We are not pursuing growth simply for the sake of becoming bigger. We are pursuing growth because scale matters in an industry like ours.
BUA Foods Plc has unveiled an ambitious expansion plan aimed at increasing local food production, improving the availability of staple foods, and strengthening Nigeria's food security. The company made the announcement at its 5th Annual General Meeting (AGM) in Abuja, where shareholders approved a record N504 billion dividend for the 2025 financial year.
Abdulsamad Rabiu, the Chairman of BUA Foods, explained that the company's expansion strategy is intended to strengthen Nigeria's manufacturing sector while delivering greater value to consumers and shareholders. According to him, the projects are expected to position BUA Foods as Nigeria's largest indigenous food manufacturing company by next year.
The company will 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. Mr. Rabiu noted that Nigeria's food manufacturing industry remains highly concentrated, with only a few companies accounting for most of the market.
He said stronger competition among local manufacturers would improve efficiency, encourage innovation, and ultimately benefit consumers through better products and pricing. BUA Foods plans to double production capacity across its wheat-based products while expanding into the noodles and edible oil markets to meet rising consumer demand.
Kabiru Rabiu, a Non-Executive Director at BUA Foods, called for stronger collaboration between government and the private sector to improve agricultural productivity and strengthen Nigeria's food security. He urged governments at all levels to make fertilizers, herbicides, and other critical farm inputs more affordable through targeted support for farmers.
Nigeria has faced persistent food inflation over the past two years, driven by insecurity in farming communities, high transportation and energy costs, exchange rate pressures, and climate-related disruptions affecting agricultural production. In response, both the Federal Government and major food manufacturers have announced measures aimed at increasing domestic production, strengthening local value chains, and reducing reliance on food imports.
BUA Foods has emerged as one of Nigeria's largest food processing companies, with operations spanning sugar refining, flour milling, and pasta production. The company reported revenue of N1.77 trillion for the 2025 financial year, representing a 16 per cent increase from the previous year, while profit after tax rose by 95 per cent to N
Mr. Rabiu acknowledged ongoing efforts by the government to address security challenges affecting agricultural production. He further advocated for increased investment in irrigation infrastructure to reduce dependence on seasonal rainfall and support year-round farming across the country.