Oyo State Commences Construction Of Eruwa Agribusiness Hub

*News in brief:- **Oyo State Governor Seyi Makinde has initiated the construction of the Eruwa Agribusiness Industrial Hub, a large-scale project under the AfDB's SAPZ programme.

• Designed to support mechanised farming, processing, and agritourism, the hub should aim to avoid the pitfalls of the older Fasola project.*** The governor of Oyo State, Seyi Makinde, has announced the commencement of the construction of the Eruwa Agribusiness Industrial Hub. The work officially began on November 21, 2024, according to the governor's post online. "This hub which will be constructed on the existing 3,250-hectare Eruwa Farm Settlement, will be styled after the Fasola Agribusiness Industrial Hub," Makinde wrote in his address to the public. The Fasola Agribusiness Industrial Hub that the governor referenced is a 2021 project that has attracted about ₦11 billion in investments from private sector players like Friesland Campina WAMCO Ltd, IITA BIP Go Seed Ltd, and more. However, the Eruwa Hub may be different and avoid several pitfalls of the older project because of the existence of a vibrant farming community that is ready to take advantage of the new infrastructure to be put in place. "[It] will have mechanised crop production and livestock ranching facilities, processing and warehouse facilities, a resort to promote agritourism and residential houses for workers," the governor added. Another key difference is that this hub is part of the Special Agro-Industrial Processing Zones (SAPZ) programme that is being funded by the African Development Bank (AfDB). The SAPZ projects are taking place in several other Nigerian states as a means to overhaul the country's agricultural sector and boost food security. While Makinde mentions that private sector investors were motivated by the Fasola hub prototype, it is important that the state not fall into the same trap it did with the old project. For example, one critic pointed out that the old hub had luxury buildings priced at ₦90 million each and gold courses that had no direct usefulness to farmers, who should be the major stakeholders. By all indications, the Eruwa hub will be even larger than the uncompleted Fasola hub in land coverage and investment.