The Federal Government has reaffirmed its commitment to accelerating the implementation of the Special Agro-Industrial Processing Zones (SAPZ) Programme, describing it as a flagship initiative designed to strengthen food security, create jobs, drive industrialisation, and transform Nigeria’s agricultural value chains.
Speaking at the SAPZ Mid-Term Review Workshop in Abuja, the Permanent Secretary of the Federal Ministry of Agriculture and Food Security, Dr. Marcus Olaniyi Ogunbiyi, said the programme remains central to the administration’s efforts to enhance agricultural productivity, promote value addition, and support economic diversification.
According to Ogunbiyi, the workshop was convened to evaluate progress, address implementation challenges, capture lessons learned, and develop strategies for accelerating project delivery in line with President Bola Ahmed Tinubu’s food security agenda.
He noted that SAPZ aligns closely with the Renewed Hope Agenda through its focus on agro-industrialisation, rural development, job creation, and economic growth. The programme is designed to establish integrated agro-industrial hubs that connect production, processing, storage, logistics, and markets, enabling Nigeria to move beyond primary production and become more competitive in agro-processing and exports.
Currently, the first phase of the programme is being implemented across seven states and the Federal Capital Territory, while preparations for the second phase are already underway. Ogunbiyi acknowledged challenges including slow disbursement, procurement bottlenecks, approval delays, and the pace of infrastructure development but expressed confidence that the adoption of the Design-Build-Operate (DBO) model would accelerate delivery.
He said the programme is projected to generate about 500,000 direct and indirect jobs, create approximately 2.5 million temporary jobs through infrastructure development, increase agricultural yields by between 50 and 100 percent, and reduce post-harvest losses from 45 percent to 20 percent.
“The true measure of success will be the impact on farmers, processors, entrepreneurs, women, and youth across the country,” Ogunbiyi said, urging stakeholders to strengthen collaboration to ensure the programme delivers on its objectives.
National Programme Coordinator of SAPZ, Dr. Kabir Yusuf, described the initiative as a government-enabled, private sector-led agro-industrialisation programme aimed at developing modern agro-processing and production clusters across participating states.
He explained that SAPZ leverages shared infrastructure, supportive policies, and institutional backing to create an enabling environment for agribusinesses while attracting private investment into value-added agricultural processing.
Yusuf revealed that although the programme was approved by development finance partners in 2021 and officially launched in 2022, full-scale implementation commenced in 2024 following key disbursement approvals and procurement processes.
He noted that major procurement activities, including the engagement of DBO contractors, transaction advisers, and supervision consultants, have now been completed, paving the way for infrastructure development across participating states.
“We have concluded all major procurement processes, and our focus is now on monitoring implementation to ensure infrastructure is delivered at the required standards and pace needed to attract private-sector investment,” Yusuf said.
According to him, infrastructure projects funded by the African Development Bank (AfDB) and the Africa Growing Together Fund (AGTF) have achieved execution rates of up to 70 percent and 72 percent respectively, while investment-ready business cases are being developed to attract private investors.
Yusuf also highlighted efforts to support farmers, women, youth, and MSMEs through climate-smart agriculture initiatives, capacity-building programmes, and market linkage interventions.
Drawing lessons from international experiences, particularly Ethiopia, he stressed the importance of developing agricultural production alongside processing infrastructure to ensure agro-industrial hubs have sufficient raw materials when they become operational.
He added that SAPZ’s long-term vision is to process agricultural commodities into finished products within Nigeria, reducing imports, increasing exports, and generating foreign exchange earnings.
“Everything we grow in participating states should ultimately be processed into finished products locally. This will reduce import dependence while creating new export opportunities and strengthening Nigeria’s economy,” he said.
Yusuf disclosed that all SAPZ zones are currently under construction, with Ogun State recording particularly rapid progress. He expressed optimism that most infrastructure projects would reach about 70 percent completion by the end of the year, paving the way for operational planning and tenant onboarding in 2027.
Development partners also reaffirmed their support for the programme.
IFAD Country Director for Nigeria, Dede Ekoue, said the organisation has already reached more than 17,000 smallholder farmers through SAPZ interventions in Kano and Ogun States and has approved an additional $50 million investment to expand the programme’s impact.
Similarly, Dr. Orison Amu, Implementation Support Manager, Nigeria Country Department, African Development Bank said implementation gained significant momentum in 2025 after initial delays. He revealed that project commitments had reached $86 million as of March 2026, with resource commitments expected to rise to 70 percent and disbursements to 35 percent by year-end.
Amu also disclosed that the AfDB is developing the second phase of the SAPZ programme in partnership with other financiers, with the initiative expected to further transform Nigeria’s agro-industrial landscape and create thousands of opportunities for young people.
Stakeholders at the workshop were urged to critically review progress and recommend practical measures to accelerate implementation and maximise the programme’s economic impact.
