Investments surged in Nigeria's sugar industry
The stakeholders in the sugar sector of Nigeria were to have higher investment following the rise of the demand in the market. Nigeria’s sugar industry would get an investment valued USD2.6 billion.
In 2103, the demand for sugar has reached 2 million metric tonnes, reported Ventures Africa. The demand is up by 500,000 metric tonnes from the 1.5 million metric tonnes demand in 2012. This was according to a record from the National Sugar Development Council (NSDC).
Leading sugar producers in Nigeria including Dangote Sugar invested USD2 billion. The move was after the company acquire Adamawa State based Savannah Sugar, reported Ventures Africa.
The investment aimed to expand a project that would increase the production of sugar by 1.5 million metric tonnes by 2018. The production would be increased by 10,000 metric tonnes yearly after increasing sugar plantation from 6500 hectares to 21,000.
HoneyGold Group has also intended to invest USD300 million in two locations in Adamawa. The company plans to increase its yearly sugar production by 200,000 tonnes. Meanwhile Confluence Sugar Company plans to invest USD240 million while Crystal Sugar Mills intends a USD30 million investment in Nigeria’s sugar industry.