Wilmar, TGI form joint venture to expand food processing in Nigeria and Benin
The partnership brings together two major agribusiness players as they target a food market worth more than US$12 billion in West Africa.
NIGERIA/BENIN – Singapore-based Wilmar International and Nigeria’s Tropical General Investments (TGI) Group have agreed to create a joint venture that will combine their agribusiness operations in Nigeria and Benin, strengthening food production, processing and distribution in two of West Africa’s largest markets.
The companies announced the agreement on June 2, saying the venture will build an integrated business that covers the full food value chain, from farming to processing and sales. According to the partners, the platform will target a market worth more than US$12 billion in Nigeria and Benin.
The new business will operate under a Singapore-based holding company, with Wilmar and TGI each holding an equal stake. The deal brings together Wilmar’s agricultural assets and TGI’s broad portfolio of food and consumer businesses.
In Nigeria, Wilmar operates mainly through PZ Wilmar, which manages more than 26,500 hectares of oil palm plantations and runs an integrated refinery with a production capacity of 1,000 tonnes of palm oil per day. The company sells products under brands such as Mamador and Devon King’s.
TGI’s operations span several sectors of the food industry. Its subsidiaries include CHI Limited in beverages and dairy products, WACOT Rice in rice production and processing, and Golden Terra Oil in edible oils. In Benin, TGI also operates through Fludor Benin SA, which produces and markets edible oils.
Commenting on the agreement, Rahul Savara, Co-founder and Chief Executive Officer of TGI Group, said: “This partnership aims to bring together strong companies to build a long-term growth platform that can evolve with the needs of African consumers and markets. By combining Wilmar’s global expertise in agribusiness with TGI Group’s local execution capabilities, strong brands and extensive commercial network, we are laying the foundations for a company that can grow sustainably, strengthen regional value chains and create value on the continent for decades to come.”
Nigeria remains the largest consumer market in Africa, with a population of more than 240 million people. Benin, with about 15 million people, also plays an important role as a trade and logistics gateway for Nigeria and several Sahel countries.
Food imports remain high across the region. Data from UNCTAD shows that Nigeria imported food products worth about US$5.59 billion annually between 2021 and 2023, while Benin imported about US$1.5 billion per year during the same period. The two companies believe stronger local production and processing can help reduce part of that import bill.
The transaction still requires approval from competition authorities and other regulators. The companies expect to complete the deal by December 31, 2026.
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