Nigeria's Federal Government is pursuing $7.1 billion in sugar industry investments over the next ten years, aiming to lift domestic production above two million metric tonnes annually while creating 110,000 jobs and reducing import costs by $2.1 billion per year. The National Sugar Development Council (NSDC), which is coordinating the programme, said the initiative would cut Nigeria's reliance on imported raw sugar by expanding sugarcane cultivation and processing capacity with private-sector backing.
The NSDC, led by Executive Secretary Kamar Bakrin, plans to develop ten integrated sugar estates across Niger, Kwara, Oyo, Kaduna, Jigawa, Bauchi, Nasarawa and Adamawa states. These estates would span 143,478 hectares and operate with a combined milling capacity of 55,500 metric tonnes of sugarcane daily. The NSDC said the new estates could produce 835,000 metric tonnes of sugar annually, while existing operators would contribute a further 1.22 million tonnes through increased output.
Beyond sugar production, the estates are designed to support ethanol production and electricity generation, creating additional opportunities for agro-processing and value addition. Financing the programme requires $5 billion in long-term debt and $2.1 billion in equity contributions from investors. The NSDC said funding would involve export credit agencies, development finance institutions and local financial organisations.
The council disclosed a $1 billion agreement with Chinese engineering company Sinomach, though financing arrangements remain incomplete. The NSDC is also working with the Bank of Industry on a proposed N10 billion Sugar Projects Acceleration Fund to support feasibility studies and prepare projects for investment. For Nigerian savers, borrowers and business owners, this programme could affect foreign exchange availability, interest rates on development finance and agricultural investment opportunities over the coming decade.