By Mercy Aikoye
The Minister of State for Industry, Trade and Investment, Dr. John Owan Eno, has highlighted the critical role of the sugar industry in achieving President Bola Tinubu’s vision of a $1 trillion economy.
According to the Minister, sugar plays a vital role in rural development, job creation, and national value generation. The National Sugar Masterplan (NSMP) is a key component of the government’s industrialization drive, and its success depends on the collective effort and accountability of both public and private sector actors.
Despite the sugar industry benefiting from over $2 billion in incentives under the first and second phases of the Masterplan, its contribution to the economy remains underwhelming, estimated at just $30 billion. The Minister emphasized the need to strengthen the law, correct past lapses, and ensure the achievement of real import substitution and sustainable local capacity.
The Minister’s remarks were made during a one-day public hearing on a bill to amend the National Sugar Development Council Act. The proposed legislation aims to provide for the functions and powers of the Council and the payment of all monies received by the Council into the Federation Account in accordance with Section 162 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended).
The Executive Secretary of the National Sugar Development Council (NSDC), Mr. Kamar Bakrin, emphasized the transformative goals of the Sugar Masterplan, including the creation of 100,000 high-quality jobs, development of rural infrastructure, and savings of over $1 billion in foreign exchange annually. He noted that the Council requires $4.5 billion in investments to realize this vision and is actively working to attract investors.
However, Bakrin raised concerns over the recent directive mandating that 50% of the sugar levy be remitted to the Consolidated Revenue Fund (CRF), warning that such measures could undermine the sector’s transformation goals. He emphasized that the sugar levy was specifically introduced to fund the development of the sector and redirecting those funds could derail the country’s industrial ambitions.
Representatives from various stakeholders, including NAFDAC, Nigeria Customs Service, BUA Group, and Flour Mills of Nigeria, also made submissions at the hearing. They expressed their support for the bill’s intent to enhance the Council’s regulatory capacity and promote transparency and efficiency in the sugar industry. However, some stakeholders cautioned against overlapping regulatory functions and urged the National Assembly to clearly delineate the roles of NSDC.
The Chairman of the House Committee, Rep. Enitan Dolapo Badru, emphasized the need for inclusive legislation that will strengthen the NSDC’s capacity to drive the NSMP. He urged all stakeholders to contribute constructively to build a sustainable and competitive sugar industry that creates jobs, improves livelihoods, and contributes significantly to national development.
The stakeholders’ submissions and the Minister’s remarks highlight the importance of collaboration and collective effort in achieving the goals of the NSMP. The proposed legislation is expected to play a critical role in promoting the development of the sugar industry and contributing to the country’s economic growth.
