NSDC, firms sign agreements to produce 400,000MT of sugar annually

The National Sugar Development Council (NSDC) has signed agreements with four operators to develop new sugar estates to collectively produce 400,000 metric tonnes annually.

Kamar Bakrin, executive secretary of NSDC, spoke on Monday in Abuja.

Bakrin said the agreements were part of efforts by the council to reduce Nigeria’s reliance on sugar imports.

He said that the agreements would see Brent Sugar in Oyo, Niger Foods in Niger, Legacy Sugar in Adamawa, and UMZA in Bauchi state each develop 100,000-tonne capacity facilities.

The NCDC boss said that the initiative marked a significant 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,” Bakrin said.

“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.”

Bakrin further 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.

The executive secretary said the projects are expected to generate employment, develop rural infrastructure and stimulate upstream and downstream economic activities across the four host states.

He also said the new investments were built on recent agreements between the NSDC and foreign partners.

“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.

The NSDC boss also expressed confidence that, with sustained support and strong execution, the projects would significantly contribute to Nigeria’s import substitution drive.

Bakrin said it would also position the country as a regional sugar hub under the African Continental Free Trade Area (AfCFTA).