SÃO PAULO – JBS S.A. recently announced that it signed a memorandum of understanding (MOU) with the Nigerian government to build six new processing facilities in the country.
The meat producer stated that the investment would be $2.5 billion. JBS plans to build three poultry plants, two beef plants and one pork plant in the African nation.
“Our goal is to establish a strong partnership and support Nigeria in addressing food insecurity,” said Gilberto Tomazoni, Global chief executive officer of JBS. Our experience in regions where we operate worldwide shows that developing a sustainable food production chain creates a virtuous cycle of socio-economic progress, particularly for vulnerable populations.”
With the MOU signed, JBS plans to develop a five-year investment plan, which would include feasibility studies, preliminary project designs, budget estimates, and an action plan for supply chain development.
Along with the effort by JBS, the Nigerian government must provide the necessary economic, sanitary, and regulatory conditions for the project to work.
Part of the investment plan for JBS includes developing a local supply chain, supporting small producers, and promoting sustainable agricultural practices.
“Our goal is to collaborate with the Nigerian Government to support the implementation of the National Food Security Plan, sharing our expertise in developing sustainable agro-industrial supply chains and best practices to enhance the country’s efficiency, productivity, and production capacity,” Tomazoni added.
JBS said protein production in Nigeria accounts for 10% of GDP with 40% of domestic demand.
“Expanding local production has the potential not only to improve food security but also to significantly reduce imports, generate local jobs, and support millions of small-scale farmers,” JBS said.
According to estimates by the United Nations, Nigeria continues to grow with a projected population of 400 million by 2050. However, Nigeria also faces one of the highest rates of food insecurity globally, with 24.8 million suffering from hunger, according to the World Food Programme.