05 March 2019 : According to media reports, Morocco’s OCP group, the largely state-owned fertilizer plant, plans to build a 1 million MTa Ammonia plant in Nigeria as part of a larger plan to expand operations in Africa. Reports have also indicated that the fertilizer giant already signed a protocol agreement with the Nigerian Sovereign Investment Authority in June to facilitate this expansion. Ammonia is a key component of Urea fertilizer in Nigeria and analysts note that this would add to Nigeria’s current Urea production capacity of 1.9 million MTa (Notore: 0.5 million MT, Indorama: 1.4 million MT). Notably, Indorama Eleme also plans to expand its capacity by another 1.4 million MTa. Analysts note that these companies are looking to tap into the long-term potential for fertilizer consumption in Nigeria as consumption/ha remains abysmal compared to global average. 

Reporting for EasyKobo on Tuesday , 05 March 2019 in Lagos, Nigeria

Source: Vetiva Capital Management Limited