IFC extends Nigeria US$4.5m to finance animal feed development
NIGERIA— The International Finance Corporation (IFC) announced a US$4.5 million financing package to support Nigerian subsidiary of Israeli feed maker, Bar Magen LTD, to increase production of livestock feed and the development of feed storage facilities in the country.
IFC’s multi-million financing packages from the, supported by the private sector window of the Global Agriculture and Food Security Program (GAFSP), will support Bar Magen in expanding production of livestock feed additives such as vitamin and minerals premixes in Nigeria.
The funds will also go towards the construction of the country’s first salt and mineral block licks production facility, with the goal of improving smallholder farmer access to these critical animal feed nutrients.
In addition, the project will support the company in terms of boosting its warehouse capacity to store feed raw materials, helping to prevent supply shortages and reducing reliance on imports.
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.
This partnership will help increase local manufacturing and distribution of feed additives, and develop the animal feed processing operations in Nigeria
2019 data from FAO indicates that Nigeria’s society and economy will grow swiftly and transform extensively in the next three decades.
Along this transformative process, the demand for animal source food will exponentially increase and livestock is likely to become the most important sector of agriculture.
In order to be prepared to take action to ensure sustainable livestock production and value chains in 2050, this report provides hints for the feasible future scenarios for livestock in the country and how to be prepared to ensure sustainable livestock production.
Especially considering that 70% 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, said the partners.
” 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.
IFC’s Big Picture
The IFC said this latest financing package 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.
This falls largely under IFC’S 2021 US$31.5 billion commitment to private companies and financial institutions in developing countries, with the objective of leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of the COVID-19 pandemic.
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