•Targets 17.5m jobs, 100,000 farmers nationwide •WHO, governors to sign health compact agreement
From Juliana Taiwo-Obalonye, Abuja
National Economic Council (NEC), presided over by Vice President Kashim Shettima, has announced plans to direct at least $1.52 billion in donor funds into 36 Special Agro-Industrial Processing Zones (SAPZs) around the country in an effort to support 100,000 farmers and create 17.5 million jobs.
The first phase spanning across Kano, Kaduna, Kwara, Ogun, Oyo, Imo, Cross River, and the Federal Capital Territory (FCT), is expected to cost more than $520 million and would be completed by 2028.
Phase II of the plan, which will receive $1 billion in funding from the African Development Bank (AfDB) and other partners, has garnered interest from 26 states. In early 2024, the states will start the second phase of documentation.
Minister of Agriculture and Food Security, Abubakar Kyari, revealed this to State House Correspondents at the end of the 137th NEC meeting at the Aso Rock Villa, Abuja, yesterday.
He said the funds were earlier pledged by AfDB, Islamic Development Bank and the International Fund for Agricultural Development, which voted $1 billion to deliver SAPZs in 24 states at the Norman Borlaug International Dialogue, World Food Prize 202, in Des Moines, Iowa, USA, in late October.
This is aside from an initial $520 million voted by the development partners for the same purpose.
“The vice president, who attended the World Food Prize in Des Moines, Iowa, met with AfDB President, Akinwumi Adesina, who has already pledged $1 billion to the second phase,” he said.
Kyari explained that his ministry made a presentation to the council outlining the collaborative programme with the AfDB, the International Fund for Agricultural Development, the Islamic Development Bank, various state governments, and private investors.
“The seven states are Kano, Kaduna, Kwara, Ogun, Oyo, Imo and Cross River and like I said, with the FCT being the eighth partner in this programme.
“The quick wins here are that even in the stage of construction, you will have the opportunity for over 3,000 jobs.
“And at the end of the construction, opportunities will be for almost 500,000 jobs on each zone that is for each state and then also to support about 100,000 farmers.”
The Agric minister described the SAPZs as a cross-cutting initiative and platform to attract private sector investment, add value to Nigeria’s agro-processing, and unlock opportunities for improved food security and job creation.
He revealed that the programme, which commenced in 2022, saw the active participation of seven states and the FCT, even as the zones will not only serve as production sites “but also hubs for aggregation and processing of agricultural produce.”
The programme has earmarked approximately $530 million for the first phase, aiming to establish clusters of agricultural production and significantly reduce post-harvest losses, the former lawmaker noted.
“For instance, Kano has keyed in to do a lot of tomatoes in this zone. And we know tomato losses run to almost 50 to 60 per cent. It is unacceptable in today’s agricultural sector,” he said.
On Phase II, Kyari said: “We have already received expressions of interest from about 26 states so far. The second phase is supposed to kick in from next year. This first phase will last for five years. And the documentation for phase two will begin by next year.
“There are only three states (Abia, Adamawa and Yobe) that were have not expressed interest. But as we were leaving here, one (Abia State) had already signified and working on sending the expression of interest.”
The council also acknowledged the leading role of Ogun State in the development of these zones.
Kyari said Despite Ogun’s delay in signing the Subsidiary Loan Agreement, a commitment was recently secured from the state government to sign it promptly.
To further expedite the initiative, the council approved “the accelerated transmission of the official documents to funders by the Federal Ministry of Finance” and granted a waiver from the same ministry for the payment of performance allowance to project staff by the funders as requested by the executing agency to “avoid project implementation risks.”
The NEC called for “a lot of enthusiasm from state governors to participate and key into” the project, which, it said, will drive significant economic growth through job creation and modernised agricultural practices.
Meanwhile, the World Health Organisation (WHO) and all the 36 states governors would sign a compact agreement to improve healthcare services delivery in the country. Governor Bala Mohammed of Bauchi State told newsmen that the decision to sign an agreement with WHO was reached after a presentation on Nigeria’s Health Sector Renewal Programme by the Coordinating Minister of Health and Social Welfare, Ali Pate.
The governor noted that without the health sector being taken care of, the country may not have the necessary technological development required.
“So, there was a resolution of council that WHO is coming in December 15, all the governors will come and sign a compact agreement in terms of service compact.
“Governors will be able to reiterate our determination to approach the health sector in terms of budgeting, given it the required impetus, the required attention that it deserves. The National Economic Council (NEC) received a presentation from the coordinating minister of Health and Social Welfare on Nigeria’s Health Sector Renewal Programme which looked and dissected in terms of very robust sector scan on health.
“From tertiary to the primary level, looking at all the gaps, the problem and challenges of funding, and even of the need for renew interest by stakeholders, mostly governors at the subnational level, experts, doctors and everybody.
“And of course, the Renewed Hope that President Bola Tinubu’s administration is trying to establish to bring synergy and collaboration between all the various stakeholders in the country. And they are trying to make sure they establish a compact in a manner that we will be able to generate resources from everywhere.”
The governor said after presentation by the minister, suggestions were made on how to generate resources from taxes in communications, on airlines as well as taxes from the state government to bridge the gap. “Certainly, we have huge problem on human capital and the need to develop strategy to retain our own experts to take care of our own health sector.”