Dalmia Bharat Sugar approves US$132 million integrated sugar and bio-energy project in Tanzania
The investment will establish a large-scale sugar estate, manufacturing plant and cogeneration facility to strengthen Tanzania’s sugar production and regional supply.
TANZANIA – Dalmia Bharat Sugar and Industries Limited has approved the development of a US$132 million integrated sugar project in Tanzania, marking a major step in the company’s international expansion strategy and strengthening its presence in East Africa’s growing sugar sector.
According to a regulatory filing, the project will be implemented through Eagle Agrotech Tanzania Limited (EATL), a wholly owned subsidiary of Eagle Agrotech Holdings Limited (EAHL).
EAHL is 51% owned by Dalmia Bharat Sugar, while the remaining 49% stake is held by Symphony Global LLC, an investment holding company of H.E. Mohamed Ali Rashed Alabbar, founder and Chairman of Emaar Properties.
The investment will establish an integrated sugarcane plantation, a sugar manufacturing facility and a cogeneration power plant. The project forms part of Dalmia Bharat Sugar’s strategy to diversify geographically while creating a platform for future participation in global bio-energy markets.
In its regulatory filing, the company stated that “the project marks a significant milestone in the company’s international growth strategy, supporting its geographical diversification objectives and providing a strategic platform to enter global bio-energy markets.”
The company noted that the investment is supported by favourable long-term market fundamentals, highlighting Tanzania and the wider East African region’s structural sugar deficit, where domestic demand continues to exceed local production.
According to the filing, the supply gap presents opportunities for import substitution and exports to neighbouring regional markets.
The integrated sugar estate will initially be developed across 10,000 hectares, with scope for expansion to 20,000 hectares. Dalmia Bharat Sugar said the captive sugarcane plantations will provide a reliable and sustainable supply of raw materials, strengthening the project’s long-term operational resilience.
The first phase will include a sugar manufacturing plant with an annual production capacity of approximately 70,000 metric tonnes, which can be expanded to 150,000 metric tonnes. It will also feature a 20 MW cogeneration facility, with the potential to increase capacity to 40 MW as the project expands.
The company added that it intends to progressively transform the integrated complex into a diversified bio-energy platform by maximising the utilisation of sugar by-products through commercially viable and environmentally sustainable value-added initiatives.
The investment aligns with Tanzania’s plans to strengthen its sugar industry. The government is targeting an increase in sugarcane production from 4.35 million tonnes in the 2025/26 season to 5.5 million tonnes in 2026/27, while sugar production is projected to rise from 410,979 tonnes to 550,000 tonnes.
Authorities have also announced plans to establish two additional sugar factories in the Coast and Kigoma regions.
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