BUA Group Expands Food Production In 2026 To Cut Prices, Targets Nigeria’s Largest Food Business By 2027

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BUA Foods Is Now Nigeria's Second Largest Consumer Goods Firm By Market Value.

BUA Group has announced a major expansion of its food production operations as it accelerates investments across Nigeria’s agricultural and manufacturing value chain, with plans to increase local output, ease food inflation and become the country’s largest food company by 2027.

The expansion programme covers flour milling, sugar refining, domestic sugar production under the company’s backward integration strategy, as well as new investments in edible oil processing, animal feed production and noodles manufacturing. The projects are expected to be completed in 2027, significantly increasing BUA Foods’ production capacity.

The announcement followed a meeting between BUA Group Chairman Abdul Samad Rabiu and President Bola Tinubu at the Presidential Villa in Abuja. Brandspur Brand News reports that the company says expanding domestic production remains the most sustainable approach to improving food availability and helping to stabilise prices amid persistent inflationary pressures.

As part of the investment drive, BUA is constructing an edible oil milling facility in Port Harcourt alongside a feed mill and a noodles manufacturing plant to strengthen Nigeria’s local food processing capacity and reduce dependence on imported products.

The company believes that expanding manufacturing capacity across multiple food categories will enable it to meet rising consumer demand while improving supply across the country. Increased production is also expected to support government efforts to strengthen national food security through private-sector investment.

Rabiu said the expansion reflects BUA Group’s long-term confidence in Nigeria’s economy despite prevailing economic challenges. He reaffirmed the conglomerate’s commitment to investing across strategic sectors that promote industrialisation, employment and sustainable economic growth.

According to the company, the investments will create additional jobs throughout its production and distribution network while strengthening local value chains in agriculture and manufacturing.

BUA’s expansion aligns with ongoing federal government efforts to encourage local production, reduce food inflation and improve agricultural processing through increased private-sector participation.

The company has continued to invest heavily in Nigeria’s food and industrial sectors over the past decade, growing its presence in sugar, flour, pasta, cement and other manufacturing businesses.

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Nigeria has faced sustained pressure from rising food prices over the past two years, with inflation driven by supply constraints, exchange rate adjustments, transportation costs and broader economic reforms. Expanding domestic production has increasingly been identified by industry stakeholders as a critical solution to improving food affordability.

The planned increase in production capacity is expected to strengthen BUA Foods’ market position while supporting wider efforts to improve food supply across Nigeria.

The meeting with President Tinubu also provided an opportunity for the company to reaffirm its support for the administration’s economic reform agenda and its commitment to continued investment in the Nigerian economy.

BUA said it remains focused on expanding industrial capacity through long-term investments that improve productivity, strengthen local manufacturing and support inclusive economic development.

With multiple large-scale projects currently under construction, the conglomerate expects its expanded operations to enhance efficiency across the food value chain and contribute to greater market stability.

The company maintains that increasing local production remains one of the most effective ways to address supply shortages, improve food security and moderate consumer prices over the long term.

As the expansion projects progress towards completion, BUA Group is positioning itself to play an even larger role in Nigeria’s food manufacturing industry while supporting the country’s broader economic growth and industrial development objectives.