NSDC Signs Landmark Deals with Four Firms to Produce 400,000 Tonnes of Sugar Annually

NSDC Signs Landmark Deals with Four Firms to Produce 400,000 Tonnes of Sugar Annually

The National Sugar Development Council (NSDC) has signed groundbreaking agreements with four companies to establish large-scale greenfield sugar projects across Nigeria, a major leap toward reducing the nation’s dependence on imported sugar and achieving full self-sufficiency.

Under the arrangement, each operator will build a 100,000-tonne capacity sugar production facility, strategically located across Nigeria’s agricultural belt:


NSDC, four Nigerian firms secure deal to produce 400,000 MT of sugar  annually - Daily Post Nigeria

A ‘Game Changer’ for Nigeria’s Sugar Industry

Speaking at the signing ceremony in Abuja on Tuesday, NSDC Executive Secretary/CEO, Mr. Kamar Bakrin, described the deals as a transformative moment 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.”

Bakrin noted that the geographic spread of the projects—from the Southwest to the Northeast—was intentional, designed to leverage diverse agricultural strengths while ensuring nationwide benefits.


Council Support and Strategic Partnerships

The agreements, signed at NSDC’s headquarters, include tailored project development support and coverage of key service costs to ensure the ventures’ viability.

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This initiative builds on NSDC’s recent $1 billion memorandum of understanding with a Chinese firm for engineering, procurement, construction, and financing (EPC-F) of up to five sugar estates. Bakrin said the Chinese partnership underscored Nigeria’s openness to strategic international collaboration to accelerate domestic sugar production.


Tackling Nigeria’s Sugar Import Dependence

Nigeria currently imports the bulk of its sugar, placing considerable pressure on foreign reserves. Despite previous government interventions, the sugar import bill remains high — a situation Bakrin insists must change 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.


Economic Impact: Jobs, Infrastructure, and AfCFTA Opportunities

Beyond increasing output, the new facilities are expected to create thousands of rural jobs, spur infrastructure development, and open up both upstream and downstream economic opportunities.

Chairman of Brent Sugar, Mr. Adewale Ogunbiyi, affirmed his company’s readiness 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 analysts say the success of the initiative will depend on both NSDC’s support and the operators’ ability to execute large-scale agro-industrial projects efficiently.


Aligning with Nigeria’s Industrial Policy

The initiative aligns with President Bola Tinubu’s industrial policy, which prioritises import substitution, local value addition, and positioning Nigeria as a competitive player under the African Continental Free Trade Area (AfCFTA).

If successful, these projects could position Nigeria as a leading sugar supplier in West Africa, tapping into regional markets and reducing reliance on imports.

“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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