Brazilian meat processing giant JBS has entered into a memorandum of understanding (MoU) with the Nigerian government to invest $2.5bn in the country over the next five years.
The investment plan includes the construction of six new factories dedicated to poultry, beef, and pork production, the company announced in a statement.
Under the agreement, JBS will develop a comprehensive five-year plan, encompassing feasibility studies, preliminary facility designs, budget assessments, and strategies for building a robust local supply chain. The investment aligns with JBS’s commitment to sustainable food production and socio-economic development in emerging markets.
The company, which reported nearly $73bn in global revenue last year, emphasized the urgency of addressing Nigeria’s food insecurity challenges.
According to data cited by JBS from the World Food Programme, approximately 24.8m Nigerians face hunger. Additionally, the World Bank estimates that 76 per cent of Sub-Saharan Africa’s population living in extreme poverty relies on agriculture for their livelihoods.
“Our goal is to establish a strong partnership with Nigeria and support the nation in tackling food insecurity,” said JBS CEO Gilberto Tomazoni. “Our experience globally shows that developing sustainable food production chains fosters socio-economic progress, particularly for vulnerable populations.”
The six planned facilities will include three for poultry, two for beef, and one for pork processing. The initiative aims to strengthen Nigeria’s protein production, which currently contributes 10% to the country’s GDP but only meets 40 per cent of domestic demand.
To ensure the success of the project, the Nigerian government has pledged to create conducive economic, regulatory, and sanitary conditions. JBS will also collaborate with the government to support the National Food Security Plan by sharing expertise in agro-industrial development and sustainable practices.
JBS’s investment will prioritize supporting small-scale producers and promoting sustainable agricultural practices to enhance local productivity and efficiency.
The Nigerian expansion is part of JBS’s broader growth strategy. Earlier this year, the company announced plans to quadruple chicken production in Saudi Arabia with a new facility in Jeddah. It also committed investments in Australia’s Huon Aquaculture salmon-farming operations and a new production line for beef patties at its Brooks, Alberta, facility in Canada.