Brazilian meatpacking giant JBS has signed a Memorandum of Understanding (MoU) with the Nigerian government for a $2.5 billion investment plan aimed at boosting Nigeria’s meat processing sector.
The deal includes the construction of six new factories across the country over the next five years, marking JBS’s strategic entry into Africa.
JBS, one of the world’s largest meat producers, is known for its operations across various markets, including the U.S. and Europe. Its decision to expand into Nigeria is driven by the country’s large population, its rapid economic growth, and its significant potential within the African market.
Under the agreement, JBS will build three poultry factories, two beef factories, and one pork factory, according to a report by Reuters
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The company also plans to conduct feasibility studies, prepare budget estimates, and develop a detailed action plan to establish a robust local supply chain.
In return, the Nigerian government will ensure favorable economic, sanitary, and regulatory conditions to support the project’s success.
JBS CEO Gilberto Tomazoni emphasized the broader goal of the partnership: addressing food insecurity and fostering socioeconomic progress in Nigeria. “Our goal is to establish a sustainable food production chain that creates a virtuous cycle of progress for the population, particularly vulnerable groups,” he said.
The Nigerian economy, the largest in Africa, is projected to more than double its population by 2050, offering a strong foundation for long-term investment. JBS’s move aligns with its global growth strategy and underscores Nigeria’s potential as a key player in Africa’s emerging markets.
This announcement comes amid broader efforts by Nigeria to strengthen its agricultural sector. Earlier in 2024, the government secured a trade agreement with Saudi Arabia for the export of red meat and soybeans. Minister of Agriculture, Senator Abubakar Kyari, highlighted the proactive role of President Bola Tinubu’s administration in advancing agricultural exports and attracting international investment.
