BUA Foods Plc has unveiled a major expansion strategy aimed at strengthening Nigeria’s food security through increased local food production, agricultural investment and more resilient manufacturing, as the company deepens its commitment to sustainable economic development.
The announcement was made on Wednesday during the company’s 5th Annual General Meeting (AGM) in Abuja, where shareholders approved a record N504 billion dividend for the 2025 financial year alongside its audited financial statements and other statutory resolutions.
As part of its growth strategy, BUA Foods plans to significantly expand its flour milling and pasta production capacity, establish a noodles manufacturing business, complete its edible oil operations and roll out an integrated feed mill. The company said these investments are designed to improve the availability of affordable staple foods, strengthen local value chains and reduce Nigeria’s dependence on imported food products.
Chairman of BUA Foods, Abdulsamad Rabiu, said the expansion goes beyond increasing the company’s market share, describing it as a long-term investment in Nigeria’s food system and industrial development.
“We are not pursuing growth simply for the sake of becoming bigger. We are pursuing growth because scale matters in an industry like ours,” he said.
Rabiu noted that the company’s strategy aligns with the broader goal of building a more competitive manufacturing sector capable of supporting national development while creating lasting value for consumers, investors and the wider economy.
“While we are proud of our financial performance, we recognise that we operate in an industry that plays an important role in the development of our country. We therefore have a responsibility not only to create value for shareholders but also to help build a stronger, more competitive industry that contributes to Nigeria’s long-term growth,” he added.
The company said increasing domestic production capacity would enhance food availability, strengthen supply chain resilience and improve consumer access to essential food products at a time when many households continue to grapple with rising food costs.
BUA Foods also reaffirmed its commitment to affordability, stating that rather than relying heavily on price increases to offset inflation and foreign exchange pressures, it has prioritised operational efficiency, local sourcing of raw materials, diversified energy sources, improved procurement systems and economies of scale.
According to the company, these measures not only help cushion consumers from rising prices but also contribute to more sustainable production by reducing operational inefficiencies and strengthening local supply networks.
Over the next 12 to 24 months, BUA Foods plans to double production capacity across its wheat-based products while expanding into the noodles and edible oil markets to meet growing consumer demand.
The company said recent economic reforms have improved foreign exchange stability and enhanced business planning, although global supply chain disruptions continue to affect the cost of some production inputs.
Speaking after the AGM, Non-Executive Director Kabiru Rabiu stressed the need for stronger collaboration between government and the private sector to improve agricultural productivity and build a more resilient food system.
He said increased investment in agriculture would be critical to boosting domestic food production, strengthening food security and supporting Nigeria’s long-term economic sustainability.
The expansion reflects a growing recognition that sustainable industrial growth, resilient agricultural value chains and increased local manufacturing capacity are essential to achieving food security, creating jobs and advancing Nigeria’s broader sustainable development goals.
