The Nigeria Sovereign Investment Authority is set to invest another N114 billion into the Presidential Fertilizer Initiative (PFI).
This will increase total investment in the PFI to N221 billion since 2017 when the initiative was established.
The PFI was established following the visit of the King of Morocco to Nigeria in December 2016 and the subsequent signing of a 3-year bilateral agreement with Morocco for the supply of Di-ammonium Phosphate (DAP), a key ingredient for fertilizer production. Among other things, the mandate of PFI was to make high-quality fertilizer available to Nigerian farmers at the right time and at an affordable price, and to revive the ailing fertilizer blending industry so that Nigeria could achieve food security. According to NSIA, which doubles as the PFI program operator and fund manager, N104 billion has been invested in the scheme between 2017 and 2019, while the additional N114 billion will be invested this year on items that cover raw materials, logistics, contract blending costs by 3rd party blenders among others. The PFI’s business model involves sourcing for and procurement of four constituent raw materials required for the production of NPK 20:10:10 fertilizer.
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