Food prices to crash as BUA reveals huge expansion plan to Tinubu

BUA Group says its ongoing investments in flour, sugar and oil milling will help reduce food prices and improve food security in Nigeria. Chairman Abdul Samad Rabiu made the disclosure on Wednesday, July 15, 2026, on his official X account, after a meeting with President Bola Ahmed Tinubu at the Presidential Villa in Abuja.

Expansion projects to make BUA Foods the largest in Nigeria

Rabiu said the expansion projects, expected to be completed in 2027, will make BUA Foods the largest food company in Nigeria. He expressed confidence that the projects would transform BUA Foods into Nigeria's biggest food company while helping to moderate the cost of essential food items through expanded production capacity.

According to him, the visit to the President was a courtesy call to acknowledge the Federal Government's efforts to create a more business-friendly environment and to reaffirm BUA Group's commitment to investing in Nigeria. He explained that the company is significantly expanding its operations across key areas of the food industry, including flour milling, sugar refining and local sugar production under its backward integration programme.

New facilities in Port Harcourt and beyond

Rabiu further disclosed that BUA is constructing an oil milling plant in Port Harcourt, in addition to developing a feed mill and a noodles production facility to strengthen its presence across the food manufacturing sector. The billionaire industrialist said the expanded facilities would substantially increase the company's production capacity, enabling it to play a greater role in stabilising food prices across the country.

He noted that larger-scale production would improve efficiency and supply, which could ultimately benefit consumers through more affordable food products. Rabiu also reaffirmed the company's commitment to creating jobs and supporting Nigeria's economy through continued investments.

What this means for the naira and Nigerian consumers

"Once we complete all these expansion projects next year, BUA Foods is going to be the largest foods business in Nigeria and with that, hopefully, we'll be able to bring down the price because at the end of the day, if you are the biggest and you have this huge capacity you'll be able to help support prices to come down," Rabiu said. He added that boosting local production remains one of the most sustainable solutions to rising food costs and aligns with the Federal Government's drive to strengthen food security.

Rabiu described his discussion with President Tinubu as cordial and productive, saying it also gave him an opportunity to appreciate the administration's continued support for businesses operating in Nigeria. He reiterated BUA Group's commitment to expanding investments, creating employment opportunities and contributing to economic development across its various business operations.

For Nigerian consumers, this expansion signals potential relief from persistently high food prices. If BUA delivers on its production targets, increased local supply of flour, sugar, and edible oil could reduce dependence on imports and ease pressure on the naira. Lower food costs would also free up household spending, giving a modest boost to consumer demand across other sectors of the economy.