The National Sugar Development Council (NSDC) has signed a Memorandum of Understanding with Chinese conglomerate SINOMACH for a major sugarcane farming and processing project aimed at producing up to one million metric tons of sugar annually in Nigeria.
The agreement, announced on Sunday, is part of the Nigeria-China Strategic Partnership championed by President Bola Tinubu and is expected to attract up to $1 billion in investment into Nigeria’s sugar sector.
Under the deal, SINOMACH will build a sugar processing plant and develop a sugarcane plantation with an initial production capacity of 100,000 metric tons per year. The NSDC will support the project by helping to secure necessary approvals and permits.
Speaking at the signing ceremony in Abuja, NSDC CEO Mr. Kamar Bakrin described the initiative as a major step toward economic self-reliance and food security. He noted that a strong sugar industry would create jobs, reduce sugar imports, and support rural development.
“This project reflects our commitment to industrial growth and economic transformation,” Bakrin said. “It’s a model for how we can scale and speed up Nigeria’s industrialization.”
The project will follow an Engineering, Procurement, and Construction (EPC) model, with SINOMACH also financing the development.
SINOMACH Vice President, Li Xiao Yu, praised Nigeria’s Sugar Master Plan and said the partnership goes beyond business—it supports food sovereignty and economic independence. He added that the company is exploring the use of RMB-based financing to make the project more efficient.
Li also expressed hope that the host state for the project could become the “Sugar Bowl of West Africa,” as the venture is expected to modernize agriculture, boost sugar self-sufficiency, and generate significant employment.