• As Kano Gov. Ganduje Pledges Land, Tax Incentives To Investors

The Dangote Group of Companies and the Niger State government on Wednesday signed a $450mn Memorandum of Understanding (MoU) aimed at developing an integrated sugar industry in Lavun.

The MoU indicated that Dangote Group is eyeing a project which produce 12,000 tons of sugar cane per day, from a sugar cane plantation of about 16,000 hectares.

“Dangote Group is a firm believer in the vast economic potential of Nigeria. We have decided to invest in local sugar production in Niger because of the vast arable land available in the state,” the President of the Dangote Group, Alhaji Aliko Dangote, indicated in a brief remark, shortly after signing the MOU in Minna, pointing out that the project would be supplemented by an out-grower scheme to produce 12,000 tons of sugar cane per day.

He said that the MOU also involved the establishment of a large scale rice milling factory to process up to 200,000 metric tons of rice to be sourced mainly from out-grower scheme in another part of the state.

According to him, the sugar project will commence in September, after compensations had been paid to the host communities.

He highlighted even beyond agriculture, the Dangote Group was constructing a multi-billion dollar petroleum refinery in Lekki, Lagos State, with a capacity for 650,000 barrels per day.

Dangote said that the petroleum refinery project would rank as the world’s largest single line refinery, adding that it would make Nigeria an exporter of petroleum products.

Responding, Gov. Abubakar Bello said that the project would change the economic fortunes of Niger from a mono-source to a state with multiple sources of income.

He added that the project would generate employment opportunities for the teaming youths and provide social amenities for the host communities via corporate social responsibility projects.

“It is pleasing to note that Dangote Group, in line with its corporate philosophy, has undertaken, in the MoU, to also support a strong out-grower scheme by agreeing to purchase up to 30 per cent of their sugar cane requirement from host communities integrated into the project,” he said.

Bello gave the assurance that the state team and the Dangote Group would work diligently to finalise the acquisition of the land so as to quicken the take-off of the project.

He said that the state government had begun the processes toward passing a law to protect investors in the state.

Also speaking, Mr Okechukwu Enelamah, Minister of Industry, Trade and Investment, who commended Dangote Group for complementing Federal Government’s efforts toward economic growth, said that government would continue to encourage domestic investors.

Represented by Alhaji Aminu Bisalla, the ministry’s Permanent Secretary, Enelamah said that government would continue to develop policies that would support the efforts of local investors.

Dangote signed the MOU on behalf of his  company, while Bello signed on behalf of the Nigerian State Government.

In the meantime, the Kano State Governor, Abdullahi Ganduje may have flagged off an aggressive investment drive as he urged the business community to invade Kano, pledging to grant land and tax incentives.

The Governor indicated this on Wednesday, while speaking at the 2017 Annual General Conference of the Nigerian Bar Association (NBA) in Lagos, stressing his determination to welcome investors who were ready to support the State to revolutionise agriculture and promote investments in various sectors.

Talking on the theme “African Business: Penetrating through Institution Building’’, Ganduje who spoke at the Showcase Session of “Investment Opportunities in Kano State’’ , noted that Kano was peaceful, in addition to being a commercial nerves centre.

“We have decided to make land acquisition very easy and speedy. A lot of red-tapism and a lot of bureaucracies and we decided to replace that ministry with the Bureau for Land Management,’’ Ganduje said, adding that the State was working to boost the nation’s economy and its Gross Domestic Product (GDP).

He lauded President Muhammadu Buhari on his unrelenting efforts to tackle insurgency in the North East,  and the success being recorded, stressing the importance of peace to development and progress.

Ganduje said the state government had made huge investments in securing lives and property in the state through procurement of vehicles, communication gadgets and trackers to check insecurity.

“Kano State presently enjoys very peaceful atmosphere that would encourage any serious local and foreign investor to come to the state and derive the benefits of the efforts made so far by the government in the area of security.

“Economic and social activities are now going on in all the 44 local government areas of the state without any hindrance.

“The state is not a good place for Boko Haram, kidnappers, armed robbers, rapists, cattle rustlers and other peace disturbers.

“Peace and tranquility are some of the key words that project Kano State as excellent location for investors,’’ he said.

The governor said that the state had the largest forest reserve in the country and to prevent terrorists hijacking the space, the state government had converted the forest into a military training ground.

Ganduje explained that Micro, Small and Medium Enterprises sector was strong and diverse, with an estimated 1.6 million businesses and enterprises across all economic activities that contributed about 70 per cent output and employment.

He said some resources of the state were being worked upon to restore it to its former glory as one of the leading economies in Africa.

The resources include textiles and apparels, plastic and rubber, paper and paper products, leather, food and beverages and basic industrial products.

The governor said that the state’s huge population of about 15 million people provided market opportunities, in addition to a history of contact with strategic markets in West, Central and Northern Africa, the Arabian Peninsula, Europe and the Far East.

Ganduje said that he had strengthened the legal system to deal with issues of economic crime.

He said that the state had computerised land operations to remove bureaucracy in the process of land acquisition and processing of documents, saying that it also offered some other free incentives.

“We have recently given free land and tax/levy reliefs to some new companies; notable among them are Black Rhino/Dangote Group, which will construct 100MW Solar Plant at the cost of 150 million dollars,” he said.

Ganduje said that St Meer International Investment and Management Company, would invest 120 million dollars to finance a similar project in the state.

He explained that during the colonial era and after the nation’s independence, the state was known for the production, in large quantities, of groundnuts (groundnut pyramids), hides and skins, sesame, soybean, cotton, garlic, gum arabic and chili pepper.

The governor said that agriculture was the mainstay of the state’s economy with its farmers producing most of the grains consumed in the country and neighbouring African countries.

He highlighted the tourism potential and other investment opportunities and urged the Lagos State Government to collaborate with the Kano State Government to speed up economic development in the nation.

Ganduje said that some development experts had already invested about N65 billion on industries in the state.

“Agriculture occupies a prominent position in the state’s economy as employer of labour, provider of food and incomes for households and supplier of raw materials to industries.

“Approximately 75 per cent of the populace is directly or indirectly engaged in some form of agricultural activity- including crop, livestock and fishery production.

“Crop production with an estimated value of N721.2 billion, which constitutes more than 50 per cent of Gross State Product, is practicable in Kano State.

“Current annual production of grains exceeds four million tones,’’ the governor said.

He said that the state had good road networks and recently signed an signed an MoU with a Chinese firm on the possibility of Kano City Light rail.

The Emir of Kano, Alhaji Sanusi Lamido Sanusi, cited examples of some Asian countries that had worse beginnings than Nigeria and now transformed into first class global economies.

Sanusi said that several countries that experienced worse challenges than Nigeria were still making economic progress, saying that Nigeria had the huge potential for speedy industrialisation through agriculture.

He urged investors not to be discouraged by the security situation in the country, adding that huge investments were still ongoing in countries like Afghanistan, Iraq and the Niger Delta area.

The emir urged investors to feel free to negotiate terms which he would facilitate with the help of the state governor.

“If you want anything come and tell us what it will take,’’ he said.

Also the Director-General, Kano State Investment and Properties Ltd., Alhaji Lawal Alhassan, while reeling out achievements of the government, said the state was seeking partnership with its Lagos counterpart.

“Investors coming to Kano would be given free land,’’ he said.

The Chief Operating Officer of Dangote, Mr Olakunle Alake, in his speech, stressed the need to educate farmers.