Nigeria Needs More Investment in Agriculture to Tackle Hunger — BUA’s Abdul Samad Rabiu

Nigeria Needs More Investment in Agriculture to Tackle Hunger — BUA's Abdul Samad Rabiu

ABUJA — Chairman of BUA Foods Plc, Alhaji Abdul Samad Rabiu, has called for increased investment in agriculture by both the government and the private sector, describing it as one of the most effective ways to combat hunger, improve food security and drive sustainable economic growth in Nigeria.

Rabiu made the call during the company’s 5th Annual General Meeting (AGM) held in Abuja on Wednesday, where BUA Foods announced a Profit After Tax (PAT) of ₦518.4 billion for the financial year ended December 2025, representing a significant increase from the ₦265.9 billion recorded in the previous year.

The company also reported a total revenue of ₦1.77 trillion, up from ₦1.53 trillion in 2024, reflecting continued growth in its operations despite the challenging economic environment.

Speaking at the AGM, Rabiu said that while BUA Foods was pleased with its strong financial performance, the company remained committed to supporting Nigeria’s food system and contributing to national development beyond delivering returns to shareholders.

“We have a responsibility not only to create value for our shareholders but also to help build a stronger, more competitive industry that contributes to Nigeria’s long-term growth,” he said.

Rabiu explained that the company’s ongoing expansion projects are designed to increase local food production capacity, strengthen Nigeria’s agro-industrial base and reduce dependence on imported food products.

According to him, the completion of the current expansion programme will position BUA Foods as the largest player in Nigeria’s food manufacturing industry.

“By next year, when our current projects are completed, BUA will become the largest player in our sector in Nigeria.

“We are not pursuing growth merely for the sake of becoming bigger. We are pursuing growth because scale matters in an industry like ours,” he stated.

He attributed the company’s impressive performance to operational efficiency, disciplined management, strategic investments and the commitment of its workforce.

“I am pleased to report that the business is doing very well. Our performance this year reflects the discipline, efficiency and hard work of our people across the organisation. We have delivered strong results, and we remain confident about the future,” Rabiu added.

The BUA Foods chairman also highlighted the structure of Nigeria’s food industry, noting that four companies currently account for about 90 per cent of the country’s organised food manufacturing sector.

He expressed confidence that BUA Foods, currently the only indigenous company among the industry’s major players, would continue strengthening its market position through strategic investments and expanded production capacity.

Massive Agricultural Investment Needed

Speaking after the AGM, Non-Executive Director of BUA Foods, Alhaji Kabiru Rabiu, emphasised that addressing Nigeria’s persistent food insecurity requires substantial investment across the agricultural value chain.

According to him, both public and private sector stakeholders must work together to improve farmers’ access to quality agricultural inputs such as fertilisers, improved seeds, herbicides and other essential farm supplies.

He urged governments at all levels to strengthen partnerships with private companies to support agricultural development and improve productivity among smallholder farmers.

Kabiru noted that although BUA Foods has continued investing in agriculture, broader participation from more private sector organisations is necessary to achieve national food security.

He also identified insecurity as one of the biggest obstacles limiting agricultural production across many farming communities.

While commending the Federal Government’s ongoing efforts to improve security, he stressed that creating a safe environment for farmers remains critical to increasing food production and attracting more investment into agriculture.

Irrigation Key to Year-Round Food Production

Kabiru Rabiu further called for greater investment in irrigation infrastructure, warning that Nigeria’s heavy dependence on rainfall continues to expose food production to climate variability and seasonal disruptions.

According to him, countries that have successfully achieved food security have invested significantly in irrigation systems that enable farmers to cultivate crops throughout the year.

He said expanding irrigation farming would help stabilise food supplies, increase crop yields, reduce seasonal shortages and moderate food price volatility.

Agricultural experts have repeatedly identified irrigation development as one of the most effective strategies for boosting productivity, particularly in the face of climate change and increasingly unpredictable rainfall patterns.

Building a Stronger Food Industry

Industry observers say investments by major food manufacturers such as BUA Foods are playing an increasingly important role in strengthening Nigeria’s agricultural value chains through local sourcing, processing, manufacturing and job creation.

Greater collaboration between government, agribusinesses, financial institutions and farmers is expected to improve access to financing, modern technology, mechanisation and agricultural infrastructure needed to transform the sector.

As Nigeria continues to grapple with rising food prices and growing food demand, stakeholders believe that sustained investment in agriculture, improved security, expanded irrigation, better access to farm inputs and stronger public-private partnerships will be essential to achieving long-term food security and reducing hunger across the country.