Nigeria, Brazil seal $1.1bn deal to boost agriculture

The signing, which took place on Monday, March 17, at the Presidential Villa in Abuja, marks a significant step in Africa’s largest agricultural project, prioritising sustainable, low-carbon food production.

Speaking at the event, Vice President Kashim Shettima emphasised that the initiative aligns with President Bola Tinubu’s administration’s commitment to tackling food security while driving economic growth.

“As this administration addresses food security challenges, it is also delivering the 8-point agenda of President Bola Tinubu,” Shettima said.

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“It is imperative for us to synergize and use existing initiatives such as the GIP to ensure policy continuity, leveraging strategic opportunities to enhance investors’ confidence.”

The GIP is designed to integrate small-scale farmers into the broader agricultural value chain, providing them access to modern equipment and financing to improve efficiency and competitiveness.

Brazil’s Ambassador to Nigeria, Carlos Garcete, hailed the agreement as a milestone in bilateral relations between the two countries.

“Over the past seven years, there has been negotiation with the Nigerian government to obtain the necessary funds from private and regional development banks to finance this ambitious project,” Garcete said.

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He added that the project would facilitate the importation of agricultural equipment like tractors and spare parts, with assembly operations conducted in Nigeria using local labour.

The GIP’s first phase was initially agreed upon in 2018, with subsequent expansions, including a $4.3 billion second phase and a $2.5 billion JBS deal, signed during President Tinubu’s visit to Brazil in 2024.

With this latest development, Nigeria is set to witness a transformation in its agricultural landscape, strengthening food production and economic resilience.