A delay in getting approval of the Federal Executive Council (FEC) is stalling the implementation of the Special Agro-Industrial Processing Zones (SAPZs) programme.
It is a mega cluster based infrastructure project, meant to bring together farmers, processors and retailers to connect agricultural production to the market, the Nation learnt.
The special agro-industrial processing zones, according to experts familiar with the matter describe it as a game-changer for agriculture as they will provide world-class infrastructure to support food businesses.
African Development Bank’s (AfDB’s) Special Agro-Industrial Processing Zones (SAPZs), espoused by President of the bank, Dr Akinwumi Adesina, who was a former Minister of Agriculture and Rural Development with vast understanding of the agro-economic space, appears to present a ray of home as far as agro-industrial revolution is concerned.
Consequently, the bank identified sites for the SAPZs across the six geopolitical zones to ensure that they were spread across the country.
Following this, the first Phase of the project were to be implemented in seven states including Cross River, Imo, Kaduna, Kano, Kwara, Ogun, Oyo and the Federal Capital Territory (FCT).
The Nation learnt that the programme which was on the verge of its implementation phase was at a stage where activities involving critical high-level engagements with the Minister of Finance, Budget and National Planning have been achieved.
Already AfDB and its development partners have mobilised $520million to co-finance the first phase the project.
However, The Nation learnt that the signing of Loan Agreement with AfDB, International Fund for Agricultural Development (IFAD) and Islamic Development Bank ( IsDB )and the Subsidiary Loan Agreement (SLA) with the SAPZ States, under active supervision of the Federal Ministry of Finance (FMF) was still pending as there has been no approval from FEC.
The Nation learnt the FMFB&NP, as the Focal Ministry, was not making enough efforts to prepare the memo for the proposed Loan agreement with the donor banks for FEC for ratification.
The inability of the Minister of Finance, Budget and National Planning to obtain a FEC approval, The Nation learnt, hampered the plan to launch the project which was going to attract the presidents of AfDB, IsDB, and IFAD and various investors are also expected to be present.
Mozambique, which got approval for SAPZ two months after Nigeria had been granted one, The Nation learnt has kicked off the programme.
The Nation learnt that it required a high-spirited commitment from the Honourable Minister of Finance (HMF) to convene a dialogue as a prelude to getting the programme running across the country.
Experts said without implementing the programme the economy would continue to suffer from the looming food crisis if there is no major increase in agricultural production in areas in the country which designers of SAPZ have identified growth potential.
The SAPZ programme aligns with the National Agricultural Technology and Innovation Plan (NATIP) (2021-2024) and the National Livestock Transformation Plan (2019-2028) of the Federal Government.