Insecurity hampering operations at Niger’s $12bn fertiliser company
The Government of Niger State has confirmed that persistent security concerns are the main reason the revamped Niger Fertiliser Company in Zungeru, Wushishi Local Government Area, has yet to commence operations—despite an estimated $12 million investment aimed at revitalising the plant.
Alhaji Hamza Sarki Bello, Permanent Secretary of the Ministry of Commerce and Investment, made this disclosure during a post-State Executive Council media briefing in Minna on Tuesday. He revealed that the current administration had reviewed the Memorandum of Understanding (MoU) signed with an Indian investor by the previous government and assured that the company will begin operations by the end of the month.
“All machines are in place, but due to insecurity, production has been stalled. The situation has now been reviewed, and work is expected to commence shortly,” Bello stated.
The facility’s activation is projected to reduce the cost of fertiliser for local farmers and boost agricultural productivity across Niger State. Fertiliser access has been a perennial challenge for Nigerian farmers, exacerbated by price surges and supply disruptions linked to insecurity and import dependencies.
Meanwhile, Commissioner for Information and Strategy, Binta Mamman, affirmed that the security situation in farming communities has significantly improved. “Farmers who could not previously access their farmlands can now do so without hindrance,” she added, while stressing the government’s continued prioritisation of citizens’ welfare and agribusiness development.
Source- Daily Trust
Expert Review for Agri-Food Stakeholders
The revival of the Niger Fertiliser Company should have marked a transformative moment for agrifood systems in the North Central region. Instead, it underscores the intersection of agriculture, industrial investment, and national security—and how fragility in one area can stall critical progress in another.
Key Implications for Agribusiness Stakeholders
- Fertiliser Supply Chain Stability
Local production of fertiliser is essential to ensuring affordability and timely access, particularly in light of fluctuating global input prices. With full operations, the Zungeru plant could reduce supply gaps and logistical costs that drive up prices for smallholder farmers. - Investor Caution in Fragile Zones
The Indian investor’s delayed commitment due to security challenges illustrates the risk premiums now associated with agro-industrial investment in conflict-prone regions. State governments must go beyond MoU signings—ensuring robust operational security frameworks, insurance schemes, and investor protections. - Public-Private Synergy Is Critical
The plant’s revival must be leveraged to create a robust value chain—linking raw material suppliers, fertiliser blending, distribution networks, and agrodealer networks. This requires coordinated action among the government, cooperatives, logistics firms, and agro input distributors. - Early Warning on Project Planning
The timeline slippage from MoU signing to actual implementation highlights the importance of transparent risk assessment and implementation roadmaps in agro-industrial projects. Stakeholders—especially financiers and development partners—should insist on phased rollouts with security and infrastructural contingencies built in. - Regional Fertiliser Autonomy
Nigeria’s overdependence on imported fertiliser remains a key vulnerability. Initiatives like the Zungeru facility could set the stage for regional fertiliser hubs—feeding neighbouring states and stabilising the national food production landscape, particularly as global tensions and forex fluctuations continue to affect import-based inputs.
Conclusion
As the security situation in Niger State improves, the state’s fertiliser production ambitions offer a vital route to enhancing food systems resilience. However, turning that vision into reality requires more than optimism—it calls for risk mitigation, infrastructure continuity, and inclusive agribusiness partnerships. The next 6–12 months will be crucial in determining whether this $12 million investment becomes a model—or another cautionary tale.
