ADVERTISEMENT

Nigeria Industrial Giant BUA Partners Abu Dhabi’s AD Ports to Revolutionize West African Logistics

By: Chidozie Nwali

In a move set to redefine trade dynamics between Africa and the Middle East, Nigeria’s BUA Group has signed a landmark Memorandum of Understanding (MoU) with Abu Dhabi’s AD Ports Group and MAIR Group.

According to a statement from BUA Group on Monday,  the agreement establishes a strategic partnership focused on sugar refining, agro-industrial development, and the creation of an integrated global logistics corridor.

The Nigerian Presidency hailed as a “major industrial breakthrough” by signaling a significant shift toward export-led growth and high-value manufacturing for the West African nation.

The centerpiece of the agreement is the development of a world-class sugar refining and food processing hub at Khalifa Port in Abu Dhabi.

Under the  framework, Agricultural commodities, primarily sugar, will be sourced and partially processed in Nigeria before being shipped to Abu Dhabi for final refining.

PageBreaker Ad

Leveraging Khalifa Port’s connection to over 70 global destinations, the refined products will be distributed across the Middle East, Asia, and beyond.

The partnership will integrate AD Ports’ digital trade solutions and MAIR Group’s logistics expertise to eliminate traditional bottlenecks in West African maritime trade.

President Bola Ahmed Tinubu, speaking from Abuja, commended the deal as a direct result of the UAE-Nigeria Comprehensive Economic Partnership Agreement (CEPA) signed earlier in January.

“Strategic diplomacy must translate into measurable economic gains,” President Tinubu stated. “This partnership reflects the renewed momentum in Nigeria-UAE relations and our determination to position Nigeria as a competitive industrial nation while empowering our businesses to operate confidently on the global stage.”

The collaboration arrives as Nigeria’s economy is projected to grow by 4.3% in 2026. By moving away from raw commodity exports and toward refined products, Nigeria aims to capture a larger share of the global value chain.

PageBreaker Ad

While sugar refining is the immediate focus, the “revolution” lies in the infrastructure. By aligning BUA Group’s substantial investments in Nigerian port upgrades with AD Ports’ global maritime network, the deal creates a predictable trade corridor.

This is expected to lower the cost of doing business in Nigeria and enhance the “traceability and quality standards” of Nigerian agro-exports, making them more competitive in international markets.

Picture of Akinwande

Akinwande

ThinkBusiness Africa

Your daily dose of contexts, commentary, and insights on business and economic developments that matter to you.

ADVERTISEMENT

ABC 2024 Ad