Food Security Boost: $600m AFC-Dangote fertilizer Deal Set to Transform Agricultural Productivity in Africa - NaijaAgroNet

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…Dangote Targets $4bn Forex Inflow Through Urea Export Expansion

Poised at reshaping the agricultural landscape across Africa, the Africa Finance Corporation (AFC) has finalized a $600 million loan agreement with the Dangote Group to aggressively expand fertilizer production capacity, reports NaijaAgroNet.

This strategic investment is set to bolster regional food security, increase agricultural productivity, and drastically reduce the continent’s reliance on costly fertilizer imports.

The financing facility, extended to GreenView Fertilizer Corporation (a Dangote Fertilizer Holding Company), is a cornerstone of the Group’s broader $7 billion expansion program. 

NaijaAgroNet gathered that key objectives include "Increasing Dangote Fertilizer’s Nigeria-based production from 3 million metric tonnes per annum (MTPA) to a massive 9 MTPA; Supporting the development of a new 3 MTPA urea fertilizer plant in Ethiopia, extending the reach of high-quality inputs to farmers across the continent; By ensuring the steady availability of affordable, high-quality granulated urea, the project aims to stabilize prices and drive higher crop yields for millions of farmers.

Aliko Dangote, President of the Dangote Group, highlighted that this expansion is not just about industrial growth—it is about national economic resilience. "Within the next three years, we expect to generate over $4 billion annually in export earnings from urea fertilizer," Dangote stated. He emphasized that the group’s ambition to reach a $100 billion valuation by 2030 is tied to growing alongside African institutions like the AFC, ensuring that the wealth generated stays within the continent.

Samaila Zubairu, President & CEO of the AFC, described the deal as a testament to the "capital recycling" model. Following the successful repayment of previous investments, the AFC is doubling down on its support for the Dangote Group. "By backing a proven African industrial champion, we are creating long-term economic value that strengthens food security and reduces import dependency," Zubairu noted.

The Dangote Fertilizer Plant in Ibeju-Lekki, Lagos, already serves as a critical hub for the domestic market. With this expansion, the company is poised to consolidate its leadership in the global market while ensuring that Nigerian and African farmers have the consistent supply chain needed to move from subsistence to sustainable, high-yield commercial farming.