Oyo moves to attract agric investment as Iseyin Value Hub seeks govt backing

Oyo State is positioning itself to attract private capital into agribusiness, as the Iseyin Agric Value Hub seeks strategic backing from the Oyo State Agribusiness Development Agency to scale a cluster-based investment model.

In a statement shared with BusinessDay, the group said in a meeting in Ibadan on April 28, the promoters of the Iseyin Agric Value Hub presented the project as a private sector-led platform designed to aggregate farming, processing, and logistics operations, with the aim of improving value chain efficiency and investor returns.

The engagement signals a growing push by subnational governments to deepen agribusiness investments through structured partnerships that reduce entry risks for investors.

Lukman Komolafe, chief executive officer of the hub, said the project is designed to function as an integrated agribusiness cluster capable of supporting farmers, attracting processors, and improving market access.

Discussions at the meeting focused on key investment risks and enablers, including security architecture, water access, land ownership structure, pricing sustainability, and investor protection mechanisms.

Project promoters outlined plans to mitigate these risks through security partnerships, existing infrastructure, and a legal framework aimed at safeguarding investments.

Officials of OYSADA, led by Ajetumobi Akinwumi, director of Technical Services, ,acknowledged the commercial potential of the hub and indicated that the proposal would be reviewed within government channels.

The agency also signalled willingness to collaborate on stakeholder engagement and institutional support, a move seen as critical to unlocking large-scale agricultural investments.

Stakeholders say the success of the hub will depend on its ability to translate concept into bankable projects, particularly in addressing structural bottlenecks such as land titling, rural infrastructure, and market linkages.

Cluster-based models like the Iseyin hub are increasingly being adopted to consolidate fragmented agricultural production, improve economies of scale, and attract financing into the sector.

However, concerns remain around execution risks, especially in areas of security, pricing stability, and long-term investor confidence.

Both parties ended the meeting with a commitment to further engagement, as Oyo State seeks to leverage public-private partnerships to expand its agribusiness footprint and drive rural economic growth.

Ruth Tene Natsa

Ruth Tene, Assistant Editor, Agric/Solid Minerals/INEC Ruth Tene is an award-winning journalist with over 15 years experience in developmental reporting across several newsrooms, as a reporter, editor and other managerial roles. She holds a Postgraduate Diploma in Journalism from the University of Maiduguri among several other certifications She has attended several trainings and certifications both locally and internationally and has been recognized for her impactful work in humanitarian reporting, receiving the Gold Award for Humanitarian Services from the Amazing Grace Foundation. She is also a recipient of the Home Alliance Fellowship, reflecting her commitment to fostering a more humane, safer and more sustainable planet. An active member of professional journalism bodies, Ruth is affiliated with the Nigeria Union of Journalists (NUJ), the National Association of Women Journalists (NAWOJ), and the Agricultural Correspondents Association of Nigeria (ACAN), where she continues to advocate for excellence, ethical reporting, and development-focused journalism.