FG, AfDB to Inaugurate Oyo Agro-Industrial Processing Zone on Saturday

The Federal Government of Nigeria, in collaboration with the African Development Bank (AfDB), is set to launch the Special Agro-Industrial Processing Zone (SAPZ) in Oyo State, with a groundbreaking event scheduled for August 2, 2025.

According to a statement from AfDB, the ceremony will be held at the SAPZ Phase I site in Atan, Ijaiye, within the Akinyele Local Government Area. The 29-kilometre agro-processing hub is backed by the Oyo State Government and other global development financiers.

AfDB President, Dr. Akinwumi Adesina, will lead the groundbreaking event, joined by top Nigerian government officials and representatives from co-funding partners, including the Islamic Development Bank (IsDB), International Fund for Agricultural Development (IFAD), and the Africa Grow Together Fund.

The Oyo SAPZ marks the third such facility initiated under the programme’s first phase, following earlier launches in Kaduna and Cross River States. Its introduction signals a strategic expansion into Nigeria’s southwest and further drives the national agenda of rural industrialisation through agriculture.

The zone occupies a 300-hectare area adjacent to the Lagos–Ibadan Railway, positioning it advantageously for logistics and market access. The focus crops and sectors include cassava, maize, poultry, and horticulture, critical to ensuring food security and creating job opportunities.

Describing the initiative as the Bank’s most significant agriculture-related investment in Africa, the AfDB statement emphasised its alignment with the institution’s “Feed Africa” strategy. The SAPZ programme is supported by a $538 million financing package jointly sourced from AfDB, IsDB, IFAD, and the Africa Grow Together Fund.

“This project represents Nigeria’s strategic drive towards agro-industrialisation by leveraging public-private partnerships to modernise agriculture and create inclusive prosperity across the value chain,” the AfDB noted.

It reaffirmed the Bank’s enduring partnership with Nigeria, which spans over five decades and encompasses nearly $11 billion in committed funds, with agriculture as a central pillar of engagement.