NIGERIA IGNITES AGRIBUSINESS BOOM WITH ITS FIRST SOUTHWEST INDUSTRIAL FARM HUB
Nigeria launches Oyo’s first agro-industrial hub to boost jobs, processing, and rural transformation.
Nigeria
Agribusiness
Agro-industrial processing zone
Industralization
Development
Farm.
Nigeria has launched a new era of agricultural industrialization with the inauguration of the first Special Agro-Industrial Processing Zone (SAPZ) in Southwest Nigeria, marking a significant step in unlocking the country’s agribusiness potential and promoting rural prosperity.
The new hub, located in the Ijaiye community of Oyo State, was officially unveiled on Saturday during a high-level event that brought together national leaders and international development partners. The zone is the third in Nigeria, following similar launches in Kaduna and Cross River States earlier in the year, and is being hailed as a game-changer for agricultural productivity and job creation in the region.
Speaking at the groundbreaking ceremony, Dr. Akinwumi Adesina, President of the African Development Bank Group, emphasized the importance of moving Nigeria from exporting raw commodities to processing and adding value locally. “The export of primary commodities is the door to poverty. The export of value-added commodities and products is a highway to wealth. It doesn’t matter what you have in terms of agricultural commodities, whether it is cocoa or coffee, or grains; if you’re not adding value to it, it’s going to make you poor. So, what we’re doing here is to be able to unlock that value.”
The Oyo SAPZ, part of a $538 million first-phase investment jointly financed by the AfDB, Islamic Development Bank, IFAD, and federal and state governments, spans 3,000 hectares, with 300 hectares earmarked for immediate development. It will host up to 40 agro-processing industries, generate over 100,000 direct and indirect jobs, and benefit more than 500,000 farmers.
Oyo State Governor Seyi Makinde described the project as “a fulfilment of promises made and kept,” stressing that the SAPZ will not only drive economic inclusion but also deliver long-term rural development. “We’re building a future where agriculture feeds not just homes, but industries; where it doesn’t just sustain families but entire economies,” he stated.
Also representing Vice President Kashim Shettima, Agriculture Minister Senator Abubakar Kyari reiterated that the initiative is aligned with President Bola Tinubu’s “Renewed Hope Agenda,” focused on rebuilding the country through partnerships and innovation. “Today’s event exemplifies the spirit of partnership and shared vision that is vital to our nation’s progress,” Kyari declared.
The SAPZ model aims to bring processing industries closer to farming communities, reducing post-harvest losses, improving logistics, and linking farmers directly to national and global markets. With Nigeria’s program being the largest of the 28 sites under development in 11 African countries, the SAPZ initiative is seen as a central pillar of AfDB’s ‘Feed Africa’ strategy.
Dr. Adesina, who was making his final official visit to Nigeria as President of the AfDB, reflected on a decade of accomplishments. Under his leadership, the Bank’s capital rose from $93 billion in 2015 to $318 billion by 2024, while its transparency and effectiveness earned it global recognition.
He noted that three pillars, political will, resource mobilization, and strategic partnerships, remain key to the SAPZ success story. “This is not just about food. It’s to reduce massive post-harvest losses, develop logistics, and improve linkages between farm production, agro-processing, and value addition, transform rural economies, and, of course, to create jobs,” Adesina affirmed.
Community leaders and entrepreneurs in Ijaiye expressed optimism about the project’s long-term impact. David Olatunji, head of the Ijaiye Farm Settlers Association, called it “a memorable opportunity,” while agripreneur Dr. Adebowale Adeyeye noted the hub’s potential to cut costs, scale up production, and attract investment across agricultural value chains.
Looking ahead, Dr. Kabir Yusuf, National Coordinator of SAPZ Nigeria, revealed that the second phase of the program will launch in 10 additional states starting September 2025, to cover the entire country.
As Nigeria positions agriculture as a springboard for inclusive economic growth, the Oyo SAPZ stands as a bold signal of what’s to come: a future where farming fuels industries, powers economies, and transforms rural lives.
