PepsiCo & DP World open a $20M Cheetos plant in Lagos, using 90% local ingredients. The facility boosts Nigeria’s manufacturing, creates jobs, and expands AfCFTA export opportunities.
Lagos, Nigeria – In a powerful vote of confidence for Nigeria’s economic reforms global giants PepsiCo and DP World have jointly inaugurated a $20 million state-of-the-art snack production facility in Lagos. The new plant dedicated to manufacturing PepsiCo’s popular Cheetos brand is a landmark project expected to solidify Nigeria’s role as a leading manufacturing and export hub in West Africa.
A key highlight of the facility is its commitment to local sourcing, with over 90% of its raw materials procured from within Nigeria. This approach not only reduces import dependency but also directly invests in the nation’s agricultural value chain, enhancing food security and creating ripple effects for local farmers and suppliers.
A Partnership Aligned with National Reforms
The inauguration was attended by Nigeria’s Minister of Finance and Coordinating Minister of the Economy Wale Edun who framed the investment as a direct validation of President Bola Ahmed Tinubu’s economic agenda.
“This is not just about two companies. It is about what is possible when global business and Nigerian ambition come together,” Edun stated. “Our reforms have restored stability, unlocked investment and are creating the conditions for rapid, inclusive growth.”
This sentiment underscores the government’s view that such projects are tangible proof that its policies are successfully attracting private sector-led investment, which is crucial for job creation and sustainable development.
Strategic Vision from Global Leaders
Executives from both companies highlighted Nigeria’s central role in their long-term growth strategies for the continent.
Ahmed El-Sheikh, CEO of PepsiCo – MENAPAK and Egypt, emphasized the company’s belief in Nigeria’s potential: “Nigeria is central to our strategy. This facility reflects our belief in the country’s future and our commitment to sustainable investment.”
Mohammed Akoojee, CEO of DP World Sub-Saharan Africa, pointed to the strategic logistics advantage: “Nigeria is a key hub for Africa’s growth. Through this partnership, we are helping to build efficient, resilient supply chains that support long-term development.”
DP World’s involvement is critical, leveraging its global port operations and logistics expertise to ensure the facility can efficiently source materials and distribute finished products across the region.
Impacts: Jobs, Exports, and Regional Leadership
The new facility is projected to deliver significant multi-layered benefits:
- Job Creation: Generating direct employment in manufacturing and indirect jobs in agriculture, logistics, and services.
- Export Expansion: Positioning Nigeria to leverage the African Continental Free Trade Area (AfCFTA) by producing goods for export across Africa, reducing reliance on imported snacks.
- Investor Confidence: Serving as a high-profile signal to other international companies that Nigeria is open for business and offers a viable environment for sophisticated manufacturing.
The PepsiCo-DP World collaboration is more than a snack factory; it is a microcosm of the potential for modern locally-integrated manufacturing to drive economic growth, reduce poverty and establish Nigeria as a true industrial powerhouse on the African continent.
