Arjena foods strengthens Nigeria’s groundnut value chain with new factory

NIGERIA – The groundnut processing and value-addition enterprise, Ajrena Foods Limited, in partnership with the UK’s Foreign, Commonwealth and Development Office (FCDO) and its delivery partner Propcom+, has commissioned a new peanut-cleaning and coated-snack processing factory in Kano State, Nigeria.

This marks a major milestone in the country’s local agribusiness sector.

Speaking during the commissioning, Executive Director of Ajrena Foods, Mr. Ajay Ramnani, described the facility as a testament to the power of collaboration and local innovation. 

He noted that the project, funded in part by a grant from FCDO, will process locally-grown peanuts into Nutzy-branded coated snacks, create jobs, and boost rural incomes.

“This facility is not just a factory. It is the realization of a vision we began over a decade ago, to process Nigerian peanuts to global standards and bring back the era of groundnut pyramids,” Ramnani said. “Thanks to the FCDO and Propcom+, we’ve been able to build, equip, and link our production directly to over 1,000 trained smallholder farmers, mostly women and youth.”

He emphasized that backward integration has enabled traceability, quality control, and consistent supply from the grassroots. 

Nutzy products, including peanut butter, coated peanuts, and peanut puffs, now command over 80% of Nigeria’s domestic market.

In collaboration with FCDO’s delivery partner, Propcom+, the company launched its first outgrower scheme in 2024. The initiative trained 1,000 farmers, primarily women and youth, in best agricultural practices, provided quality inputs, and introduced traceability systems from farm to factory

Dr. Adia Ode, Team Lead for the Propcom+ programme, highlighted that the partnership with Ajrena Foods exemplifies how donor-funded support can de-risk agribusiness ventures and unlock inclusive economic impact.

“Through our collaboration, we co-financed this factory and strengthened the supply chain from smallholder farmers to market. It’s a shared success. The facility also addresses aflatoxin contamination, a major barrier in Nigeria’s peanut sector, while providing nutrition and jobs,” She said.

She noted that the initiative has led to steady incomes for farmers, better agricultural practices, and increased access to affordable, nutritious peanut-based products that contribute to reducing malnutrition.

Representing the Kano State Ministry of Agriculture, Alhaji Aminu Iliyasu, State Coordinator of the Special Agro-industrial Processing Zones (SAPZ), commended Ajrena’s investment and reaffirmed the state government’s commitment to revitalize Kano’s agricultural value chain.

“Kano State, under the leadership of Governor Abba Kabir Yusuf, is actively working to revive its agro-industrial base. This factory is aligned with our vision through the SAPZ programme, which seeks to attract private sector players into food processing hubs,” Iliyasu said.

Ajrena’s peanut processing plant is set to boost agribusiness growth in Northern Nigeria by reviving Kano’s groundnut heritage and bringing modern improvements to food processing and supply chains.

The company’s product portfolio includes Nutzy’s Peanut Butter, Crispy Coconut Peanut Snacks, Peanut Paste, Roasted Peanuts and Caramelized peanuts.

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