Katsina Moves To Boost Agribusiness Investment With New Agro-Allied Processing Factory

ADF Approves $27.9m Grant for Savannah Agriculture Value Chain Development Project

The Katsina State Government has announced a pilot agricultural investment in partnership with private sector investors for the establishment of an agro-allied processing factory with an integrated out-grower scheme in Tashar Bala village, Batagarawa Local Government Area.

The initiative, being implemented through the Katsina State Investment Promotion Agency (KIPA), forms part of the state’s renewed drive to attract sustainable private sector participation in agribusiness under the Framework for Responsible and Inclusive Land-Intensive Agricultural Investment (FRILIA).

The pilot project is designed to integrate smallholder farmers into structured agricultural markets and follows the issuance of an Executive Order formally adopting the FRILIA framework in line with international best practices on responsible land governance, community inclusion and investor protection.

Briefing journalists in Katsina on Tuesday, the Director-General of KIPA, Ibrahim Jikamshi, said the state government had constituted both steering and technical committees to ensure the smooth implementation of the framework and the success of the project.

According to him, the agro-allied processing facility is expected to generate employment, facilitate skills and technology transfer, improve market access for farmers and strengthen the agricultural value chain through a structured out-grower arrangement that directly links local producers to processors.

Jikamshi added that the government has conducted a series of capacity-building workshops for key stakeholders, including traditional rulers, to enhance institutional readiness for land-intensive agricultural investments, inclusive economic growth and responsible land governance.

To promote transparency and accountability, he disclosed that a Grievance Redress Mechanism with clearly defined terms of reference has been established to promptly address community-related concerns.

“The Government of Katsina State has announced a pilot investment with private sector investors for the establishment of an agro-allied processing facility incorporating an integrated out-grower scheme to be located in Tashar Bala village,” Jikamshi said.

“This follows the issuance of an Executive Order by the Katsina State Government adopting the Framework for Responsible and Inclusive Land-Intensive Agricultural Investment (FRILIA) in line with global best practices on responsible investment, land governance and community inclusion.

“The pilot project underscores Katsina State’s commitment to responsible land governance, inclusive economic growth and enhanced investor confidence, and is expected to serve as a scalable model for sustainable agricultural investments across the state.”

He noted that the initiative builds on commitments made at the Katsina State Economic and Investment Summit, where the government announced a ₦3.5 billion investment by TORQ Agro Allied for the establishment of an ultra-modern poultry farm with hatchery facilities, the construction of which has already commenced.

Jikamshi further disclosed that TORQ Agro Allied has expanded its investment footprint in the state with an additional $11 million commitment to set up a soybeans aggregation, collection and processing centre, supported by an organised out-grower sourcing system anchored on the FRILIA framework.

In addition, Al-Hikima Fertiliser and Chemicals Nigeria Limited is investing an initial ₦1 billion in fertiliser and agro-chemical production, supply and seed multiplication at the project site, with plans to scale the investment to ₦5 billion in subsequent years.

According to the KIPA director-general, the combined investments are expected to improve access to agricultural inputs, boost productivity and deepen value-chain development across Katsina State.