NIGERIA – Agro Bar Magen Nigeria (ABMN), the Nigerian subsidiary of Israel-headquartered livestock feed manufacturing company, Bar Magen, has received a US$4.5m financing package from IFC.

Bar Magen produces high-quality vitamin and mineral premixes and imports a wide range of additives and raw materials for the Nigerian feed industry.

The financial injection will enable Agro Bar Magen Nigeria to build the country’s first salt and mineral block licks production facility.

In addition, it will enable the company to expand the production of livestock feed additives such as vitamin & minerals premixes, thereby improving smallholder farmer access to these critical animal feed nutrients.

The project will also support the company to expand its warehouse capacity to store feed raw materials, helping to prevent supply shortages and reduce reliance on imports.

ABMN which started its operations in 2009, currently has a premix and concentrates facilities, warehouses, offices, and a quality assurance/control (QA/QC) laboratory.

“Agribusiness remains a significant contributor to the Nigerian economy. IFC’s support is essential to help us respond to challenges resulting from the rising costs of importation and supply chain bottlenecks of livestock feed.

“This partnership will help increase local manufacturing and distribution of feed additives, and develop the animal feed processing operations in Nigeria,” said Rami Bergman, Founder, and President of Bar Magen.

Livestock is a priority sector for Nigeria due to its contribution to inclusive economic growth and food security, contributing around 8 percent of the national GDP.

With nearly 70 percent of the operational costs of most poultry and other livestock operations going to feed, managing feed quality and cost is critical for Nigeria’s sustainable livestock production.

“IFC’s partnership with Bar Magen will strengthen sustainable food systems in Nigeria and significantly contribute to food security and nutrition by supporting a more sustainable livestock sector.

“In addition to supporting the country’s agriculture sector, the project will contribute to further developing Nigeria’s manufacturing base for animal feed processing,” said Kalim M. Shah, IFC’s Senior Country Manager for Nigeria.

IFC’s partnership with Bar Magen reiterates its broader work to support sustainable agriculture practices, develop regional value chains and markets, as well as expand job opportunities and economic inclusion in Nigeria.

The financing was supported by the Private Sector Window of the Global Agriculture and Food Security Program (GAFSP), a global effort that pools donor resources to fund programs focused on increasing agricultural productivity as a way to reduce poverty and increase food and nutrition security.

The Private Sector Window is backed by the governments of Australia, Canada, Japan, the Netherlands, the United Kingdom, and the United States.

It provides long- and short-term loans, credit guarantees, capital, and technical assistance to private sector companies and financial intermediaries, linking smallholder farmers to markets by improving their access to finance, technology, expertise, and inputs.

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