Home News NSDC, New Investors Sign Deals to Boost Annual Sugar Output by 400,000MT

NSDC, New Investors Sign Deals to Boost Annual Sugar Output by 400,000MT

by Our Reporter
By Tracy Moses
The National Sugar Development Council (NSDC) has signed agreements with four companies to establish greenfield sugar projects that will collectively produce 400,000 tonnes of sugar annually, a major step in the council’s campaign to reduce Nigeria’s dependence on imported sugar and achieve self-sufficiency.
Under the new arrangement, each operator will build a 100,000-tonne capacity facility across Nigeria’s agricultural belt: Brent Sugar in Oyo State, Niger Foods in Niger State, Legacy Sugar in Adamawa State, and UMZA in Bauchi State.
Speaking at the signing ceremony in Abuja on Tuesday, NSDC Executive Secretary/CEO, Mr. Kamar Bakrin, described the deals as “a game changer” for Nigeria’s sugar industry.
“This is not just about producing more sugar; it’s about creating jobs, boosting rural economies, and securing our food future,” Bakrin said. “For too long, Nigeria has been spending scarce foreign exchange to import sugar. These projects will help us reverse that trend.”
The geographic spread from the southwest to the northeast, he added, was intentional.
“By locating these projects in Oyo, Niger, Adamawa, and Bauchi, we are leveraging the strengths of different agricultural zones while ensuring the benefits are felt in every part of the country,” he explained.
The agreements, signed at NSDC’s headquarters, will see the council provide tailored project development support and cover key service costs to ensure the ventures’ viability.
The expansion follows the NSDC’s recent memorandum of understanding with a Chinese firm to deliver engineering, procurement, construction, and financing (EPC-F) for up to five sugar estates, valued at $1 billion.
Bakrin said the Chinese partnership demonstrated Nigeria’s openness to “strategic international collaboration” to speed up domestic sugar production.
Nigeria currently imports most of its sugar needs, a situation that places pressure on foreign reserves. Despite various interventions, the import bill remains high, a problem Bakrin said must be addressed urgently.
“Global market conditions now make local production more attractive and more profitable than ever before. 2025 will be our year of accelerated development,” he declared.
Beyond output, the new facilities are expected to create thousands of rural jobs, stimulate infrastructure growth, and generate both upstream and downstream economic opportunities.
Chairman of Brent Sugar, Mr. Adewale Ogunbiyi, one of the investors, said his company was ready to deliver on the project.
“We see this as more than a business investment. It’s a commitment to national development, and we will work with the NSDC to ensure we meet and exceed our targets,” Ogunbiyi said.
Industry watchers say the success of the programme will depend on both the council’s ability to provide strong support and the operators’ execution of large-scale agro-industrial projects.
The initiative is in line with President Bola Tinubu’s industrial policy, which prioritises import substitution and local value addition.
If successful, it could position Nigeria as a major sugar supplier in West Africa under the African Continental Free Trade Area (AfCFTA).
“This is a bold step towards making Nigeria a sugar powerhouse,” Bakrin concluded. “With our population and our market potential, there is no reason we cannot lead the region in sugar production.”

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