Nigeria Set For Dairy Revolution With $496m Investment

Nigeria is poised to significantly boost its dairy production and food security with a landmark $496 million investment announced yesterday.

The Nigeria Sovereign Investment Authority (NSIA) has signed a Memorandum of Understanding (MoU) with UK-based Asset Green Ltd to develop a large-scale, integrated dairy livestock production and processing platform.

The project, unveiled ahead of the Nigerian State Visit to the UK, will encompass 20,000 hectares of climate-smart farmland alongside a modern dairy operation housing 10,000 milking cows.

A state-of-the-art processing plant will produce fresh milk, milk powder, butter, cream, and – crucially – up to 15,000 metric tonnes of infant formula annually, aiming to drastically reduce Nigeria’s reliance on expensive imported dairy products.

“This is one of the most ambitious integrated dairy investments ever undertaken in Nigeria,” stated Aminu Umar-Sadiq, Managing Director & CEO of NSIA.

“By combining climate-smart farming, advanced processing capacity, and inclusive out-grower participation, we are laying the foundation for a modern, competitive dairy sector.”

The initiative is projected to generate over $620 million in annual revenue and create approximately 2,500 direct and 5,000 indirect jobs across the country.

Furthermore, the project will integrate up to 10,000 rural households into the supply chain through inclusive out-grower schemes, fostering economic growth in agricultural communities.

The deal underscores the strengthening economic ties between the UK and Nigeria. British Deputy High Commissioner Jonny Baxter highlighted the UK’s long-term support for the NSIA, noting that initial technical and financial assistance provided over a decade ago is now yielding significant results.

“This partnership is a powerful example of how that groundwork continues to deliver impact,” Baxter said.

Rod Bassett, Director of Asset Green Ltd and CEO of Agrium Capital Ltd, emphasised the project’s potential to transform Nigeria’s agricultural landscape. “

This US$500 million greenfield investment…allows for the development of advanced and necessary infrastructure spanning the full production and supply system to enhance local production.”

The MoU outlines the framework for collaboration and cost commitments leading up to a formal shareholders’ agreement. The project represents a significant step towards achieving Nigeria’s food security goals and modernising its agricultural sector.

Nigeria Sovereign Investment Authority (NSIA) is Nigeria’s sovereign wealth fund focused on infrastructure, stabilisation, and long-term savings. https://nsia.com.ng Asset Green Ltd: is a UK-based strategic private investment group specialising in large-scale agricultural and food-processing platforms in emerging markets. https://www.assetgreen.com.