To increase local sugar production, the government has announced plans to allocate 8,000 hectares of land for sugarcane cultivation. Officials are also seeking to attract at least $50 million in private investment to develop the sugar sector, improve processing capabilities, and reduce the nation’s reliance on sugar imports, reported The New Times.
The initiative is expected to create new jobs, stimulate economic growth, and strengthen the country’s ability to produce its sugar.
“Because Rwanda has limited land, it’s difficult to grow sugarcane on a huge scale and be completely self-sufficient,” stated Minister of Trade and Industry Prudence Sebahizi. “However, the government is making it a priority to improve the productivity of existing sugarcane farms. We are doing this by promoting the use of high-yield sugarcane varieties, efficient irrigation methods, and better farm management practices.”
The minister also explained that Rwanda utilizes the East African Community Common External Tariff (CET) and safeguards to ensure fair competition between locally produced sugar and imported sugar.
“To keep sugar affordable while protecting our local industries, Rwanda allows carefully managed sugar imports through quotas,” Sebahizi said.
The government is also actively encouraging investments in sugar refining and value-added processes, aiming to improve the efficiency of sugar processing and distribution within the region.
“This ensures that even though our domestic production might be limited, Rwanda can still be competitive in the sugar supply chain,” the minister added, emphasizing the government’s commitment to investing in processing capacity.
“The government is focusing on improving our processing abilities rather than trying to become a major producer of raw sugar,” he explained. “Trade agreements like the African Continental Free Trade Area (AfCFTA), the Common Market for Eastern and Southern Africa (COMESA), and the East African Community 1 (EAC) allow Rwanda to process imported raw sugar and then re-export refined sugar products within the region. This helps boost industrialization and trade.”
Sebahizi further noted that the government is supporting related industries, such as ethanol and bio-energy production, to maximize economic benefits. “Through incentives for private-sector investment and measures to facilitate trade, Rwanda is aiming to become a competitive hub for sugar processing and distribution within the regional market,” he said.
He also highlighted the initiative’s contribution to Rwanda’s broader industrialization and value-addition goals, especially in agro-processing and manufacturing.
