Ogun and the Returns of Renewed Hope Investment Drive

Femi Ogbonnikan

The investment and industrial promotion initiatives of the administration of Governor Dapo Abiodun of Ogun State have recorded yet another significant milestone, making the biggest ‘catch’ in the state’s chequered history. It’s a real, tangible legacy for the coming generations. In the present state of the nation’s economy, achieving an industrial investment that can generate 250,000 jobs daily is no mean feat. It’s a return of the state’s resources invested in creating an enabling environment for sustainable industrial growth.

The good news is that the Governor will be hosting President Bola Ahmed Tinubu to perform the groundbreaking ceremony of the biggest cotton and polyester processing factory in the world at the Special Agro Processing Zone located at the Gateway International Airport, Ilishan area of the State, in about one month. According to the Governor, the industry, which will cover about 400 hectares of land, when completed, will employ about 250,000 people daily.

Governor Abiodun disclosed this while receiving the immediate past Accountant General of the Federation (AGF), Mrs. Oluwatoyin Madein, and members of the Iperu Development Association in his office at Oke-Mosan, Abeokuta. He said the factory would come under the “Renewed Hope Cotton Resurgent Initiative,” of the present administration.

“In the next 30-45 days, we will be doing the groundbreaking of the Renewed Hope Cotton Resurgent Initiative that will be done by Mr. President himself. It is going to be a bigger factory, and it will be the biggest cotton and polyester processing factory in the world,” Governor Abiodun enthused.

Similarly, a pharmaceutical company that specializes in the production of medication kits used for the treatment of diabetes, hypertension, and heart-related diseases is also set to be commissioned in the State over the weekend. The Chief Executive Officer of Codix Bio Pharmaceutical Company, Mr. Sammy Ogunjimi, disclosed this during a courtesy call on Governor Dapo Abiodun in his office at Oke-Mosan, Abeokuta, a week ago. According to him, the factory is located along the Sagamu-Ijebu-Ode Expressway.

The CEO further stated that his company had entered into a partnership with the World Health Organization (WHO) on technology transfer to build capacity for the manufacturing of Rapid Diagnostics Tests, starting with HIV, malaria, and others within the company.

“The project that was commissioned on Friday falls within that scope, and it is the only one of its kind. We are receiving a technology transfer from SG Biosensor. The products from this factory will not only serve Nigeria but also all of Africa. Bringing this product home is important to me,” he stated.

He added that another contract manufacturing factory, which would cater for importers of generic products and allow them to have their brands manufactured in Nigeria, would soon be established in the state within the next 18 months.

He explained that he decided to bring his investment to the state because of the conducive business environment and the business-friendly posture of the current administration, adding that his company would work with the government to realize its objectives in the health sector.

“I cannot just be doing business in Lagos and not bringing something home. In the back of the industry, we are going to create a sort of ecosystem. The plastics for the test kits are imported from China and India, so we are going to produce that at this factory,” he declared.

“When we came to Nigeria, we realized that treatment was a problem in the country, but beyond that, the biggest issue is effective diagnosis. People are often not properly diagnosed, which may be due to a lack of knowledge. In the few years we have been in Nigeria, we were the first to facilitate the guidelines for diagnosing diabetes, and that was in 2009.

“We have shifted our business model a bit from just treatment to focusing more on diagnosis, which is why, over time, people have started to recognize us because of the unique area we ventured into,” he said.

He explains that although 99 percent of test kits are used in Africa, not a single kit is manufactured on the continent; hence, it is time for African investors to begin looking into manufacturing medical kits to stop depending on those produced abroad.

Additionally, arrangement has equally been concluded to set up a $400 million hot rolled coiled steel factory with the capacity to employ about 6,500 direct and indirect workers in Ewekoro Local Government Area of Ogun State. The President of Inner Galaxy Group, Mr. Li Shuang, gave this hint on Tuesday while leading a delegation of principal officials of the organization at the Governor’s office located at Oke-Mosan, Abeokuta.

According to Li Shuang, the company is expected to commence operations in April 2026, revealing that the organization, a multinational company with vast investments in Asia, the Philippines, Malaysia, and some African countries like Ghana and Angola, entered the Nigerian market in 2005, producing iron rods for the building industry.

The Governor, in his remarks, expressed delight at the huge investment, attributing the attraction to his administration’s intentional move to make the state the leading industrial hub in Nigeria and the West African sub-region. “This is a $400 million investment; this aligns with the President’s vision to ensure that we grow this economy to a trillion dollars, and I think that you will be contributing your quota in achieving that. We are excited that you will also be employing people,” he said.

