Nigeria’s NSDC, 4 Firms Secure 400K Ton Sugar Production Deal

NSDC, four Nigerian firms secure deal to produce 400,000 MT of sugar annually

Nigeria has taken a major step toward reducing its reliance on imported sugar with a new initiative to boost domestic production. The National Sugar Development Council (NSDC) announced partnerships with four local firms to establish sugar production facilities expected to yield 400,000 metric tons annually. The agreements, formalized during a signing ceremony in Abuja, align with the government’s push to curb a multibillion-dollar import bill and achieve self-sufficiency in sugar production.

Under the plan, Brent Sugar in Oyo State, Niger Foods in Niger State, Legacy Sugar in Adamawa State, and UMZA in Bauchi State will each construct 100,000-ton capacity plants. The locations span Nigeria’s agricultural zones from the southwest to the northeast, a strategic move to utilize diverse growing conditions and stimulate regional economic growth. NSDC officials emphasized that this geographic spread ensures benefits reach communities across the country while strengthening agricultural infrastructure.

The council will offer tailored project support, including covering critical service costs, to ensure the ventures’ success. This initiative follows a recent $1 billion memorandum of understanding with a Chinese firm specializing in engineering, procurement, construction, and financing (EPC-F) services for up to five sugar estates. The collaboration highlights Nigeria’s dual strategy of leveraging local and international partnerships to fast-track industry growth.

NSDC Executive Secretary Kamar Bakrin described 2025 as a pivotal year for “accelerated development” in the sugar sector. He stressed that global market shifts have created favorable conditions for expanding domestic production, citing rising commodity prices and supply chain disruptions as challenges that make local manufacturing more viable. “This is not just about reducing imports—it’s about securing Nigeria’s food future and stimulating rural economies,” Bakrin stated.

The government’s sugar master plan aims to cut annual imports, which currently exceed $1 billion, while addressing food security concerns exacerbated by population growth and climate-related agricultural pressures. Analysts note that successful implementation could position Nigeria as a regional leader in sugar production, though challenges such as infrastructure gaps and funding disbursement timelines remain.

With these projects, Nigeria joins a growing list of African nations seeking to reduce dependency on foreign commodities by revitalizing agricultural sectors through public-private partnerships and foreign investment.

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