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Nigeria launches Sugarcane Outgrowers Programme to boost local sugar production

Nigeria’s National Sugar Development Council (NSDC) has launched the Sugarcane Outgrowers Development Programme (SODP). The initiative aims to boost local sugarcane production and speed up the country’s drive toward self-sufficiency in sugar.

In a statement on social media, the NSDC said the program will bring all sugarcane farmers into the national supply chain through a package of incentives. Farmers will receive support such as guaranteed off-take contracts, access to quality seedlings and inputs, technical assistance, and training in good agricultural practices and sustainable resource management.

Integrating farmers into the value chain

“For the first time, a structured outgrower development programme will formally integrate farmers at all levels into the national sugar value chain,” the NSDC said. “This campaign is about reaching every stakeholder, from large-scale operators to smallholder farmers, and ensuring that everyone has a fair opportunity to contribute to Nigeria’s journey towards self-sufficiency in sugar production.”

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The initiative shows the government’s commitment to improving local sugarcane yields and attracting new investment to expand cultivation. Under Phase II of the National Sugar Master Plan (NSMP II), launched in 2022, Nigeria aims to produce 1.8 million tons of sugar annually by 2033, by mobilizing 300,000 hectares of irrigated farmland for sugarcane.

As of 2024, just 130,000 hectares were under cultivation, producing about 75,000 tons of sugar, according to the U.S. Department of Agriculture (USDA).

Expanding processing capacity

Officials see increased sugarcane output as essential to meeting growing demand from new processing projects. In August 2025, the NSDC signed deals with four sugar companies,  Brent Sugar (Oyo), Niger Foods (Niger), Legacy Sugar (Adamawa), and UMZA (Bauchi),  to develop projects capable of producing a combined 400,000 tons per year. Local media reported that each site will produce about 100,000 tons annually.

Earlier, in April, the NSDC signed a US$1 billion agreement with Chinese firm SINOMACH to build an integrated sugar complex under NSMP II, starting with 100,000 tons per year and eventually reaching 1 million tons.

In November 2024, the Niger State government also signed an MOU with four local and foreign firms to build six sugar factories, four of which will be located between Shiroro and Minna across 148,000 hectares by 2027. Though capacity details were not disclosed, the plants are expected to significantly increase local processing.

Until these projects come on stream, Nigeria remains reliant on imports to cover its shortfall. The National Bureau of Statistics (NBS) reports that Africa’s most populous nation imported NGN914.79 billion (about US$637 million) worth of sugar in 2024.

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Staff Writer

The African Agribusiness is a source of insightful information on agriculture, markets and developments in Africa.
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