All these are the outcome of the vision that lies behind the creation of Ogun State Investment Promotion and Facilitation Agency. OgunInvest is a strategic initiative of the Abiodun administration aimed at driving economic growth and industrial development. The key objective is to use the platform to diversify the state’s economy by promoting investments in various sectors, reducing dependence on traditional revenue sources, creating employment opportunities, stimulating economic activity, and improving living standards. Its investment promotion seeks to attract investments, local and foreign, by highlighting the strategic location of Ogun State, its infrastructure facilities, and a business-friendly environment. It essentially addresses the concerns of foreign investors by highlighting key sectors, detailing insights into the most promising choices available within Ogun State as well as their potential for high returns on investment. While identifying the challenges investors may likely face, it also offers solutions and support mechanisms available to overcome any obstacle. More importantly, the initiative supports industrial development in the state, encouraging the establishment of industries and manufacturing facilities.

By achieving these objectives, OgunInvest aims to position Ogun State as a hub for economic activity in Nigeria, improving the quality of life for its residents and contributing to the nation’s overall economic growth. Thus, the planned groundbreaking ceremony of the biggest cotton and polyester processing factory is the positive outcome of innovative governance brought into the state by the Abiodun administration. Under Governor Abiodun’s leadership, OguInvest has attracted significant investments, including a British battery recycling company, further solidifying the state’s position as a hub for industrial growth.

So, the new factories are in addition to the long list of the existing direct foreign investments that have turned Ogun State into the leading industrial hub in Nigeria and beyond, creating a vicious circle of prosperity in the state.

Explaining the factors that determined the choice of location of the new cotton factory, Governor Abiodun attributed the attraction to the Special Agro Processing Zone located at the Gateway International Airport, Iperu/Ilisan, noting that the town is at the central point of the state, which could be easily accessed from any part of the state. He further assured that the 100 housing units built by his administration at the Airport Housing Estate would soon be commissioned.

“The promoters of this factory went around the whole state, and they decided that this is the place they want to site this factory because of the existing infrastructure, like the airport, proximity to consumers, and the ability of raw materials to come in centrally.

“We are clearing the site, and this factory is going to sit on 400 hectares of land. It is like a whole new town. The requirements to support this industry can best be imagined. The economic impact on Iperu and its environs, the entire Remoland, Ijebu land, and the whole of Ogun State is beyond imagination,” Governor Abiodun stated.

He said that apart from the cotton industry, the Nigerian Air Force (NAF) had also indicated interest in setting a base in the town to secure not only the airport but also provide adequate security to Iperu and the adjoining towns.

The Governor further informed that the administration had embarked on the reconstruction of the old Ibadan and other township roads, while public schools and primary healthcare centres were being renovated, and a mother-and-child hospital brought to the town.

He, therefore, stressed the need to invest in capacity building to meet the required knowledge for the emerging industrialization of the state and the nation at large. His words: “It is important we invest in capacity building so that we have the required knowledge. Ogun State is the education capital of Nigeria, and we just need to ensure that we create courses that match the investments and investors coming into Ogun State, so that we are not graduating students who are mismatched for the investors coming here.”

In the same vein, he expressed happiness with the decision of the pharmaceutical company to establish a production centre in the state. “We are excited to be part of this success, and we hope that what you are doing will allow the industry to achieve the production of pharmaceutical equipment and drugs to the tune of 70 percent by 2030, as envisioned by the administration.

“I have read that this will be the first large-scale RDT manufacturing plant in Nigeria and the second largest in sub-Saharan Africa; this is commendable.

“I am happy you enjoy the support of the World Health Organization (WHO) and other agencies who have suddenly realized that we are vulnerable in Nigeria, particularly with what happened in 2020-2021 during COVID-19, which exposed the fragility of our healthcare system.

“We were scrambling for vaccines, test kits, and ventilators, and I think this itself has presented an opportunity for people like yourself to take the initiative and invest, ensuring that in the event of another epidemic or pandemic, we are more than prepared to meet those challenges,” Governor Abiodun postulated.

Looking back from where he took over in 2019, he noted that more industries had come to the state in the last six years than in the previous administrations. He made the submission while receiving the Distinguished Visionary Leadership Award by the Foreign Investment Network (FIN) for his unique leadership style and untiring efforts in opening up more business frontiers in the state at his office in Oke Mosan, Abeokuta.

“This administration has improved the transportation sector by constructing over 1,200 kilometres of roads in six years. We have built the best-equipped airport in Nigeria, and this airport is centrally located,” he stated.

Accordingly, he called on investors to take advantage of the numerous opportunities that abound in agriculture, power generation, manufacturing, and other sectors to invest in the state.

*Ogbonnikan writes from Abeokuta, Ogun State capital