NSDC Unveils 10 Sugar Projects to Produce 835,000 Tonnes Annually
The National Sugar Development Council (NSDC) has unveiled a pipeline of 10 greenfield sugar projects expected to produce 835,000 metric tonnes of sugar annually at full capacity, as Nigeria intensifies efforts to achieve self-sufficiency in sugar production.
The projects form part of a $7.1 billion, 10-year development programme designed to raise the country’s annual sugar production above two million metric tonnes and save about $2.1 billion in foreign exchange annually.
The Executive Secretary and Chief Executive Officer of NSDC, Kamar Bakrin, disclosed this during a courtesy visit by the new leadership of the Commerce and Industry Correspondents Association of Nigeria (CICAN).
Bakrin said credible promoters had been identified for all 10 projects, with 143,478 hectares of land secured and a planned milling capacity of 55,500 tonnes of cane per day.
He explained that each greenfield estate would integrate sugar production with ethanol manufacturing and power generation, while independent technical reviews were being conducted to ensure the projects were commercially viable and attractive to investors.
The initiative is one of three major interventions under the council’s strategy to expand domestic sugar production. Existing estates currently produce about 100,000 metric tonnes annually, while incumbent operators are expected to contribute 1.22 million metric tonnes.
With the additional 835,000 tonnes projected from the 10 greenfield estates, the combined output from the 13 projects is expected to exceed two million metric tonnes annually, surpassing Nigeria’s current domestic demand of about 1.8 million tonnes.
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The council is also promoting farmer-grown sugarcane to increase the supply of raw materials to processing mills. Under the initiative, 11,000 hectares have been targeted for cultivation, with 7,000 hectares—about 64 per cent of the target—already identified in Kwara, Niger and Adamawa states.
The farmer-grown cane programme is expected to supply 880,000 metric tonnes of sugarcane to mills and support the production of approximately 88,000 metric tonnes of sugar annually.
Bakrin said the $7.1 billion programme would be financed through a combination of $5 billion in debt and $2.1 billion in equity. The proposed debt financing includes $3 billion from export credit agencies, $1.75 billion from development finance institutions and $250 million from local development finance institutions.
He added that the Nigeria Sugar Institute would provide training, extension services, planting materials, project evaluation and technical support to strengthen the capacity of operators and farmers across the value chain.
Beyond reducing sugar imports and conserving foreign exchange, the programme is projected to create about 110,000 direct and indirect jobs and improve the livelihoods of more than one million people.
The council also expects host communities to record more than 100 per cent growth in gross domestic product over 10 years, while the projects could reduce emissions by approximately two million metric tonnes of carbon dioxide equivalent annually.
To ensure accountability and performance, the NSDC plans to monitor the estates through physical inspections and satellite-based tracking.
The programme is part of the federal government’s broader effort to develop Nigeria’s sugar industry, expand local production, attract investment and reduce dependence on imported sugar.
By PRNigeria
