Wilmar International and TGI Group Team Up for Food Business in West Africa

Wilmar International Limited has announced that it has signed agreements with Tropical General Investments Group to merge their Nigerian and Republic of Benin businesses into a new joint venture. This joint venture will be a 50:50 partnership.

According to the agreements, Wilmar and TGI Group will bring together their businesses and brands in Nigeria and the Republic of Benin. This includes areas like agriculture, palm oil plantations, edible oils, nuts, rice, food manufacturing, and distribution. The total market size for these categories in Nigeria and Benin is over 12 billion US dollars.

The new platform will combine popular consumer brands, strong processing ability, local expertise, and wide distribution channels across West Africa. This aims to create a business that covers all parts of agriculture, from farming to processing, refining, and selling branded products. The main goal is to provide quality food and consumer goods at affordable prices in West Africa by mixing global knowledge with strong local manufacturing.

The businesses will be managed by a holding company in Singapore, owned equally by Wilmar and TGI Group. The deal will be finalized after certain conditions are met, including getting necessary approvals, and is expected to close by December 31, 2026.

Mr Kuok Khoon Hong, Chairman and CEO of Wilmar, shared his thoughts on the deal. He said, "Nigeria and the Republic of Benin are key consumer markets in Africa, with a combined population of over 260 million. These markets sometimes face shortages in food production and distribution."

He added, "By merging Wilmar’s strengths in palm oil and food staples with TGI Group’s manufacturing and distribution, we create a business well-suited to serve African consumers and help the region grow in the long run."

Mr Santosh Pillai, Wilmar’s Africa Head, also commented, saying, "This deal is a great fit for Wilmar in Africa. TGI Group brings strong local skills, popular brands, and a wide distribution network, which complement Wilmar’s strengths in production and trusted brands."

He continued, "Together, we are forming a platform that will have the scale and local understanding to better serve consumers in Nigeria and the Republic of Benin and help develop the food and agriculture sectors here."

Mr Cornelis G. Vink MFR, the Founder and Chairman of TGI Group, said, "For over 40 years, TGI Group has been a leader in food manufacturing and distribution in Nigeria. Joining forces with Wilmar’s businesses in Nigeria combines two strong platforms focused on delivering high-quality local food products in the region. This partnership will use Wilmar’s global experience along with TGI’s local knowledge to create innovative food solutions across Africa."

Mr Farouk M Gumel, Vice Chairman of TGI Group, added, "By combining Wilmar’s palm oil production and processing skills with TGI Group’s manufacturing power and established brands, we are creating a platform that will enhance local production, support small farmers, create jobs, and greatly improve Nigeria’s food security."