Niger State Government has entered into a N50 billion Memorandum of Understanding (MoU) for the supply of sesame seeds, soy beans, maize, and paddy rice to Tropical General Investment Limited.
The agreement was sealed yesterday at the Niger State Government Lodge in Abuja. Tropical General Investment is the owner of Union Bank of Nigeria.
The Chairman of Niger Food Security Systems and Log Limited, Mr. Sammy Adigun, and the Special Adviser to the Governor on Special Duties, Dr. Murtala Bagana, signed on behalf of the state government, while the Director of Tropical General Investment, Sadiq Kassim, signed on behalf of Union Bank.
Governor Mohammed Umaru Bago, who described the agreement as historic, expressed optimism that it would allow the state to create a lot of value chains from the production, cropping, and processing of other agricultural produce.
He said the state's agricultural potential was enormous, reassuring the partners that the state will meet the supply needs of the company as contained in the agreement and expressed hope for a continuous partnership with the financial institution.
The governor disclosed further that 100 million euros have been invested into the Sun-Farm initiative of the state government to have greenhouses covered by solar-powered cells for sustainable farms.
Chairman, Union Bank, and Executive Vice Chairman, Tropical General Investment, Alh. Farouq Gumel, said the agreement with the state government will help the company meet global needs.
Alhaji Gumel, while assuring the governor that it would deliver on its side of the deal, thanked him for the opportunity to pilot an idea that has been conceived for many years.
Chairman, Niger Food Security Systems and Log Limited, Sammy Adigun, said the state will supply 500,000 metric tonnes of the four crops to Tropical Investment in the next year and one million metric tonnes in two years.