The African Development Bank has engaged 21 states for the second phase of its Special Agro-Industrial Processing Zones Programme.
Governor Hope Uzodimma disclosed this to pressmen after the 146th National Economic Council meeting in Abuja.
Uzodimma said the pilot phase, involving Kano, Kaduna, Kwara, Oyo, Ogun, Imo, Cross River States, and the FCT, is nearing completion, paving the way for the next phase.
“Impressed by the programme, two weeks ago, there was a stakeholders meeting that onboarded an additional 21 states, so the Council resolved and urged all the states to key into this programme because it is going to be a game changer, and it will go a long way in tackling the food security pursuit of the Federal Government,” he added.
On February 5, 2024, Senior Special Adviser on Industrialisation to the AfDB President, Prof. Banji Oyelaran-Oyeyinka informed Vice President, Kashim Shettima that the pilot states would soon receive the first tranche of $540 million from the AfDB for developing Special Agro-Industrial Processing Zones.
This update came about eight months after AfDB President, Dr. Akinwumi Adesina initially informed President Bola Tinubu of the $520 million investment in the zones.
At a two-day summit on A New Global Financing Pact in Paris in late June 2023, Adesina had assured Tinubu that the bank would support the new administration’s economic policies in Nigeria, placing the people first in development targets.
At the VP’s office, Oyelaran-Oyeyinka said the SAPZs, which plans to turn Nigeria’s rural landscape into economic zones of prosperity, is meant to “support inclusive and sustainable agro-industrial development in Nigeria.”
“The phase one of the project is at the point of disbursement. Kaduna, Oyo and Cross River States are all in the process of receiving disbursements and we hope that the other states can speed up their documentation so that we can fast-track these states.
“We We raised $540m in catalytic funding and expect every state to find a partner to bring equity and join up with them. It is a government-enabled project but private-sector driven,” he expounded.
“The next thing is preparation for phase two with 27 states. The demand is enormous, but we must prioritise those who move fast.
“We have set up eligibility criteria for the states and to rank them. We expect them to have a feasibility report, environmental impact study and a commitment to counterpart funding,” Oyelaran-Oyeyinka added.
According to the AfDB, the key expected outputs of the SAPZ Programme (Phase II) are the development of infrastructure for Agro-Industrial Processing Hubs, Agricultural Transformation Centers, irrigated lands; farm-to-market access roads; supply of certified agricultural inputs and extension services; skills development for farmers and Micro, Small and Medium Scale Enterprises, an updated agro-industrial zone policy and establishment of regulatory institution/special regulatory regime.
The Council also encouraged its members to utilize the services of the National Agency for Science and Engineering Infrastructure (NASENI), particularly for maintaining farm machinery like tractors.
This followed a presentation from the National Agency for Science and Engineering Infrastructure, where the agency outlined its initiatives in agriculture, science, and technology. It also proposed partnerships with sub-national governments to promote solar power, rural electrification, and other industrial developments.
Uzodimma explained, “They (NASENI) want to support manufacturing. They want to support land reclamation and seaport development. They will also make land accessible and encourage the public sector market and general infrastructure.
“As a matter of fact, they came up with different initiatives, repairing agro equipment and implements and repairing and manufacturing tractors to be powered by solar. The Council urged NASENI to help the state governments in repairing the broken-down tractors in different states and urged them to continue with this great initiative.”
