Katsina, Firm Seal N2bn Agro-Processing Deal

Francis Sardauna in Katsina

The Katsina State Government has signed a Memorandum of Understanding (MoU) with Kano-based Al-Hikma Fertiliser and Chemicals Limited for the establishment of a N2 billion agro-allied processing plant in the state.

The project, which will be sited at Tashar-Bala and Rimin-Kaura villages of Batagarawa and Rimi Local Government Areas of the state, was formalised on Tuesday in Katsina.

The MoU was signed by the Director-General of the Katsina State Investment Promotion Agency (KIPA), Ibrahim Tukur-Jikamshi, and the Managing Director of Al-Hikma Fertiliser and Chemicals Limited, Bashir Ahmad.

Speaking at the signing ceremony, Tukur-Jikamshi said the state government had allocated 150 hectares of land at the Tashar-Bala and Rimin-Kaura villages for the project.

He noted that the investment aligns with the Framework for Responsible Inclusive Land-Intensive Agricultural Investment (FRILLIA), which was introduced to protect the interests of local communities.

According to him, FRILLIA ensures inclusivity and safeguards citizens’ land rights, livelihoods, social well-being, and historical heritage when large parcels of land are required for investment.

He added that Governor Dikko Radda had signed an executive order to strengthen the framework’s implementation.

He further disclosed that compensation for affected landowners had been paid, plans were underway to resettle some residents, and supporting infrastructure would be developed along the eastern bypass.

He said local government councils and traditional rulers in the affected areas had been consulted and had endorsed the project.

In his remarks, Ahmad said Al-Hikma Fertiliser and Chemicals Limited has already operated in Funtua, Bakori and Sabuwa Local Government Areas of Katsina State.

He explained that the company produces NPK and organic fertilisers, as well as seeds, while also supporting farmers with inputs that are repaid after harvest.

He said the company plans to expand its operations into the new locations with an investment of about N2 billion, adding that the agro-processing project is expected to commence by 2026.