Nigeria's Minister of Livestock Development, Alhaji Idi Muktar Maiha, has announced plans to collaborate with the Federal Ministry of Finance and the Central Bank of Nigeria to introduce single-digit interest rates and long-tenure loans in the livestock sector. This move aims to drive growth and development in the industry. Maiha made this statement during a visit to the ABIS Ultra-Modern Livestock Processing Factory in Lekki, Lagos. The minister emphasized the need for a pension capital, loan moratorium, and loan payment plan to support the sector.
Maiha highlighted the challenges faced by the livestock sector, including high interest rates that hinder the establishment and growth of businesses. He cited the example of an abattoir, which cannot be established with a 25% interest rate, and ranching or feedlotting with 16-20% interest rates and short repayment periods. The minister stressed that a single-digit interest rate, long-term repayment plans, and a minimum of 10-year repayment period are necessary for the sector to mature.
During the visit, Maiha commended the ABIS Group for modernizing the livestock processing business and creating employment opportunities for women. He toured the facilities, including the abattoir that processes 250 cows per day in a certified hygienic environment. The minister expressed his desire to see similar facilities nationwide and pledged to work towards achieving this goal.
Maiha also discussed the need for laboratories to be established across the country to improve the processing and distribution of livestock products. He envisioned a future where consumers could order processed meat through their phones, reducing the need for transportation and promoting a more efficient supply chain. The minister highlighted the importance of processing by-products, such as blood, faeces, horns, and hooves, into raw materials for other industries.
Ambassador Emmanuel Usman Nelson, Chairman and founder of the ABIS Group, welcomed the government's efforts to support the livestock sector with single-digit loans. He emphasized that this move would fuel change in the sector and called for the government to also address the issue of dilapidated roads, which hinder the transportation of livestock. Nelson advised herders to adopt modernized methods of rearing livestock, rather than roaming through forests.
Nelson lauded the Minister of Livestock Development and the Lagos State Government for supporting operators in the sector and urged them to do more to modernize the industry and create jobs. He disclosed that the ABIS Group is a hub for livestock development and processing, and that the company is committed to working with the government to achieve its goals.
The Minister of Livestock Development has pledged to continue working towards transforming the agricultural sector into a modern, profitable, sustainable, and globally inclusive industry. This transformation aims to ensure national food security, create jobs and work opportunities, and stabilize rural areas. The government's efforts to support the livestock sector are expected to have a positive impact on the industry and the economy as a whole.
Key points
- The Nigerian government is working to introduce single-digit interest rates and long-tenure loans to support the growth of the livestock sector.
- The Minister of Livestock Development has commended the ABIS Group for modernizing the livestock processing business and creating employment opportunities for women.
- The government aims to establish certified abattoirs nationwide and promote a more efficient supply chain for livestock products.
