Oyo govt hands over 500 hectares of land to Oluyole free trade zone developer

The Oyo State Government has handed over 500 hectares of land to Universal FMCG Nigeria Unlimited, the development partner selected to transform the Oluyole Free Trade Zone into a major industrial hub.

The handover was led by Commissioner for Budget and Economic Planning, Professor Musibau Babatunde, alongside the Commissioner for Lands and Housing, Mr. Akinfumilayo Williams, who led other members of the Free Trade Zone Committee set up by Governor Seyi Makinde to the project site.

Addressing newsmen shortly after handing over the FTZ to the developer, Prof. Babatunde described the project as “another milestone in Governor Makinde’s administration’s commitment to industrialising Oyo State through public-private partnerships.”

“The first pillar of Oyo State’s economy is economic expansion. This handover is part of our strategy to industrialize Oyo State through credible partnerships. Universal FMCG has a track record of success in Singapore, Myanmar, and several African countries. They have the experience, the capital, and the logistics to make this project a reality,” Prof. Babatunde said.

The handover event was briefly disrupted when suspected land grabbers appeared at the site, claiming ownership of the Free Trade Zone Area through a gazette. Prof. Babatunde, however, dismissed their claims, as the intruders failed to provide any documents to back up their assertions.

The commissioner said, “They couldn’t provide any titles. They are nothing more than land grabbers. Governor Makinde has institutionalized strong mechanisms to combat land grabbing. We have the rule of law, security agencies, and dedicated institutions in place. Anyone caught trespassing will be decisively prosecuted,” he assured.

Nigerian Tribune that the 500 hectares, carved out of the 1,700-hectare Oluyole Free Trade Zone, will serve as a nucleus for industrial expansion. The project is expected to feature large-scale manufacturing, logistics facilities, warehouses, and even hospitality infrastructure.

According to the Commissioner, the initiative is designed to integrate both international and domestic markets, creating a value chain that strengthens Oyo’s local economy while attracting global investors.

“This free trade zone will contain FMCG production, logistics operations, warehouses, and a hotel. It’s an all-encompassing opportunity that will feed back into the domestic economy while maintaining strong export linkages,” Babatunde explained.

Prof. Babatunde also revealed that Governor Makinde’s administration has cleared accumulated debts tied to the Oluyole Free Trade Zone, which had stalled progress for years.

He further disclosed ongoing discussions with the Nigerian Export Processing Zone Authority (NEPZA) in Abuja to fast-track necessary approvals and documentation for the zone’s full operation.

“This project predates Governor Makinde, but nothing concrete was done. Now, with credible investors and the governor’s intervention in settling past debts, we have created a conducive environment for operational efficiency,” he added.

The Commissioner emphasized that the project aligns with Governor Makinde’s long-term vision of economic expansion, which is one of the four cardinal pillars of his administration.

“The governor’s vision is to expand the economy of Oyo State well beyond 2027. This free trade zone is not just about today, it’s about laying the foundation for a sustainable industrial future for the state,” he said.

The state government delegation however, seized bricks moulding machine, power generator, and two wheelbarrows found on the site during the visit, warning that whoever is found encroaching on government land would be made to face the full wrath of the law.

In his remarks, Mr. Rajesh Koleti, Head of Delegation of Euro FMCG Universal Beverages Limited, the Singaporean company leading the development of the Oluyole Free Trade Zone, commended Governor Seyi Makinde’s administration for the opportunity to partner with Oyo State on the landmark project.

Koleti explained that the company, a subsidiary of the CGM Group, chose Nigeria, and particularly Ibadan, because of its strategic location and abundant human and material resources.

“We are here as partners with the Oyo State Government to develop the Oluyole Free Trade Zone. In the first phase, we are working on 500 hectares of land and plan to bring in 10 to 12 factories that will provide employment, especially for local people,” he said.

The business strategist noted that Nigeria stands out among African countries for its availability of both skilled and unskilled labour, which informed their choice of location. He emphasized that Ibadan’s central position, bordering Lagos, Osun, Ondo, and Ogun States, makes it a prime industrial hub.

According to him, many residents of Ibadan commute daily to Lagos in search of jobs, a trend the Free Trade Zone seeks to reverse.

“From our research over the past year, we observed hundreds of people traveling to Lagos every day for work. Our goal is to create employment right here in Ibadan. In the first year of operation, we estimate at least 5,000 direct jobs, and over five years, about 50,000 direct jobs and several hundreds of thousands of indirect jobs,” Koleti stated.

He further revealed that 95 percent of raw materials for production would be sourced locally, ensuring that the economic benefits trickle down to farmers, traders, and suppliers within Oyo State.

“This means 80 to 85 percent of employment will go to locals, while we also buy raw materials directly from them. Our vision is to make Oluyole Free Trade Zone one of the most advanced in the country,” he added.

Comparing Ibadan with Lagos, Koleti observed that while Lagos has multiple free trade zones, other states are underserved. Hence, Euro FMCG Universal Beverages is determined to make Oyo a model for industrial development outside Lagos.

He concluded by expressing optimism about sustained government support, saying, “We look forward to bringing many achievements to this project and expect the same kind of cooperation and support from the Oyo State Government and its people.”

READ MORE FROM: NIGERIAN TRIBUNE