FG Mulls Extension of Implementation of 10-year Sugar Masterplan Implementation

James Emejo in Abuja
The Executive Secretary/Chief Executive, National Sugar Development Council (NSDC), Mr. Zacch Adedeji, has hinted on plans to extend the implementation of the 10-year Nigerian Sugar Master Plan (NSMP), which has been in operation for seven years.

In an exclusive chat with THISDAY, he stated that if the country must achieve self-sufficiency in sugar, it would have to extend the implementation period.

He pointed out that despite attracting investments worth over N200 billion in the sugar industry since the plan was launched, there had been drawbacks, which would hamper the actualisation of the initial targets by 2024.

He identified the challenges to include the current predicament in procurement of foreign exchange required by sugar companies to import equipment and machinery to set up.

He gave an instance where one of the major operators in the industry had attempted to open Letter of Credit (LC) in the last 18 months without success.
Adedeji, also said the existing challenges in acquiring land for cultivation of sugar estate was affecting the development of the industry.

According to him, less than 100,000 hectares of land are presently under acquisition adding that even if the whole land was cultivated, the country would still not achieve 1.7 million metric tons target.

According to the NSDC boss, despite the challenges, the implementation of the plan has awaken government’s consciousness in reassessing the actual requirements for the attainment of self sufficiency in sugar production in the country.

He said if the country is able to achieve success in the implementation of its Backward Integration Programme (BIP), it would have the capacity to bridge about 11 million metric tons shortage of sugar in Africa.
He said there had been deliberation by the council in the past three years towards reviewing current assumptions on the NSMP and, “whether that is what is required of not.”

He said, “We would have to extend the implementation period if we would actually achieved that.”
He added that at this point, the federal government could not afford to abort the masterplan and risk the investments so far attracted into the sector.

Essentially, the masterplan, which was approved in 2012, seeks to among other things limit unrestricted importation and facilitate domestic production thereby creating job opportunities for Nigerians.