe. He landed his first agricultural trading deal through LinkedIn while still working at a bank in the UK.
Timi Oke, a Nigerian-born entrepreneur, has always had a passion for agriculture. While working at a bank in the UK, he used LinkedIn to explore opportunities in the industry. In 2012, his efforts led him to connect with an importer in Mexico looking to source hibiscus from Nigeria.
Hibiscus, often considered a superfood, is a flowering plant known for its vibrant, trumpet-shaped blossoms. Its dried petals are primarily used to make hibiscus tea, a refreshing ruby-red drink praised for its potential health benefits, such as lowering blood pressure. Beyond beverages, hibiscus is used as a natural food coloring and as an ingredient in products like jams, syrups, and desserts. It is also valued in the pharmaceutical sector for its antioxidant and anti-inflammatory properties and in personal care products such as facial scrubs and hair treatments.
Nigeria plays a crucial role in the global hibiscus supply chain due to the country’s preference for non-GMO varieties, which are seen as healthier.
At the time, Oke was still employed at the bank, but his brother, who co-founded the business, traveled to Kano in northern Nigeria to purchase the hibiscus from aggregators sourcing it from small-scale farmers in the region. A third partner, originally from northern Nigeria and whom Oke knew from the UK, also helped with key introductions.
Once the first order was successfully completed and payment received, Oke left his banking job and moved back to Nigeria to focus on AgroEknor full-time. He continued using LinkedIn to find new clients and started attending food industry conferences. The business grew quickly, with volumes increasing from 60 tonnes in the first year to 120 tonnes in the second year, and 540 tonnes in the third.
To fund the early stages, the company raised capital from Oke’s mother and his partner’s father. “We were lucky that they bet on three young guys in their mid-twenties who wanted to build a business out of hibiscus,” Oke explains.
The funds were used to set up a warehouse and hire experienced supply chain staff. “It’s one thing to source the hibiscus, but it’s a completely different challenge to transport it from the north to Lagos, where the ports are located in Apapa, and then ensure the proper documentation to allow smooth customs clearance for our clients.”
Building Direct Farmer Relationships
Initially, AgroEknor sourced hibiscus from aggregators who collected the crops from smallholder farmers. However, relying on aggregators meant the company had little control over the prices it paid for the hibiscus. Realizing the need to work directly with farmers, Oke focused on building these relationships.
Today, AgroEknor collaborates with over 7,000 smallholder farmers. The company has set up collection centers near the farmers and provides various forms of support to help improve their yields. Additionally, AgroEknor has invested in its processing capacity, including adding a fumigation chamber to improve the quality of its product.
Entering the Lucrative US Market
Oke advises commodity traders to start by targeting markets with less stringent import regulations to gain experience and understand the trade. While many newcomers aim for the EU or US, he warns that errors in shipment documentation or fumigation can result in the destruction of an entire cargo at certain ports, particularly in the US—a loss that startups cannot afford.
AgroEknor eventually entered the US market, which Oke describes as highly profitable, with revenues often double those of other countries. The company focuses on retail-packaged hibiscus flowers and cordials for the American market, with Texas being a key region for sales.
Exploring Opportunities Beyond Hibiscus
While hibiscus remains the core focus of AgroEknor, Oke sees opportunities in other crops grown in Nigeria and across Africa. “We look for commodities where there are no major players yet,” he explains. “Our priority is niche markets where market leadership is up for grabs.”
One crop Oke is particularly excited about is fonio, a drought-resistant, gluten-free grain that offers numerous nutritional benefits. Although fonio has been cultivated in West Africa for thousands of years, it remains under-commercialized. AgroEknor became interested in fonio after considering it as an alternative crop for hibiscus farmers. “Fonio doesn’t need fertilizers; you can literally just throw the seeds on the ground and it will grow,” Oke explains. “It can grow on any type of soil.”
Oke also points to a recent article by Bill Gates highlighting fonio’s benefits and mentions that brewer Carlsberg has launched a beer made entirely from fonio grains, without barley or bittering hops. The growing demand for fonio in certain European countries is also noteworthy.
However, AgroEknor’s primary focus with fonio is the Nigerian market. “We’re interested in using fonio as a substitute for rice domestically, because Nigeria imports rice, and that’s just not practical,” Oke states. Yet, he acknowledges one of the main challenges: processing fonio. The grain requires dehusking, a labor-intensive process.
Oke also sees potential in the sisal plant, a cactus-like species whose fibers are used in products such as rope, string, yarn, and bags. Sisal is increasingly used in composite materials for cars, furniture, construction, plastics, and paper products. AgroEknor has made small investments in sisal-related research and development but found that achieving profitable margins through value addition in sisal would require industrial manufacturing. As a result, the company has decided to put this idea on hold in favor of other opportunities.
In the past, AgroEknor explored ginger trading as well. “We had a lot of global clients who wanted us to supply ginger. We looked at the value chain, but it was already dominated by major players,” Oke explains. “While we trade ginger opportunistically, we’re not looking to build a long-term value chain out of it, since big players already control 80% of the market.”
AgroEknor is also looking beyond Nigeria for new opportunities, including cloves, a high-value spice. “It’s not grown in Nigeria, but it’s cultivated in other African countries,” Oke adds.