Oyo govt attracts $170m worth of agribusiness investment —Commissioner

The Oyo State Government has announced that agribusiness activities in the state have attracted over $170 million in investment over the past two years, reinforcing its position as a rising agricultural hub in Nigeria.

This announcement was made by the Commissioner for Agriculture and Rural Development, Olasunkanmi Olaleye, during the inaugural inter-ministerial briefing at the Governor’s Office in Ibadan.

Central to the state’s achievements is the Fashola Agribusiness Hub, which stands as a flagship initiative symbolizing Oyo’s commitment to leveraging agriculture for economic growth. The hub has integrated over 8,000 smallholder farmers, offering them access to markets, resources, and agro-industrial partnerships.

The Commissioner highlighted a range of programmes executed by the ministry:

1. Input Distribution: Support was extended to over 10,000 farmers with improved seedlings and inputs.
   – Maize: 3,541 farmers supported
   – Soybeans: 920 farmers
   – Cassava: 1,269 farmers covering over 47,000 acres, with an estimated output of 214,000+ tonnes
   – Crop Protection: 1,980 knapsack sprayers distributed, along with herbicides and pesticides to 2,500 farmers
   
2. Livestock and Aquaculture Support:
   – 8,464 farmers benefited from quality feed and inputs
   – 3,740 poultry farmers received maize grains
   – 2,536 ruminant farmers received supplements (wheat offal, grains, salt licks, etc.)
   – 1,150 fish farmers and 1,028 pig farmers also received targeted support

3. Microloans: 3,501 smallholder farmers received soft loans ranging from ₦50,000 to ₦800,000, enabling them to expand production and improve livelihoods.

4. Rural Infrastructure: 87.53 km of rural roads were constructed across various local government areas, enhancing market access and logistics.

According to Mr. Olaleye, these initiatives form part of a comprehensive agribusiness strategy that cuts across the value chain—from inputs to infrastructure—targeted at building a more productive and sustainable agricultural sector in Oyo State.
Source: Tribune Online

Expert Agri-Food Review for Stakeholders:
The recent disclosure by Oyo State’s Ministry of Agriculture provides valuable insight into how sub-national governments can effectively mobilize investment and empower value chain actors. Here are expert perspectives for agribusiness stakeholders:

1. Agri-Hub as Investment Magnet
   The Fashola Agribusiness Hub’s success in attracting $170 million underscores the potential of agro-industrial clusters to drive both foreign direct investment (FDI) and domestic capital. This approach aligns with global best practices in agro-park development.

2. Smallholder Integration Is Critical
   Integrating over 8,000 smallholders into the agribusiness ecosystem signals an inclusive model that enhances productivity and market participation. Stakeholders must ensure linkages are maintained through consistent offtake, inputs, and extension services.

3. Input Support Must Match Market Demand
   Distribution of high-yield inputs to over 10,000 farmers is a commendable boost. However, sustainability depends on whether these inputs are connected to value chains with existing market demand, such as for starch, feed, and export-grade produce.

4. Livestock Feed Intervention as a Buffer to Feed Crisis
   The feed support to over 8,000 livestock farmers is timely given the rising cost of feed inputs in Nigeria. This measure may have helped cushion price volatility, and can be scaled through public-private partnerships with feed millers.

5. Microloan Access Needs Value Chain Alignment
   The provision of microloans is a step in the right direction. However, for greater impact, loans should be aligned with commodity aggregation schemes or processor-backed procurement, to guarantee repayment and impact tracking.

6. Infrastructure as a Game Changer
   87.53 km of rural roads unlock access to markets and reduce post-harvest losses. Stakeholders such as agro-logistics companies and processors can leverage this improved infrastructure to scale aggregation and rural sourcing.

7. Policy Implication
   Oyo’s approach exemplifies a whole-of-value-chain method—from seed to market—and can serve as a model for other Nigerian states. The focus on infrastructure, input systems, and investment attraction forms a tripod of rural economic development.

Conclusion
Oyo State’s progress showcases how agribusiness-driven policies and investment-friendly environments can uplift smallholder farmers and stimulate economic transformation. For stakeholders in agri-food systems, it is a strong signal that agricultural ecosystems backed by infrastructure, finance, and institutional commitment can unlock prosperity across the value chain.