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Sugar demand in Nigeria is witnessing a major increase in demand resulting in an increase of investment equating to $2.6 billion following.

The National Sugar Development Council (NSDC) disclosed that at the end of last year (2013) sugar demand in Nigeria reached 2 million metric tonnes which is 500,000 metric tonnes more than the 1.5 million metric tonnes demanded in 2012.

sugar demand in NigeriaThe increased sugar demand in Nigeria has caught the attention of the industry’s big players keen to exploit this growth for greater profit margin and increased market share.

I’m sure you are wondering which company has the most amount of responsibility in meeting the sugar demand in Nigeria. The answer is Dangote Sugar, pumping $2 billion succeeding the establishment of Savannah Sugar in Adamawa State, Northern Nigeria. Dangote Sugar intends to fund an expansion project that will increase productivity to 1.5 million metric tonnes by 2018. By increasing the capacity of its sugar plantation from 6,500 hectares to 21,000, Dangote Sugar will boost production to 100,000 tonnes of sugar on a yearly basis as a means to meet the high sugar demand in Nigeria.

sugar demand in NigeriaDangote Sugar is not alone in setting out plans to supply the high sugar demand in Nigeria; HoneyGold Group has set out plans concerning the investment of $300 million in two sites in Adamawa. Production capacity here is said to reach 200,000 tonnes yearly. Other investors are Confluence Sugar Company and Crystal Sugar Mills are two additional investors planning to invest $240 million and $30 million separately.

Sugar importation has been a major expense and with such a high sugar demand in Nigeria, such investments are critical as they can decrease the country’s dependence on sugar importation.

 It will also encourage participation of local sugarcane farmers who have previously complained of low patronage thus boosting the nation’s economic growth while achieving the high sugar demand in Nigeria.


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