FG, AfDB partner to launch agro-industrial zones programme

• Published On: 07 April 2025 at 17:03

The Federal Government of Nigeria, in conjunction with the African Development Bank, will officially start Phase One of the Special Agro-Industrial Processing Zones program, which is funded by a $538 million investment.

According to an AfDB statement released on Sunday, the first phase's groundbreaking ceremonies will take place on April 8 in Kaduna State and April 10 in Cross River State.

This enormous project, the AfDB's largest single-country programme, will be led by Nigeria's Vice President, Kashim Shettima, and AfDB President, Dr. Akinwumi Adesina.

"The initiative is being launched at a critical time as Nigeria intensifies efforts to diversify its economy and combat rising food insecurity," according to a release. "Kaduna and Cross River States will lead this agricultural transformation, marking a pivotal shift in Nigeria's approach to agribusiness and food security."

According to the bank, "With an unprecedented investment of $538 million, SAPZ Phase 1 represents the African Development Bank's largest programme in any African country to date, underscoring the scale and significance of this undertaking."

The SAPZ initiative exemplifies President Tinubu's commitment to enhancing food security, creating long-term employment opportunities, and revitalising peri-urban economies through innovative public-private partnerships."

The statement went on to say that private sector partners would be in charge of designing, developing, and operating these zones, thereby building a long-term paradigm for agro-industrial expansion.

"This launch is intended to boost momentum for SAPZ Phase 2, with an additional 28 states already preparing to take part in this agricultural revolution.

"At the recent Africa Investment Forum in Rabat, Morocco, the bank secured an unprecedented $2.2 billion commitment for the Nigeria Phase 2 SAPZ, demonstrating significant confidence in the programme's potential.

"Lessons learnt from the initial phase will be crucial for accelerating the implementation of this next stage," it said.

The SAPZ effort addresses Nigeria's yearly food security crisis of $4.9 billion, as well as the enormous losses caused by food insecurity. It is both a critical developmental concern and an economic need for the country.

The plan, which aims to establish Nigeria as a global agricultural leader, makes strategic use of co-financing and the private sector's specialised skills.

He went on to say that reform without agricultural transformation is inadequate because agriculture touches people's lives at the ground level.