The National Sugar Development Council (NSDC) has signed agreements with four operators to develop new sugar estates expected to collectively produce 400,000 metric tonnes annually.
The NSDC Executive Secretary, Mr Kamar Bakrin, said on Monday that the agreements were part of efforts by the council to reduce Nigeria’s reliance on sugar imports, News Agency of Nigeria (NAN) reports.
He said that the agreements would see Brent Sugar in Oyo State, Niger Foods in Niger State, Legacy Sugar in Adamawa State, and UMZA in Bauchi State each develop 100,000-tonne capacity facilities.
The NCDC boss said that the initiative marked a major step in the council’s drive to achieve self-sufficiency in sugar production and conserve foreign exchange spent on imports.
“The geographic spread from Nigeria’s Southwest to Northeast reflects a deliberate strategy to leverage diverse agricultural conditions and distribute economic benefits across regions.
“The agreements, signed at NSDC’s Abuja headquarters, represent a significant scaling of Nigeria’s sugar development ambitions.
“Under the terms, the council will provide customised project development support and cover critical service costs to ensure that the ventures achieve commercial viability.
“This expansion builds on Nigeria’s increasingly aggressive approach to sugar sector development,” he said.
Bakrin described 2025 as a year of accelerated development for Nigeria’s sugar sector, adding that favourable global commodity trends and government policy support had created an opportunity for rapid capacity expansion.
According to him, the projects are expected to generate employment, develop rural infrastructure, and stimulate upstream and downstream economic activities across the four host states.
He said that the new investments are built on recent agreements between the NSDC and foreign partners.
What you should know
In April, Nigeria secured a $1 billion investment through a partnership with Chinese conglomerate SINOMACH, aimed at boosting the country’s self-sufficiency in sugar production.
The collaboration, formalized through a Memorandum of Understanding (MoU) with the NSDC, will focus on jointly developing a large-scale sugarcane cultivation and processing project in Nigeria.
He noted that the agreement is expected to attract investments worth up to $1 billion and represents one of the early outcomes of the Nigeria-China Strategic Partnership championed by President Bola Tinubu.
According to the MoU, SINOMACH will construct a sugar processing plant and develop a sugarcane plantation with an initial annual processing capacity of 100,000 metric tonnes, aiming for a long-term target of one million metric tonnes.
“This includes a one billion dollar deal with a Chinese firm for engineering, procurement, construction, and financing services to develop up to five sugar estates,” he said.
Bakrin expressed confidence that with sustained support and strong execution, the projects would contribute significantly to Nigeria’s import substitution drive.
He said that it would also position the country as a regional sugar hub under the African Continental Free Trade Area.
