The Katsina State Government has launched a pilot agribusiness investment that aims to connect smallholder farmers to structured markets through an integrated out‑grower scheme and an agro‑allied processing factory in Tashar Bala village, Batagarawa Local Government Area.
Katsina agribusiness investment to integrate smallholders
Implemented by the Katsina State Investment Promotion Agency (KIPA) and backed by private investors, the project forms part of the government’s adoption of the Framework for Responsible and Inclusive Land‑Intensive Agricultural Investment (FRILIA). State officials say the initiative follows an Executive Order formalising the FRILIA framework to align local investment with international best practice on land governance, investor protection and community inclusion.
Ibrahim Jikamshi, Director‑General of KIPA, told journalists that steering and technical committees have been constituted to oversee implementation. He said the facility will not only process produce but will link local producers into a predictable supply chain through an organised out‑grower arrangement, improving market access for farmers and anchoring longer‑term value‑chain development.
“The pilot project will generate employment, facilitate skills and technology transfer and strengthen the agricultural value chain,” Jikamshi said. He added that the state has held a series of capacity‑building workshops for key stakeholders, including traditional rulers, to improve institutional readiness for land‑intensive investments.
To increase transparency, the project includes a Grievance Redress Mechanism with clear terms of reference to address community concerns promptly. That mechanism is intended to build trust between investors and host communities and to provide a formal route for dispute resolution.
Private commitments and expected impacts
The pilot builds on pledges made at the Katsina State Economic and Investment Summit. TORQ Agro Allied has committed ₦3.5 billion to an ultra‑modern poultry farm with hatchery facilities, already under construction, and a further $11 million to establish a soybeans aggregation, collection and processing centre supported by an out‑grower sourcing system aligned to FRILIA.
Al‑Hikima Fertiliser and Chemicals Nigeria Limited has announced an initial ₦1 billion investment in fertiliser and agro‑chemical production, seed multiplication and supply at the project site, with plans to scale that outlay to ₦5 billion in subsequent phases. State officials say the combined investments will improve access to inputs, boost productivity and deepen value‑chain development across Katsina State.
Officials expect the project to create direct and indirect jobs in processing, logistics and agronomy, while the out‑grower model should raise farm incomes by providing farmers with assured buyers, technical support and improved market information. The capacity‑building activities are designed to ensure smallholders meet quality and volume requirements demanded by processors.
Next steps and wider significance
The pilot will be monitored by the state’s appointed committees with regular reporting to government and stakeholders. If successful, the model could be scaled to other local government areas and used as a template for further private‑sector agribusiness investments in the region.
By adopting FRILIA and combining public facilitation with private capital, Katsina aims to attract responsible investors while protecting community rights and improving agricultural productivity. Observers say the approach, if implemented transparently, could deliver inclusive economic growth and strengthen investor confidence across the state.
Key Takeaways:
- Katsina agribusiness investment will establish an agro-allied processing factory with an integrated out-grower scheme in Tashar Bala.
- Combined commitments include ₦3.5bn for poultry, $11m for soy aggregation and processing, and ₦1bn initially for fertiliser production.
- Project follows FRILIA adoption to ensure responsible land governance, community inclusion and a Grievance Redress Mechanism.
- Expectations include job creation, skills transfer, improved market access and stronger value chains for smallholders.
