Local and international investors have been invited to take advantage of the expanding potential in Nigeria’s sugar business by Kamar Bakrin, the executive secretary and CEO of the National Sugar Development Council (NSDC). With a $2 billion local market and access to a $7 billion export market throughout Africa, he claimed that now is the best moment to make an investment.
According to Bakrin, who was speaking at a media briefing in Lagos, local manufacturing is both feasible and extremely profitable because Nigeria consumes roughly two million metric tonnes of sugar annually. Citing the industry’s strong Net Present Value (NPV) and Internal Rate of Return (IRR), Bakrin said, “The economics are compelling.” “The recent fluctuations in currency exchange rates have further shifted the balance in favor of local production over imports,” he noted.
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Bakrin emphasized that the Backward Integration Plan (BIP) offers advantages to investors as part of the government’s commitment to their support. He gave prospective investors his word that local ventures would be supported by international experience, accessible funding catered to company needs, and secure land access.
A host community integration approach was established by Bakrin to guarantee that the expansion of the industry benefits all parties involved. Businesses must set aside a percentage of their investments under this strategy for community development initiatives including roads, schools, and clinics. Furthermore, locals are assigned to some managerial positions, which improves relations between host communities and sugar plantations.
After being nominated by President Bola Tinubu in October of last year, Bakrin presented his plan to achieve national sugar self-sufficiency in the following eight years. He proclaimed 2025 to be the “Year of Acceleration” for Nigeria’s sugar sector, with intentions to increase output capacity through increased investment, commercial sugarcane planting, and advancements in seed development and worker training.
According to the head of the NSDC, Nigeria’s sugar business has a bright future for investors, thanks to both robust domestic demand and enormous export possibilities throughout Africa. He focuses on high-value sugar-based by-products like ethanol and bioplastics.
