The Federal Government of Nigeria has unveiled the Nigeria Sugar Master Plan II (NSMP II), a renewed strategy aimed at transforming the nation’s sugar industry through increased production, job creation, and the generation of ethanol and electricity, reports Legit.
Built on the lessons learned from its predecessor, NSMP I, the new plan sets out to make Nigeria self-sufficient in raw sugar production and position it competitively within the African market. A key goal is to produce two million metric tonnes of raw sugar annually, but NSMP II goes further—expanding the use of sugarcane to include ethanol, animal feed, and power generation.
The plan aims to produce 1.6 million metric tonnes of animal feed, 400 megawatts of electricity, and 161 million litres of ethanol. This approach is part of a broader diversification strategy built into the plan’s seven pillars, which also focus on selecting the best land for sugarcane farming, improving crop yields, and attracting $4.5 billion in investment.
To support these goals, the government is encouraging commercial farming across 50,000 hectares. Brownfield projects—expanding existing sugar estates—will contribute about 70% of the planned production, while new sugar projects (greenfield developments) will make up the rest.
Applied research plays a vital role in the plan. NSMP II aims to raise sugarcane yield to 120 metric tonnes per hectare and sugar content to 20% Brix. Government assistance will be directed at improving infrastructure, including irrigation and quality seed cane.
The initiative is also expected to create 110,000 jobs and reduce the cost of sugar production to $400 per tonne. Host communities are set to benefit through inclusive outgrower programs that provide local employment and development opportunities.
According to the National Sugar Development Council, NSMP II’s success will depend on having strong legislative backing, efficient regulation, and effective performance monitoring.
Meanwhile, in a separate development, Keystone Bank has taken control of Bacita Sugar Company, previously known as Josepdam Sugar Company, over an unpaid debt of over N25 billion. Following a ruling from the Federal High Court in Ilorin, the bank has appointed Yunus Abdulsalam (SAN) as the receiver and manager of the firm.
The court order authorizes Keystone Bank to recover its debt from KIA Africa Group of Africa, the buyer of the sugar company.
