By Henry Umoru
ABUJA— THE Federal Government has set 2020 as target for the realization of 70 percent self-sufficiency in local production of sugar, just as it frowned on the over N30 billion spent on the importation of the product annually for consumption in the country.

The government stressed that the present level of non-performing status of sugar industry in the country has been a major concern to it as a nation, just as it disclosed that arrangements have been concluded to review national sugar policy, geared towards ensuring that local sugar companies were adequately protected to ensure that the industry became relevant to the nation’s economic development plan.

Disclosing this yesterday at the sugar stakeholders forum, Minister of State, Commerce and Industry, Ms. Josephine Tapgun, who also expressed government’s readiness to stem over-dependence on its importation and push for local production, said: “We believe that with the right mix of policy and regulation, prevailing high cost of sugar in the market will be reversed.”

Stakeholders call for reduction in prices of sugar

Meanwhile, stakeholders at the meeting called on the government to encourage local production of sugar by reducing the price, as well as reduce the high level of importation.

According to the Minister, Nigeria currently consumes about 1.3 million tons annually, representing an average growth rate of 8 percent. She said only 5-10 percent of the national consumption was produced locally, with about 1.2 million tons imported as raw and refined sugar.

“Nigeria spends about N30 billion annually on the average to finance this national requirement. This is inspite of the fact that Nigeria has a high potential in terms of land, water and human resources to produce enough sugar for local consumption and for export,” she lamented.

Ms Tapgun, who explained that the meeting was designed, among others, to draw up proposals for fiscal policy amendments for the sugar sub- sector towards achieving 70 percent self-sufficiency in sugar production by 2020; and price of unfortified, refined sugar, in Nigeria, posited that it has become imperative for Nigeria and Nigerians to harness the potentials of the sugar industry against the backdrop of the need to combat the economic challenges of high unemployment, food insufficiency, power and energy shortage in the country believed that “sugar industry is a veritable tools to assist the nation overcome the challenges.”

The minister, who disclosed that the government was fashioning out other strategies that would help boost local sugar production, at least in the short term of two years, said the framework for this had been captured in the national sugar master plan which was produced by the National Sugar Development Council, which would be presented to the public soon.

She added that “the intention is to stimulate new backward integration projects and increased investment in integrated sugar projects, as we have in Savannah sugar company, Numan.”

In his contribution, the Executive Secretary, National Sugar Development Council, Usman Bello, said the council was advocating for a review of total waivers for imported raw sugar and prohibition of importation of refined white sugar because the local refining capacity was able to meet over and above the nation’s requirement.

“This is necessary to achieve massive job and wealth creation, rural industrialization and development, poverty alleviation and enhancement of rural standard of living.

“The disparity between the local and international prices of refined white sugar is wide and the local users may not be operating competitively. Price consideration is therefore, recommended so as to forestall the constant agitation by these local user of sugar for license to import their raw materials.”

Also present at the forum were Joseph Makoju and Isa Yusuf representing Dangote Sugar refinery, Godwin Isibor Manging Director BUA sugar refinery Ltd, Chimaroke Ekpe, representative of sugar packaging company, Dr. John Akanya, Director General Standards Organization of Nigeria, SON, Representative of NAFDAC, representative of Manufacturers Association of Nigeria (MAN), among others.