The Federal Government has launched the Nigeria Sugar Master Plan II, a strategic upgrade aimed at not just sugar production, but also boosting ethanol and electricity generation, while creating thousands of jobs.
According to the National Sugar Development Council, the new plan seeks to correct the flaws of its predecessor and position Nigeria as a competitive player in the African sugar market.
While the primary goal of NSMP II is to achieve two million metric tonnes of local raw sugar production, the new strategy goes a step further. It encourages new sugar projects to unlock more value from sugarcane, beyond just sweeteners. Under this plan, there are bold targets for byproduct generation: 161 million litres of ethanol, 400 megawatts of electricity, and 1.6 million metric tonnes of animal feed. It’s a push toward full-scale industrialization of the sugar sector.
A key feature of the Nigeria Sugar Master Plan II is its focus on diversification through a structured seven-pillar strategy. This includes identifying viable sugar production sites, attracting skilled and committed operators, and securing an estimated $4.5 billion in capital investment to drive growth.
The plan also places a strong emphasis on research and development, targeting higher productivity with cane yields of 120 metric tonnes per hectare and sucrose content of 20 percent Brix. Government support will be channeled into critical areas such as seed cane distribution and irrigation infrastructure.
NSMP II also aims to reduce sugar production costs to $400 per tonne and create approximately 110,000 new jobs, signaling a significant boost to Nigeria’s agro-industrial sector. The plan further outlines inclusive development for host communities throughout the grower schemes and job creation, ensuring local participation in the value chain.
The drive for increased production hinges on a transformation through commercial farming, aiming to place 50,000 hectares of land under sugarcane cultivation.
To achieve this, NSMP II will focus on both the expansion of existing sugar estates brownfield projects and the establishment of entirely new sites across the country (greenfield projects). Brownfield sites are expected to contribute 70 percent of total production, while greenfield developments will cover the remaining 30 percent.
According to the National Sugar Development Council, the success of NSMP II will depend on effective performance management and a supportive policy and regulatory framework. This includes setting measurable performance benchmarks, consistent progress tracking, and flexibility for course correction. Amendments to the NSDC Act are also planned aimed at strengthening investor protection and enhancing regulatory compliance.
While key challenges such as funding constraints, land acquisition hurdles, and the need for strong community engagement. Under the leadership of President Bola Tinubu, and with oversight from the Minister of State for Industry, Senator John Owan Enoh, and the Executive Secretary of the NSDC, Mr. Kamar Bakrin, the government must show firm political will and enforce accountability to avoid repeating the setbacks of the previous sugar master plan.
If successfully implemented with strong collaboration among the government, private sector, and local communities, NSMP II could significantly reshape Nigeria’s sugar industry. The plan aims not only to cut down on sugar imports and stimulate economic growth but also to deliver broader benefits through ethanol production, power generation, and large-scale job creation.
