Infrastructures and Special Economic Zones
The Special Economic Zones and Initiatives of Oyo State Government (OYSG) is key in the strategic positioning of OYSG towards having an EXPANDED ECONOMY. The Oyo State Investment and PPP Agency is tasked with the sole mandate of ensuring an expanded economy.
As a consequence of this mandate, the following projects viz, Oluyole FTZ, Transformational Industrial Park, Ibadan Inland Dry Port Complex (cum Lagos-Ibadan Railway), Ibadan Circular Road and the Ibadan Airport (upon achieving international status) need to be approached as a collective because of the interdependence on each other and the overall economic expansion potentials that are inherent in the projects.
Cumulatively, an investment of over $20 billion is expected to be spent on all the projects. These projects are indeed central to growth and development of Oyo State with expected spin-offs in the agriculture processing, explorative mining and export.
KEY ATTRACTIONS OF OYO STATE SPECIAL ECONOMIC ZONES
The Oluyole Free Trade Zone and the Pacesetter Industrial Park are on the Lagos Ibadan Highway traversed by the proposed Ibadan Circular Road which joins the Ibadan Airport via the segment one of the Circular Road.
The rail connectivity between the Ibadan Inland Dry Port and Nigeria’s largest sea port in Lagos makes the Inland Dry Port a port of preference for cargo coming into South Western Nigeria.
In view of the above, cargo products destined for other parts of Southern Nigeria and some most of the middle belt can easily be dispatched via the Circular Road.
Oyo State is the safest State in Nigeria
The current government has recently increased support infrastructure for the States security architecture further improving the security outlook.
A vibrant expatriate community that intermingles with the locals at multiple levels of exposure
Oyo State is the heart of the South Western region funnelling into the key economic hub of Nigeria, Lagos State.
Well established trade routes linking the Northern and Southern markets.
Ibadan Inland Dry Port
- The Oyo State and the Federal Governments have fine-tuned agreement on the proposed $99,665,626 (N35.9b) Ibadan Inland Dry Port, which is expected to ease the pressure on the Apapa Seaport and the perennial gridlock on the Oshodi-Apapa Expressway.
- The proposed IIDP has a modular design with a total site area of 342,811. (sqm) capacity facility. The proposed project site is a circa 40hectares expanse of land located in the Olorisaoko area on the northern outskirts of Ibadan and it sits within an extensive and undulating forest-land bounded by the A1 (Lagos-Ibadan) Express Way corridor on the near-east and the Iseyin-Ibadan Road to the distant west. Over 200 hectares of land has also been identified for further development of the port ecosystem by local and foreign investors.
- Ibadan Inland Dry Port can speed up the flow of cargo between ships and major land transportation networks, creating a more central distribution point. Inland ports can improve the movement of imports and exports, moving the time-consuming sorting and processing of containers inland, away from congested seaports
- The project is expected to be concluded over a period of 2 years
- The specific objectives of the project include the following
- Increase Nigerian’s cargo processing capacity with extra management capacity for 70,000 TEUs per annum in first 9 years of operation and thereafter increase to 80,000 TEUs per annum.
- Provide a base for customs operation.
- Put in place a modern and proven systems, processes and procedures to handle and process containerized cargo management.
- Deliver added infrastructure integrating through road and rail transportation network for containers movement in the South-West.
- Provide a platform for cargo consolidation augment for import and export especially the farm produce from the South.
- Equipment and machinery to receive and dispatch containerized cargo to and from the Port for onward shipping.
- Provide a comprehensive cargo sorting center, bulk breaking and value addition in the long run.
- Provide warehousing services through covered and bounded facility.
- Provide cargo and truck management through container freight station.
The IIDP has earmarked 40 Ha land for an Industrial Park which can be a manufacturing destination for potential investors
Opportunities exist for companies to expand the ecosystem around the Inland Dry Port by leveraging on the proximity of the IIDP to the newly constructed rail line.
Construction of a Tolled Road for ease of connectivity and prevention of grid lock that currently occurs in Lagos Apapa Port
Establishment of manufacturing hubs and processing zones around the IIDP from where value added agro and other products can be directly exported.
Pacesetter Industrial Park
- A modern, well laid out, purpose built industrial park, stretching over a total of 1,046 Ha of land, located along Lagos-Ibadan expressway. A 50 Ha Pilot phase is in the process of being established by an investor as well that is providing a site and services activities.
- The land value is estimated to be about $150 million and it is capable of attracting FDI of up to $4 billion when at maximum capacity
- Products manufactured and intended for export can be transported to the Ibadan Inland Dry Port via the proposed Circular Road and for untoward delivery to other South Western States and southwards to Lagos State.
- The section of the Lagos Ibadan highway where the Transformational Industrial Park will be situated is in the Oluyole Local Government of Oyo State and there is appreciable growth of industries around this area.
- The park is designed to accommodate various types of industries
An Independent Power Provider that is capable of providing 60 MW of energy for the Industrial park is required
The State Government open to partnership with competent investors to drive this contemplation to fruition.
Multinational and indigenous blue-chip companies are welcome to take advantage of this proposed strategically located Industrial real estate which will offer state of the art infrastructure to promote the businesses in South Western Nigeria.
Oluyole Free Trade Zone
The current administration has established a 4,340-hectare duly licensed Free Trade Zone (FTZ) along the Lagos-Ibadan expressway corridor at Oluyole Local Government Area. The entire investment cost for this SEZ is estimated be up to $10 billion and will consist of different economic zones, light and heavy manufacturing companies, commercial, and hospitality centers. The future of the Oluyole Free Trade Zone is essential to Nigeria’s growth as West Africa’s economic driver. Proposed commencement of operation date is 2021.
The State Government is willing to partner with capable investors in developing the FTZ wholly or as quadrants of the FTZ on a modular basis.
- The masterplan for the FTZ is currently being developed in alignment with geo spatial information obtained from the Ibadan City Master Plan.
- It’s main objective is to serve as an economic and trade channel linking Oyo State and Global Investing and manufacturing community and also serves as the basis and bridge for Africa’s prosperity
- Increase the manufacturing capacity- Over 400 manufacturing companies expected
- Employment generation- over 4000 direct jobs will be created
Natural Endowments: Impact of establishment of FTZ on the 4,340 Ha of Land
The land proposed for the Oluyole FTZ is planned for 4,340 Ha will be cleared to create an economic city. De-forestation is anticipated. In the same vein, social disruption of indigenous residents will occur, however, infrastructural development will occur within the economic zones. The consortium governing Oluyole FTZ will be carry out afforestation activities as well as carry out resettlement of displaced residents and economic empowerment.
An independent Energy Provider that is capable of providing 60 MW for the FTZ
The State Government is therefore available to partnership with willing and competent investors to drive this contemplation to fruition.
Multinational and indigenous blue-chip companies are welcome to take advantage of this well-established industrial land which will offer state of the art infrastructure to promote the businesses within this ecosystem