VZCZCXRO1565
RR RUEHMA RUEHPA
DE RUEHOS #0176/01 0971313
ZNR UUUUU ZZH
R 071313Z APR 09
FM AMCONSUL LAGOS
TO RUEHC/SECSTATE WASHDC 0676
INFO RUEHUJA/AMEMBASSY ABUJA 0280
RUEHOR/AMEMBASSY GABORONE 0071
RUEHZK/ECOWAS COLLECTIVE
RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS SECTION 01 OF 02 LAGOS 000176 
 
SIPDIS 
 
FOR GABORONE PASS PDROUIN 
STATE PASS OPIC FOR DERB, ZHAN, MSTUCKART, JEDWARDS 
STATE PASS TDA FOR LFITTS, PMARIN 
STATE PASS USAID FOR NFREEMAN, GBERTOLIN, GWEYNAND 
STATE PASS EXIM FOR JRICHTER, KJACKSON 
DOC FOR 3317/ITA/OA/KBURRESS 
DOC FOR 3310/USFC/OIO/ANESA/DHARRIS 
DOC FOR USPTO-PAUL SALMON 
 
E.O. 12958: N/A 
TAGS: EAGR EIND EAID NI
SUBJECT: NIGERIA: AMBASSADOR DISCUSSES AGRICULTURE AND LOCAL 
POLITICS WITH OSUN STATE GOVERNOR 
 
Septel 
 
¶1. (U) Summary: During her visit to Osun State on March 25, 
Ambassador engaged Osun State Governor Olagunsoye Oyinlola (PDP) on 
his plan to develop the agricultural sector. Governor Oyinlola said 
a Free Trade Zone will be set up to promote agro-businesses and 
exports. He also said Osun State is striving to develop a solid 
mineral industry and tourism sector.  Ambassador noted that she had 
recently met with the Chairman of the Odu'a Group who wishes to do 
an inter-state Africa Growth and Opportunity Act (AGOA) workshop 
focused on agriculture. She also mentioned the upcoming public 
private partnership (PPP) on the agricultural sector that will focus 
on financing, capital equipment, and technical assistance by EXIM, 
FAS, USCS, and USTDA. Turning to politics, the Ambassador also 
raised political issues for Osun State in 2011, to which the 
Governor noted that he will have already served two terms and that 
the political playing field for governorship in his state is wide 
open. End summary. 
 
Osun Wants FTZ for Agro-Businesses 
---------------------------------- 
 
¶2. (U) Governor Oyinlola told Ambassador that there is no 
alternative to developing the agricultural sector as the state's 
economic base, and that Osun has moved forward with its plan to 
establish a Free Trade Zone (FTZ) for that purpose.  The FTZ would 
focus on agro-businesses, particularly on the processing of cocoa 
and palm oil products.  Products from the FTZ would go to the local 
market first, and only surplus would be exported, he said. 
 
U.S. Mission to Promote Agriculture through PPPs 
--------------------------------------------- --- 
 
¶3. (U) Ambassador informed Governor Oyinlola about the U.S. 
Mission-sponsored agriculture workshop focusing on EXIM, USTDA, 
USAID, and FAS and other USG agencies on financing, capital 
equipment, and technical assistance in June 2009 in Lagos.  She also 
noted a recent meeting with Odu'a Investment Company on its desire 
to hold an AGO workshop for five Southwestern states. (Note: Odu'a 
Investment Company is an economic grouping incorporated in 1976 to 
provide a framework for inter-state businesses between Oyo, Ogun, 
Ondo, Osun, and Ekiti. End Note) The workshop will focus on getting 
agro-businesses and medium to large-size farmers export-ready under 
the African Growth and Opportunity Act (AGOA). Ambassador asked 
Governor Oyinlola to identify appropriate stakeholders to this 
process, including Osun state government officials, agro-business 
leaders, and farmers. 
 
Osun Hopes to Build Solid Mineral, Tourism Industries 
--------------------------------------------- -------- 
 
¶4. (U) Governor Oyinlola said Osun State has solid mineral deposits, 
including gold and tantalite, to be developed.  In addition, Osun 
State is home to two UNESCO-recognized sites, making tourism a 
potentially profitable sector for the state. 
 
Governorship Wide Open in 2011 
------------------------------ 
 
¶5. (U) Governor Oyinlola told Ambassador he still awaits the Federal 
Appeals Court's ruling on his 2007 election to office.  He noted 
that he will have served two terms by 2011, and the gubernatorial 
election will be wide open. (Note: On March 30, the Federal Appeals 
Court ordered a retrial of the petition against Governor Oyinlola 
for alleged election irregularities that led to his victory in the 
2007 gubernatorial election.  The election tribunal dismissed the 
petition in 2008, and upheld Oyinlola's election. End Note) Governor 
Oyinlola hopes to continue his public service by running for the 
Senate. He noted for Ambassador the political initiatives set in 
place to make Osun more transparent, including a due process office 
within the state government. 
 
¶6. (U) Comment: Like its Western state neighbors, Governor Oyinlola 
has ambitious plan to rebuild the agricultural sector in Osun State 
through the establishment of an agro-focused FTZ. He understands the 
benefits of AGOA and is eager to collaborate with the U.S. Mission 
on agriculture-export promotion programs. A retrial of the petition 
against Governor Oyinlola could take around one year, allowing him 
time to serve nearly a full time. End Comment. 
 
 
LAGOS 00000176  002 OF 002 
 
 
¶7. (U) This cable was cleared with Embassy Abuja. 
 
Blair