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Elephant Group to set up 250,000 metric tons fertiliser blending plant

Elephant group, a wholly Nigerian group of companies, with vast interest in agro-allied business as well as the oil and gas sector is set to open its 250,000 metric ton per annum fertilizer blending plant in Nigeria, a plant to be built with inputs from its Ukrainian partners.

“We have to set up the blending plants to ensure that we support crop production in every region of the country,” Tunji Owoeye, the groups managing director told BusinessDay in an extensive exclusive interview.

“Nigeria consumes up to 2 – 3 million pounds of fertilizer every year. Therefore, the blending plant is going to be about 250,000 metric pounds per annum,” Owoeye said. Owoeye also disclosed the Groups ongoing plan is to set up rice-processing machines and plants to support rice farmers across the country.

“It will be put in the production centers for the final finishing,” he said, adding that the company have grown from a totally import company to a producing company.

Akin Ogunbiyi, executive director told BusinessDay that some of the Group’s trade partners are going to be stakeholders in the factories.

“Trade partners, financial partners, technical advisers and these are international companies. By any standard, if you rate them, they are first, second, third in the world,” Ogunbiyi said.

The cost of the plant was not disclosed but a close associate told BusinessDay that a plant with capacity they are talking about will cost close to $200 million to complete. Owoeye said the Gropu will shortly disclose the name of their technical partner in the project.

Nigeria spends about $10 billion a year importing wheat, sugar, rice and fish, and plans to boost domestic food production by 20 million metric tons by 2015, according to the country’s agriculture ministry, Akinwunmi Adesina.

Owoeye said Elephant group is keying into the Agriculture Minister’s vision and transformation agenda, and the company has increased its contributions both practically and financially into the Agriculture sector.

“We have increased the size of our production and supplies into the system, we have realized the increased demand that is going to arise from the increased activity in the agricultural sector with the programs of the government; that is, increasing cultivation and also making agriculture a business,” he said

Elephant group is currently one of the few companies that supply fertilizer under the government’s Growth Enhancement Support (GES) program.

The GES program is focused mainly on the provision of fertilizer and seedlings at reduced rate to beneficial farmers.

“Talking about agro allied, we have actually analyzed the policy of the current government in terms of developing and transforming the economy in the agricultural sector. The government has good intentions,” Owoeye said.

BusinessDay Newspaper: Wednesday, 15 August 2012 00:00 PATRICK ATUANYA

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  • Agrocrop Fertilizers & Chemicals Limited
  • Dependable Foods & Confectioneries Limited
  • Elephant Agro (Ghana) Limited
  • Elephant Cameroun SARL

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8 Etal Avenue,
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Lagos, Nigeria