Egypt to strengthen position as Africa’s largest sugar producer by 2035

Government support, foreign investment and expanded sugar beet processing capacity are expected to drive Egypt’s sugar industry growth and strengthen regional competitiveness through 2035.

AFRICA – Egypt is expected to strengthen its position as Africa’s largest sugar producer over the next decade, driven by government incentives, foreign investment and expanding industrial capacity, according to the Agricultural Outlook 2026–2035 published jointly by the Organisation for Economic Co-operation and Development (OECD) and the Food and Agriculture Organization of the United Nations (FAO). 

The report projects that Egypt will increase its contribution to Africa’s sugar production through 2035 as continued policy support and sustained investments enhance the country’s sugar value chain. 

According to the outlook, government-backed initiatives and inflows of foreign capital are expected to boost domestic sugar production by expanding sugar beet cultivation while improving production efficiency and processing capacity. 

The report states that farmer-friendly pricing policies, wider adoption of improved seed varieties, investments in sugar milling capacity and the development of new industrial projects will be the key drivers supporting long-term growth in the sector. 

A major contributor to this expansion is the Canal Sugar project, which the report describes as the world’s largest sugar beet processing facility. 

“The plant has significantly enhanced Egypt’s processing capabilities, supporting higher domestic sugar output and reducing reliance on imports,” the OECD-FAO report states. 

The facility has an annual production capacity of approximately 900,000 tonnes and is expected to play a significant role in increasing the country’s sugar production over the coming years. 

According to the report, Egypt’s sugar beet production is forecast to increase by approximately 4.8 million tonnes above the baseline period by 2035, positioning the country among the leading contributors to growth in Africa’s sugar industry. 

The outlook also notes that Egypt’s expansion reflects a broader global trend of increasing sugar crop production.  

While sugarcane is expected to remain the dominant source of global sugar production, worldwide sugar demand is projected to continue rising, supported by population growth and improving income levels across emerging markets. 

The OECD and FAO report highlights that continued investments, policy reforms and expanded processing capacity are expected to reinforce Egypt’s competitiveness within Africa’s agricultural and food-processing industries while supporting long-term growth across the country’s sugar sector. 

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