BUA Foods has invested of $200 million in its integrated sugar estate project located in Lafiagi, Kwara State, according to the company’s Managing Director, Ayodele Abioye. The project, comprising a sugar refinery, ethanol plant, and supporting infrastructure, is strategically designed to mitigate the impact of forex-dependent raw materials, reported Premium Times.
Abioye highlighted the current reliance on other countries for sugarcane, stressing the necessity to accelerate the development of sugarcane agriculture within Nigeria. The expansive BUA sugar estate covers 20,000 hectares and includes a cultural estate, a 20,000 metric tonne refinery, and a daily cane crushing capacity of 15,000 tonnes. The estate further features an industrial ethanol plant, schools, an estate, and a three-kilometre airport.
The company has already expended over $200 million on the project, a pivotal step in reducing dependence on foreign exchange, with collaboration from the government.
Despite facing challenges, BUA Foods remains dedicated to delivering value, sustaining growth, and upholding market leadership. Notably, the company’s five business divisions have demonstrated substantial growth, with a focus on developing its rice business, boasting an initial production capacity of 200,000 MT. This initiative aligns with national development plans and contributes to the advancement of the local rice industry.
BUA Foods’ Chief Financial Officer, Abdulrasheed Olayiwola, acknowledged efforts to diminish borrowing, particularly in response to forex challenges. The company expresses optimism about continued success in the marketplace, emphasizing top-line growth through ongoing capacity expansion and innovative product/packaging strategies in both the short and long term.
