Abia Revokes Contracts on Management of Four Farm Estates, Initiates Fresh Bidding

Emmanuel Ugwu-Nwogo in Umuahia

The Abia State Government has revoked, with immediate effect, the contracts for the management of its four farm estates spread across the state, saying that the managers were failing in their contractual obligations.

Termination of the contracts was rather a shocking New Year gift presented to the contractors that have been managing the state-owned cocoa, cashew, oil palm and rubber estates.

The Abia Commissioner for Agriculture, Dr. Cliff Agbaeze, announced the revocations in a statement issued on Wednesday, saying that “the directive takes effect from 1st January 2025”.

He said that all the affected investors should “discontinue every activity in all the affected  farms forthwith”.

Agbaeze explained that government took the decision “following a careful review of the existing contracts on the state’s farm estates across the zones”.

According to him, it has become obvious that the contracts “were entered into under terms and conditions that are detrimental to the state and her interests”.

“It has further been observed that even the stated terms and conditions of these contracts have been substantially and serially breached by the so-called investors,” Agbaeze stated.

The agric commissioner justified the contract revocations, insisting that “it would be irresponsible of this government to allow these breaches to continue nor further subject the state to such clearly compromised conditions”.

“This administration has a sacred duty to preserve the state’s resources for the greater good of all Abians in its quest to restore the state to its lost glory,” he said.

Agbaeze specifically named the affected contractors as Providence Resources Ltd. in charge of Abia Cocoa Farm Estate, Agbozu; Manglore Farms Ltd. for Abia Cashew Estate, Umunneochi.

Others are South Estate Farm and Agro Investment  Processing Company – Ukwa Nkporo Oil Palm Estate; and Great Nobles Integrated Ltd., which manages Ameke and Ndi Oji Abam Rubber Plantations.

The commissioner said that “a fresh open bidding process will be initiated shortly to bring in more credible investors into those farm estates under favourable terms and conditions”.

He stated that the fresh contract terms would “not only be transparent but also best protect the interests of the state and her people and aligns with international best practices”.