The National Sugar Development Council (NSDC) says recent macroeconomic reforms by the Federal Government have improved conditions for local sugar production and strengthened efforts to achieve sugar self-sufficiency in Nigeria.
The Executive Secretary and Chief Executive Officer of the NSDC, Kamar Bakrin, stated this while speaking at the 32nd Nigerian Economic Summit during a panel session on strengthening policy coordination for competitiveness in the non-alcoholic drinks sector.
According to Bakrin, the reforms have helped stabilise the economy and made local sugar production more attractive to investors.
He said the next challenge is translating economic stability into growth that delivers jobs, supports rural livelihoods, improves food security and eases pressure on foreign exchange.
Bakrin said the sugar industry has a role to play in addressing these priorities because of its links to agriculture, manufacturing and rural development.
He urged policymakers and industry stakeholders to view the sugar and beverage industries as a single value chain, noting that beverage manufacturers are the largest industrial consumers of sugar in the country.
He said the Nigeria Sugar Master Plan (NSMP) 2.0, the country’s strategy for achieving sugar self-sufficiency, is projected to generate significant economic benefits.
According to him, the plan could save about US$1 billion in foreign exchange annually and create about 110,000 direct jobs, particularly in rural communities through sugar estates, mills and outgrower schemes.
Bakrin also highlighted ongoing investments in the sector. He said brownfield investors have committed to delivering 1.22 million metric tonnes of sugar annually by 2030, while greenfield projects are expected to add another 830,000 metric tonnes per year within the same period.
The NSDC chief said maintaining investor confidence would require policy consistency and predictability, noting that sugar projects involve large capital investments and lengthy development periods before production begins.
He added that the Council supports government efforts to address public health concerns while encouraging continued investment in the sugar value chain.
He proposed that the impact of fiscal and regulatory measures on jobs, investment and the objectives of the Sugar Master Plan should be assessed before implementation and accompanied by appropriate transition periods where necessary.
Bakrin called for greater collaboration between government and industry, including local sugar offtake commitments, support for outgrower farmers and investments linked to the Backward Integration Programme.
He also recommended that alignment with the Sugar Master Plan be included among the measures used to evaluate the success of the Nigeria Industrial Policy Sectoral Competitiveness and Growth Initiative.
He said stronger growth in both the sugar and beverage sectors would contribute to job creation, foreign exchange savings and rural economic development.
