From Food Basket to Food City: Benue Bets $250m on Agro-Industrial Transformation
By Matthew Eloyi
For decades, Benue has carried the identity of Nigeria’s “Food Basket”, producing large quantities of agricultural commodities but grappling with the challenge of turning that production into sustained industrial wealth. Now, the state is seeking to rewrite that story with a $250 million National Food City Complex, a project authorities say could fundamentally reshape its agricultural economy.
The deal, signed between the Benue State Government and Rexzodeneh Group Ltd. in Makurdi, represents an ambitious attempt to move the state beyond the production of raw agricultural commodities to processing, storage, logistics, energy and market development.
Gov. Hyacinth Alia, represented by his deputy at the signing ceremony, described the project as a major milestone in the state’s effort to convert its agricultural strength into wealth, employment and prosperity.
At the heart of the initiative is a planned 30,000-hectare footprint designed to bring different components of the agricultural value chain together. Rather than leaving farmers to produce crops and sell them as raw commodities, the complex is expected to connect agricultural production with processing facilities, storage infrastructure, logistics, energy and markets.
That integrated approach could address one of the longstanding challenges facing agricultural economies: the loss of much of the value of farm produce after it leaves the farm gate.
For Alia, Benue’s future cannot be built simply on producing more crops.
“We must not remain merely suppliers of raw materials. We must become a centre of production, processing and value creation,” he said.
The project is also expected to have a significant human dimension. According to the governor, about 40,000 smallholder farmers are expected to be integrated into the initiative, while as many as 20,000 permanent direct jobs could be created.
The emphasis on smallholder farmers is particularly important because the success of an agro-industrial project ultimately depends on the strength of the supply base feeding it. If farmers have reliable markets, access to modern production methods and opportunities to participate in value addition, agricultural production can become more commercially sustainable.
The investor also sees the project as an opportunity to reshape the relationship between agriculture and young people in rural communities.
Ramsey Ibrahim, Project Manager of Rexzodeneh Group Ltd., described the initiative as a new agricultural revolution in Benue and Africa, saying it would modernise farming while creating opportunities that could encourage young people to remain in rural areas.
“Today, the city is coming back to the village to create the opportunity,” he said.
The statement captures one of the project’s central ambitions: bringing technology, investment and industrial opportunities closer to the communities where agricultural production takes place.
According to Ibrahim, international investors, including South Korean and Turkish technology partners, are expected to participate in the project, particularly in areas involving modern agricultural technology and drone-based farming.
For a state whose economic identity is closely tied to agriculture, the introduction of such technologies could mark a significant departure from traditional farming methods.
Yet the biggest question is not the scale of the investment announced, but whether the ambitious plans will translate into infrastructure, functioning markets and sustainable opportunities for farmers and young people.
Alia acknowledged the responsibility that comes with the agreement, charging the investor to ensure delivery, transparency and accountability.
For the state government, the role is equally demanding. It has promised to provide an enabling environment, facilitation and institutional support while leaving private capital, technology and expertise to drive the expansion.
Johnpaul Kpenkaa, Executive Secretary of the Benue State Investment Promotion Agency (BENIPA), said the agency had coordinated 13 relevant ministries, departments and agencies through technical reviews, investor engagements and other institutional processes leading to the agreement.
That preparation suggests an attempt to ensure that the project is not simply an investment announcement but an initiative supported by the relevant government institutions.
Alia’s broader vision is to make Benue’s agricultural strength serve as a foundation for industrialisation.
“A food basket must feed industries. Industries must create jobs. Jobs must create incomes. And incomes must create prosperity,” he said.
That chain—from farm production to industrial activity, employment and household income—captures the economic promise of the Food City concept.
But it also sets the standard against which the project will ultimately be judged.
The success of the National Food City Complex will not be measured merely by the size of its proposed footprint or the value of the investment. Its real impact will be seen in whether farmers secure stronger and more predictable markets, whether young people find meaningful employment, whether agricultural products are processed locally and whether more value generated from Benue’s farms remains within the state.
For Benue, therefore, the signing represents more than another investment agreement. It is an attempt to turn a long-standing agricultural reputation into an industrial advantage.
As Alia puts it, the ambition is a transition “from the Food Basket to an agro-industrial economy; from potential to productivity, and from productivity to prosperity.”
The challenge now is to ensure that the promise moves from the signing table to the farms, factories, markets and homes of Benue.
