The National Sugar Development Council (NSDC) has announced that the Oyo Sugar and Derivatives Industries Limited factory in Iseyin, Oyo State, has entered the commissioning and test-running stage. This development comes after over a decade of financial, technical, and institutional support from the council. The factory, a 300-tonnes-per-day greenfield sugar mill, was developed under the Nigeria Sugar Master Plan's Backward Integration Programme.
The project began as a cooperative farming venture involving communities in Iseyin and has now progressed to an operational factory. The NSDC funded the procurement of the factory's core 300 TCD sugar mill at approximately N1.64 billion. Additionally, the council provided further funding for cane development and operational support, bringing its total financial commitment to around N2.2 billion.
The Oyo State Government also contributed to the project, providing an estimated N850 million in equity funding towards the completion of outstanding works. The collaboration between the NSDC, the Oyo State Government, and the promoters has been crucial to the project's progress. The factory's readiness for commissioning is a result of sustained commitment from all parties involved.
According to Kamar Bakrin, Executive Secretary/CEO of the NSDC, the council will remain engaged as Oyo Sugar and Derivatives Industries Limited moves into full-scale commercial production. He expressed optimism that this project will serve as proof that Nigeria's sugar sector can be built on locally grown cane. The NSDC's involvement is expected to ensure the project's continued success.
The Oyo Sugar and Derivatives Industries Limited factory is one of the new-build sugar factories to emerge from the Nigeria Sugar Master Plan's Backward Integration Programme. This programme aims to develop Nigeria's sugar industry through local production. The factory's test-running stage is a significant milestone, indicating progress towards achieving this goal.
The development of the Oyo sugar factory has involved multiple stakeholders, including the NSDC, the Oyo State Government, and the promoters. Their collaborative efforts have enabled the project to move forward despite challenges. The factory's commissioning is expected to create new opportunities for the local economy and contribute to Nigeria's sugar production.
The National Sugar Development Council's support for the Oyo sugar factory demonstrates its commitment to developing Nigeria's sugar sector. The council's involvement in the project has been instrumental in its progress. With the factory now in the test-running stage, the focus shifts to ensuring its successful operation and contribution to Nigeria's sugar industry.
Key points
- The Oyo Sugar and Derivatives Industries Limited factory has reached the commissioning and test-running stage after over a decade of support from the National Sugar Development Council.
