African Development Bank Launches $538 Million Agro-Industrial Project in Nigeria to Boost Food Security.

The African Development Bank (AfDB), in partnership with the Nigerian government and key investors, on 8th April launched the Special Agro-Industrial Processing Zones (SAPZ) Phase 1 in Kaduna State. 

The landmark initiative is set to modernize agriculture and combat food insecurity. With a total investment of $538 million—the AfDB’s largest in any African country—the project will establish processing hubs across eight states, reducing post-harvest losses and creating jobs. 

The move comes as global trade tensions, including Trump tariffs on African exports, underscore the need for self-sufficient agro-industrialization. AfDB President Dr Akinwumi Adesina emphasized the program’s climate-smart approach, integrating renewable energy and sustainable practices to cut emissions. 

Additionally, Adesina and the AFDB’s main goal is to help African countries like Nigeria to escape over-dependence on volatile global markets. Through such SAPZ efforts future trade barriers like the Trump tariffs will no longer disrupt agricultural exports. 

The SAPZ model, backed by private sector players like ARISE Integrated Industrial Platforms, aims to position Nigeria as an agribusiness leader while insulating farmers from external shocks.

The initiative aligns with Nigeria’s push to diversify its economy amid rising food import costs. A second phase, covering 28 more states, is already in development. As climate change and trade uncertainties persist, the AfDB’s agro-industrial strategy offers a blueprint for resilient growth across the continent.

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