Saudi government approves $100 million livestock offtake deal with Nigeria – Gov. Bago
Nigeria has secured a landmark $100 million livestock export deal with Saudi Arabia, announced by Niger State Governor Mohammed Bago. Learn how this partnership is set to revolutionize Nigeria’s non-oil export sector.
LAGOS, NIGERIA – Nigeria’s non-oil export drive has received a monumental boost with the announcement of a $100 million livestock offtake agreement with the Saudi Export and Import Bank. The deal, unveiled by Governor Mohammed Umaru Bago of Niger State on Tuesday, positions Nigeria as a key supplier of meat and animal products to the Middle East and marks a significant step in the nation’s economic diversification agenda.
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The announcement was a major highlight of the FirstBank Agric and Export Expo 2025 in Lagos. Governor Bago revealed that the deal would commence with an initial tranche of $10 million, facilitated by the Nigerian Export and Import Bank (NEXIM).
“This is incredible. The Saudi government has given us an offtake agreement for $100 million,” Governor Bago announced. “They’ve asked the Nigerian Export and Import Bank (NEXIM) to come in, and we’re starting with the first $10 million.”
Tapping into a $2.5 Billion Annual Opportunity
This landmark agreement is strategically timed to capitalize on a massive market opportunity in the Middle East. According to Governor Bago, ongoing geopolitical and environmental challenges in traditional livestock-sourcing regions like the Sahel and Sudan have created an urgent $2.5 billion annual demand for meat and animal by-products in Saudi Arabia and neighboring countries.
This deal allows Nigeria to step in as a stable, high-volume supplier. The governor emphasized a holistic, value-driven approach to the export plan.
“This is not just about meat. The tripe, the blood, the skin, the hooves—every part of the animal has value,” he explained. “We’re building the entire ecosystem to maximize returns and reduce waste.”
The Niger-Lagos Strategic Partnership: A Powerhouse Alliance
A critical enabler of this international deal is a powerful domestic partnership between Niger and Lagos States. Governor Bago highlighted the unwavering support of his Lagos State counterpart, Governor Babajide Sanwo-Olu, in creating an integrated supply and logistics chain.
“Lagos is a consumer state; it has Nigeria’s largest market. We produce for Lagos. And with the N5 billion offtake already provided by Lagos, part of a larger N500 billion agreement, we’re ready to scale,” Bago stated.
To solidify this collaboration, Governor Bago made a stunning commitment on stage, pledging 100,000 hectares of farmland in Niger State to support Lagos’s agricultural production goals. “Not 20,000 hectares – I’m giving you 100,000 hectares. We’ll brand it ‘Lagos Farm’ and produce rice, yams, beans, livestock – anything you need,” he promised.
Revolutionizing Logistics: From Live Animals to Packaged Meat
The partnership extends to modernizing the agricultural supply chain. A key innovation is the shift from transporting live animals across the country to a modern, centralized processing model.
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“No more transporting live animals to Lagos,” Bago declared. “We’ll terminate every cow or goat at Mokwa [in Niger State], process them, and ship frozen meat directly to you using LNG-powered cold-chain trucks. Just walk into Shoprite and pick the meat you want – all branded and properly packaged.”
This value-addition strategy not only enhances food safety and quality but also creates more jobs in processing and logistics within Niger State, capturing more value locally before export.
A Call for Value Addition and Accessible Finance
Governor Bago delivered a passionate plea against the practice of exporting raw commodities, warning it keeps nations “perpetually broke.” He urged banks and financial institutions, including the event host FirstBank, to support this new paradigm.
“If you produce and just export, you’re at the mercy of global prices. But when you process, you set the price,” he argued. He also pointed out the critical need for affordable financing for farmers, who are currently struggling with high interest rates.
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Lagos: The Commercial Gateway for Nigeria’s Export Ambition
In his address, Governor Babajide Sanwo-Olu affirmed Lagos State’s vital role as the commercial and logistics hub for Nigeria’s growing non-oil export economy. He praised the federal government’s consistent focus on economic diversification under President Bola Tinubu.
“For the last two years, we’ve seen consistent quarterly growth in non-oil exports. This is the direction we must continue to pursue,” Sanwo-Olu said, emphasizing the perfect synergy between Niger’s vast agricultural land and Lagos’s market and port infrastructure.
FirstBank CEO, Olusegun Alebiosu, echoed this sentiment, stating that Nigeria is at a “pivotal moment” that demands bold diversification. He affirmed the bank’s commitment to positioning agriculture and non-oil exports as a “transformative force” in Nigeria’s economy.
This $100 million deal represents more than just a transaction; it is a template for how interstate collaboration, private sector support, and a focus on value addition can unlock Nigeria’s immense potential on the global stage.
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