Nigeria Moves To Transform Agriculture Through Agro-Industrial Strategy
Nigeria is set to embark on a transformative journey to reshape its agricultural sector as construction begins on the landmark Special Agro-Industrial Processing Zones (SAPZ) project in Kaduna and Cross River states.
This flagship initiative, a key component of the African Development Bank Group (AfDB) Feed Africa strategy, signals an important shift in Nigeria’s approach to agribusiness and food security.
The Federal Government, in alliance with AfDB and international partners, including the Islamic Development Bank, International Fund for Agricultural Development and Africa Grow Together Fund, will officially inaugurate Phase 1 of the SAPZ programme.
This represents a step toward comprehensive agro-industrial development across the nation.
The transformative initiative will be spearheaded by Vice President Kashim Shettima and the President of AfDB,
Dr Akinwumi Adesina, who will officially launch construction with groundbreaking ceremonies scheduled for April 8 in Kaduna State and April 10 in Cross River.
This intervention comes as Nigeria battles with increasing food insecurity challenges and actively seeks economic diversification.
With an unprecedented investment of $538 million, SAPZ Phase 1 marks the African Development Bank’s largest programme in any African country to date, underscoring the scale and significance of this undertaking.
The SAPZ initiative embodies President Tinubu’s commitment to strengthening food security, generating sustainable employment opportunities and revitalizing peri-urban economies through innovative public-private partnerships.
Also, it will ensure private sector partners designing, developing and operating these zones, establishing a sustainable blueprint for agro-industrial growth.
This launch is expected to catalyse momentum for SAPZ Phase 2, with an additional 28 states already positioned to participate in this agricultural renaissance.
The recent Africa Investment Forum in Rabat, Morocco, saw the bank secure an unprecedented $2.2 billion commitment for the Nigeria Phase 2 SAPZ, indicating strong confidence in the programme’s potential.
Lessons learned from the initial phase will be crucial for accelerating the implementation of this next stage.
On addressing Nigeria’s $4.9 billion annual food security challenge and
recognizing the billions lost annually due to food insecurity, the SAPZ initiative represents a critical developmental priority and an undeniable economic imperative for the country.
The programme is strategically designed to transform Nigeria into a global agribusiness leader, by effectively leveraging co-financing and the specialized expertise of the private sector.
“The Special Agro-Industrial Processing Zone is about developing new economic zones across Africa close to where farmers are.
“These zones have enabling infrastructure-power, water, roads, irrigation-and today, we’re investing over $3 billion in more than 11 countries,” Adesina explained.
He further emphasised that transformation without agricultural transformation is incomplete because agriculture touches the lives of people at the grassroots level.
The SAPZ Nigeria Programme employs a comprehensive three-pronged approach, which includes infrastructure development by establishing robust infrastructure within the agro-industrial zones.
It will also enhance the business environment and strengthen institutional capabilities while facilitating skills development, supporting agricultural productivity, and attracting private investment across diverse value chains.
Strategically located in areas with high agricultural potential, these zones will be equipped with essential infrastructure and common services.
They will also benefit from tailored policy incentives designed to seamlessly integrate agricultural and industrial businesses.
By clustering agro-processing activities within regions of significant agricultural advantage, the SAPZs will bring together producers, processors, aggregators, and distributors, thereby reducing transaction costs.
Moreover ,it will simultaneously drive productivity and foster enterprise development.
NAN
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