Kano fertilizer company records N150 million profit
by ADEOLA AJAKAIYE, Kano
May 11, 2017 | 10:05 am| | | Start Conversation
Kano Agricultural Supply Company Limited, northern Nigeria’s biggest fertilizer blending plant says it recorded over N150 million profit from its operational activities which includes production of various brands of fertilizer as well as marketing of other agricultural inputs.
According the management of the company, the profit was recorded from the N300 million invested by the administration of Governor Umar Abdullahi Ganduje last year, for the turnaround of the plant.
Bala Inuwa Muhammed, managing director of the company, made this disclosure on Wednesday, while briefing a delegation of the Northern Elders Forum, during a working visit to the plant as part of the group tour of projects executed by the state government under Governor Ganduje.
Muhammed revealed that a total of over 500 trucks of fertilizers which represents about 30 million metric tonnes, were manufactured by the company last year, and plans are on to grow the manufacturing capability of the plant in the next few months.
He stated that the company which was established in 1981 by the regime of former governor, Abubakar Rimi through a loan from the World Bank, and was moribund until it was refurbished by the present administration in the state, is now into full production.
“We are glad to receive this august delegation here today, you may be aware that this company which was conceived 36 years ago by the administration of former governor Abubakar Rimi from a loan obtained from the World Bank, and has remained moribund before the coming of governor Umar Abdullahi Ganduje is fully back to life.
“For a start His Excellency, Governor Ganduje provided us with a working capital of #300 million to kick start operations, and initially we went into the production of NPK brand, but we have since gone into the production of other brands of fertilizers.
“Last year alone, about 500 Trucks load of Fertilizers, which translates into over 30 million metric tonnes, were produced by the plant, with this we were able to sell a bag of fertilizer, at subsidized rate of N5,500 to farmers.
“We are also able to secure improved seeds and agro-chemical inputs for onward sale to farmers at subsidized price, and I am happy to announce that last year alone we declared a profit of about #150 million” Mohammed explained.
In the same vein, the managing director further disclosed that the company has ordered for a world –class fertilizer blending plant capable of blending one truck of plant per hour, as part of it expansion plan.
“In order to meet the order given to the company by the Federal Government to blend over 100,000 million metric tonnes of fertilizer under it agriculture development programme, we have placed order for the new manufacturing line from South Africa.
“The production plant which is due to arrive in the next few months is a world class plant, and we are the first company in Nigeria, and the second after South Africa to have the plant. With this we plan to meet our goal of growing our production capability.
“So far we have sold over 400 trucks, and we are recording a weekly turn -over of about #300 million. We are also able to generate many jobs, presently we have employed over 600 workers, and we hope to increase the number by another 600 when we installed the new production line” he added.
Speaking after inspecting the plant, led of delegation, Professor Ango Abdullahi, who is a former Vice-Chancellor of ABU commended Governor Ganduje for the reviving the plant and called on other governors in the regime to emulate him.
Abdullahi challenged the management of the company to sustained the current momentum so as enable Nigeria meet it current fertilizer demand of about 7 million metric tonnes per year.
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