NSDC, SINOMACH Sign MoU on $1bn Investment in Nigeria

Sunday Ehigiator

The National Sugar Development Council (NSDC) has signed a major Memorandum of Understanding (MoU) with SINOMACH, a Chinese conglomerate, for the development of sugarcane cultivation and processing projects capable of producing one million metric tonnes of sugar in the country.

In a statement, the NSDC said the MoU, which is an early fruit of the Nigeria-China Strategic Partnership, an initiative of President Bola Ahmed Tinubu, has the potential to attract investments of up to one billion dollars into the Nigerian sugar industry.

The Executive Secretary/CEO of NSDC, Mr. Kamar Bakrin, in the statement reiterated that 2025 represents a pivotal year for accelerated development in Nigeria.

“It is a critical period during which we expect to make significant strides in our national journey towards economic self-sufficiency and food security, especially given the fiscal pressure that Nigeria faces.

“A robust sugar industry will deliver several benefits to Nigeria. These include the creation of thousands of sustainable jobs across the value chain. Sugar, by its very nature, leads to extensive rural infrastructure development. For Nigeria, it will also result in substantial foreign exchange savings, as it will substitute imports, which currently account for the bulk of the country’s sugar consumption.

“We envision a sugar sector, when fully developed, that will serve as a blueprint for Nigeria’s broader industrialisation strategy. And, of course, China, being the world’s leader in industrialisation, can easily relate to this,” he said.

Also speaking, the Vice President of SINOMACH, Li Xiao Yu, acknowledged that, as Africa’s largest economy, the country’s vigorous implementation of the Nigeria Sugar Master Plan (NSMP) with the goal of achieving self-sufficiency in sugar production is laudable.

“We deeply admire this vision; it is not only an industrial policy but also a sweet revolution tied to food sovereignty and economic dignity. We firmly believe that, through joint efforts, the success of the plantation and sugar mill project will enhance Nigeria’s sugar self-sufficiency, spur economic development in surrounding areas, create substantial employment, modernise the agricultural value chain, and generate long-term and sustainable social benefits,” he said.