Oyo Sugar and Derivatives project to create 500 jobs and support 1,000 sugarcane farmers in Nigeria

NIGERIA – The Oyo Sugar and Derivatives Industries Limited project under development in Nigeria’s Oyo State is expected to create more than 500 direct jobs and provide market opportunities for approximately 1,000 sugarcane farmers as the facility prepares to commence operations. 

Oyo State Governor Seyi Makinde disclosed the update following a meeting with a delegation led by Khan Wasim Akhlaq, Managing Director of Saba Exports Limited. The governor shared details of the project in a statement posted on social media platform X. 

According to Makinde, the Saba Exports team is currently in Iseyin, Oyo State, supervising the pre-commissioning and commissioning activities of the privately funded Oyo Sugar and Derivatives Industries Limited facility. 

The governor said the factory is expected to begin operations soon, strengthening the local economy while creating employment opportunities and expanding agricultural activities across the state. 

He stated that the project would generate more than 500 direct jobs while establishing partnerships with nearly 1,000 sugarcane farmers, providing them with reliable market access for their produce. 

Makinde added that the investment is expected to play a significant role in accelerating agricultural and industrial development in Oyo State by strengthening linkages between farming and manufacturing. 

The development comes as Nigeria intensifies efforts to expand domestic sugar production through the National Sugar Master Plan (NSMP II).  

In March, the National Sugar Development Council (NSDC), in collaboration with the Bank of Industry, launched the N10 billion Sugar Project Acceleration Fund to support the development of new sugar projects across the country. 

According to the NSDC, the second phase of the National Sugar Master Plan represents a major structural transformation of Nigeria’s sugar industry. Backed by an estimated US$3.5 billion in investments, the programme aims to increase domestic sugar production to two million metric tonnes annually by 2033. 

The council said NSMP II is designed to achieve national sugar self-sufficiency while supporting ethanol production, power generation, employment creation and long-term private sector investment throughout the sugar value chain. 

Industry data from the NSDC and the USDA Foreign Agricultural Service show that Nigeria’s sugarcane harvested area expanded from approximately 75,000 hectares in 2020 to 100,000 hectares by 2025.  

During the same period, raw sugarcane production more than doubled, rising from 1.53 million metric tonnes to about 3.33 million metric tonnes, reflecting increased investment in the sector despite ongoing processing capacity constraints. 

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