VZCZCXRO9243
PP RUEHMA RUEHPA
DE RUEHUJA #1826/01 1951449
ZNR UUUUU ZZH
P 141449Z JUL 06
FM AMEMBASSY ABUJA
TO RUEHC/SECSTATE WASHDC PRIORITY 6482
INFO RUEHOS/AMCONSUL LAGOS 4607
RUEHZK/ECOWAS COLLECTIVE

UNCLAS SECTION 01 OF 02 ABUJA 001826 
 
SIPDIS 
 
SIPDIS 
 
STATE PASS TO USTR 
TREASURY FOR DPETERS 
USDOC FOR 3317/ITA/OA/KBURRESS 
USDOC FOR 3130/USFC/OIO/ANESA/DHARRIS 
 
E.O. 12958: N/A 
TAGS: SENV EAID EAGR EIND NI
SUBJECT: NIGERIA PLANS NORTHERN ANTIDESERTIFICATION PROJECT 
 
REF:  ABUJA 1505 
 
¶1.  Summary.  Nigerian and Israeli companies are proposing 
an anti-desertification agricultural project for 11 states 
in northern Nigeria, to be expanded to eight additional 
states.  After a tree belt stabilizes an area 
environmentally, the GON would bring back the people driven 
out by desertification, establish sustainable agriculture, 
and pay the settlers to build houses and then farm. 
President Obasanjo has endorsed the anti-desertification 
project.  The Nigerian partner has not addressed the 
logistical challenges of bad roads, fuel shortages, and 
almost nonfunctioning railroads.  The project's domestic- 
political goals may clash with its economic rationale.  End 
summary. 
 
¶2. Economic officer and agricultural attache met on June 14 
with Emeka Mba, Framan Nigeria Ltd. managing director and 
CEO, who is seeking political and financial support for a 
proposed anti-desertification agricultural project for 
northern Nigeria.  The Charge d'Affaires met previously on 
June 7 with Minister of Environment Helen Esuene at her 
request to discuss the project (reftel).  The proposed 
program to combat desertification is known as the Nigeria 
"Desertification Project" as well as the "Desert to Food 
Program."  Framan is the local representative of Israel's 
Agricultural Development (Agridev) Company (International), 
which has agricultural projects worldwide. 
 
Project Is Ambitious in Its Extent 
---------------------------------- 
 
¶3. The anti-desertification project would start big, 
launching in northern Nigeria's 11 "frontline" states -- its 
two northernmost tiers -- and the Federal Capital Territory. 
Mba explained this was for "balance and political reasons." 
Framan would expand the project to eight additional states 
two to three years later, after which the project's shelter 
belt of trees would total 1,500 km (940 miles) in length. 
Agridev assessed that about 35 million people in northern 
Nigeria suffer from the effects of desertification. 
 
¶4. Once an area is stabilized environmentally by trees, 
including those producing commercial fruit and nuts, the 
Government of Nigeria (GON) would seek to bring back people 
driven out by desertification and establish sustainable 
agriculture.  The GON intends to resettle 200 families in 
each local government area (LGA) -- about 1,000 families per 
state eventually creating at least 250,000 jobs.  The GON 
would pay resettlers to build houses and then farm. 
 
The government will give settlers everything needed 
--------------------------------------------- ------ 
 
¶5. Each family would farm 25 hectares (61.75 acres) and 
would receive the income from this produce.  Produce from 
outside the 25 hectares would be owned by various levels of 
government, each sharing the revenue.  The GON would provide 
seeds and seedlings, animals, houses, tools, equipment, 
schools, and wells -- everything needed.  Most of the 
plants, crops, and animals would be imported hybrids 
expected to do well in Nigeria.  For the first five or six 
years of the project, water would be trucked in for 
agriculture, until mechanized irrigation was extablished. 
Framan plans to use solar power exclusively to avoid relying 
on the electric grid. 
 
¶6. Mba envisioned 4,000 employees -- mainly unemployed young 
graduates -- per state who would work outside the 25-hectare 
plots.  Agridev would supply 100 expatriates nationally to 
supervise the project and Framan would manage the areas 
inside and outside the 25-hectare plots.  Mba later upped 
his projected employment figures and said after two years, 
the project would employ 1.5 million to 2 million people. 
 
¶7. Mba said President Obasanjo endorsed the anti- 
desertification project and authorized 300 billion naira 
($2.34 billion) for it in 2006 with further federal money to 
follow -- in part because Obasanjo believed the project 
would burnish his legacy.  The GON would commit its own 
funds first.  Funding sources for the project would be 50% 
from the federal government, 20% from state governments, 10% 
from LGAs, and 20% from donors and the private sector.  The 
GON would sign the contract on behalf of the states, and 
state governments must provide all employees that the 
project required.  This would be a federal project with 
private-sector management.  Framan would manage the project 
for 15 years and help procure donor aid.  After 15 years, 
 
ABUJA 00001826  002 OF 002 
 
 
the GON could choose to renew the project or to privatize it 
completely.  Framan was seeking soft loans from the World 
Bank that the GON could guarantee. 
 
Conference is to seek donor assistance 
-------------------------------------- 
 
¶8. Framan planne to hold a "major international conference" 
for ECOWAS heads of state, probably on September 8, in 
Nigeria.  Vice President Atiku supported the project and 
"may have a role" in the conference, Mba said.  Israel's 
Shimon Peres, former prime minister and currently minister 
for the development of the Negev, Galilee, and the regional 
economy, would attend.  The World Bank, UN officials, and 
foreign donors would be invited to help launch the project. 
 
¶9. Mba volunteered no information about how Framan would 
address the logistical challenges presented by bad roads and 
fuel shortages.  When pressed, he attempted to explain away 
these difficulties, as well as the state of Nigeria's nearly 
nonfunctioning railroads.  Mba did not anticipate Muslim 
Nigerians having any concern about the Israeli company's 
involvement as long as the project provided jobs and 
prosperity. 
 
Comment 
------- 
 
¶10. The project is almost certainly too ambitious.  The anti- 
desertification plan appears to be driven by  political 
motives, as opposed to having a sound and self-sustaining 
economic basis.  It is unlikely that the GON, northern 
states, and LGAs will be able to provide settlers with 
almost all necessary tools and infrastructure, when 
government now fails to provide most northern Nigerians with 
the most basic infrastructure and services. 
 
¶11. Framan does not appear to have addressed in detail how 
the project's agricultural output will be transported and 
marketed.  Nigeria's patchy road network is already 
overburdened. High-cost and unreliable transport undermine 
commercial agriculture in Nigeria, which needs a functioning 
rail network to transport bulk commodities in a cost- 
efficient manner.  This very large, complex plan, which 
would require sustained budget funding assumes a high degree 
of efficient cooperation between multiple levels of 
Nigeria's governments -- cooperation that is rarely 
achieved.  The large amounts of money and materiel to be 
purchased would require consistent monitoring.  Would-be 
donors to the project may express similar concerns after 
being approached for their financial assistance. 
FUREY