NSIA, UK firm seal $496m dairy farming deal

The Nigeria Sovereign Investment Authority (NSIA) and UK-based Asset Green Limited, have partnered to develop a $496 million integrated dairy production and processing platform in the country.

The agri-industrial investment is expected to boost food security, modernise farming, and expand Nigeria’s dairy production capacity. The initiative, according to a statement by the United Kingdom High Commission in Abuja, aims to transform Nigeria’s dairy industry.

A Memorandum of Understanding (MoU), signed in London, paves the way for a massive agri-industrial project designed to strengthen food security and slash the nation’s dependence on imported dairy products.

The initiative is expected to generate an estimated $620 million in annual revenue and create 2,500 direct jobs alongside 5,000 indirect roles across the country. The project stands as one of the most ambitious private-sector-led agricultural investments in Nigeria’s history.

Jonny Baxter, British Deputy High Commissioner said: “Over a decade ago, the UK provided pivotal support to Nigeria in establishing the NSIA, offering legal and financial expertise that helped lay the foundation for its successful launch and strengthen its governance and credibility.”

According to him, the early institutional investment has paid dividends, helping to build a resilient Nigerian institution capable of creating jobs and driving transformational, long-term development.

“The NSIA and Asset Green partnership is a powerful example of how that groundwork continues to deliver impact – a full-circle moment that reflects the long-term economic cooperation between the UK and Nigeria and the shared commitment to deepening sustainable, private-sector-driven growth,” he added.

The investment features 20,000 hectares dedicated to climate-smart, regenerative crop and forage cultivation, supporting a modern 10,000-cow dairy farm.

At the heart of the operation will be a high-tech processing plant designed to produce fresh milk, butter, cream, and milk powders, including a significant yearly output of 15,000 metric tons of infant formula.

Beyond industrial output, the project aims to integrate 10,000 rural households into the national supply chain through inclusive out-grower schemes.

This structure is intended to modernise local farming practices while improving the nutritional standards of communities involved

Aminu Umar-Sadiq, NSIA managing director, categorised the deal as a generational shift for the country’s food systems.

“With a project size of almost $500 million, this is one of the most ambitious initiatives aimed at strengthening Nigeria’s food and nutrition security in a generation,” Umar-Sadiq said.

He noted that the combination of advanced processing and inclusive farming creates a foundation for a “modern, competitive dairy sector that reduces import dependence.”

Also, Rod Bassett, director of Asset Green Limited and chief executive officer of Agrium Capital Limited, pointed to the project as a necessary innovation for the Nigerian market.

He noted that the partnership is designed to unlock the untapped potential of the country’s agriculture sector through a future-focused food system.

“This $500 million greenfield investment in Nigeria’s dairy industry allows for the development of advanced and necessary infrastructure spanning the full production and supply system to enhance local production,” Bassett said.

He further explained that the goal is to “deliver environmental services and strengthen national food sovereignty and nutritional resilience” while curbing the massive volume of dairy imports currently entering the country.