The Federal Government is set to kickstart the second phase of the 10-year Nigerian Sugar Master Plan (NSMP), with over N500 billion contribution to the country’s Gross Domestic Product (GDP).
The FG has also stopped importation of refined sugar with the provision of 300,000 hectares of irrigated land in nine states of the Federation in the new 10-year sugar master plan and on-boarding of new sugar mills and refineries across the country.
Executive Executive Secretary of the National Sugar Development Council (NSDC), Mr. Zach Adedeji, who disclosed this when he met with media executives in Abuja, yesterday, said the sugar master plan is expected to boost the country’s power generation, ethanol, create direct and indirect jobs; among others.
Adedeji added that, in line with the new NSMP, nine states in the North Central, North East, South West and North West have been identified as suitable for sugarcane cultivation and talks are ongoing with the state governors. The states are: Nasarawa, Kwara, Adamawa, Oyo, Niger, Taraba, Ondo, Sokoto and Bauchi.
Governor of Nasarawa State, Abdullahi Sule, leads the forum, which is expected to release land and provide infrastructure for smooth take-off of the new NSMP.
The forum is also expected to resolve land disputes in their respective states.
The NSDC scribe also noted that, in the execution of the first 10-year master plan, the Council helped generate over one million direct and indirect jobs, resuscitate moribund sugar companies across the country and attracted six private investments in the sector.
“The federal government, in its wisdom, believes that we can’t continue the way we are; because of the essential nature of sugar, to continue to rely on importation. Aside jobs (in the sector), that are being exported by importing refined sugar, also, the dress on our forex, and also, majorly, security, which is food self-sufficiency, government decided to regulate the sector.
“After cement, the next thing government decided to localise is sugar because we have every material that can make us self-sufficient in sugar production in Nigeria. Based on new statistics, we need 300,000 hectares of land. The total arable land in the states we have identified is over 800,000. So, if it is well managed, we can actually feed Africa because we consume two million metric tonnes annually because for the whole continent, we import 11 million metric tonnes.
“What this means is that we have land, water, the population, sugar cane. So, the only thing we need is this private sector-driven business model that can grow the industry. We have effectively stopped importing refined sugar into the country. We only allow importing raw sugar that is now being refined in Nigeria. We even have excess capacity for that.
“We are also working with the Nigeria Ports Authority and the Customs to try and ensure that equipment needed by our operators gets out of the ports in time, avoiding congestion. This is because sugar cultivation is time-sensitive and delays in harvesting can result in losses to our farmers, which can discourage them. Finally, we are working with the CBN to arrange single-digit funding that will support investment in the sector. So, in all, we have put in place all necessary measures in our quest to revamp the nation’s sugar sector.
“After rice and wheat, the Federal Government considers sugar as the third most important commodity, which prompted the drafting and approval of the National Sugar Master Plan to ensure self-sufficiency in the local production of sugar, ethanol, animal feeds, and an increased capacity in electricity generation, and employment, etc,” he said.
Adedeji said the pilot NSMP, which started in 2012, initiated “a policy framework for the sector, which seeks to bring about a complete overhaul to enable Nigeria to become self-sufficient in sugar production, create direct and indirect jobs, generate electricity, become a notable global sugar producer, and produce ethanol for industrial use.
“I must say that we are quite pleased with the tremendous successes we’ve recorded with regard to the refining of imported raw sugar. In fact, Nigeria has since met its raw sugar refining capacity, which is commendable. But like I’ve always stated, the successes we’ve achieved in the area of raw sugar refining must be replicated in our BIP project, which is a major component of the NSMP and has the capacity to tackle rising unemployment and also address other socio-economic challenges facing the country. We can only celebrate as a sector if we are able to grow cane and produce raw sugar locally. I know it’s a tough job, but we are more than ready to achieve our target objectives given our commitment and efforts. Also, within the first 10 years of the NSMP, we’ve been able commission a multi-billion dollar sugar factory and estate in Sunti, Niger state, creation of over one million direct and indirect jobs, the takeoff of the moribund Nigeria’s foremost sugar company Bacita, Kwara state, and several other landmark feats recorded in the last 10 years in the sugar sector. It is a known fact that the nation’s sugar sector has witnessed some significant reforms in the last 10 years. The sector is now well regulated, roles of stakeholders are clearly defined, formulation of enabling laws and policies to aid growth and heavy reliance on modern technology to drive the process.”