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Importation of sugar by Nigeria from Brazil has dropped by 17.46 per cent (N34.45 billion) from N197.3 billion ($540.57 million) to N162.85 billion ($446.17 million).
The import was reduced by 17.47 per cent in one year but sugar trade with China grew up by 27.54 per cent between 2017 and 2018.
Nigeria imported $26.91 million and $32.07 million worth of sugar in 2017 and 2018 respectively.
The country also imported a total of $986.74 million sugar from Brazil between 2017 and 2018, while it took delivery of $58.98 million sugar from China in the same period.
The country also imported a total of $986.74 million sugar from Brazil between 2017 and 2018, while it took delivery of $58.98 million sugar from China in the same period.
Also, Turkey exported $19.03 million and $13.79 million bulk sugar to the country within the same period.
This year alone, Nigeria has imported 236,649 tonnes of the commodity through the Lagos Port Complex.
The imports were discharged at Apapa Bulk Terminal Limited (ABTL) and Greenview Development Nigeria Limited (GDNL) between February and May 2019.
According to Nigerian Ports Authority (NPA)’s shipping position, TR Crown offloaded 45,650tonnes last week at GDNL. Also, Florinda 1 and Glovis Mainehad discharged 46,599.254 tonnes and 44,900 tonnes of the commodity respectively between March and April.
Last February, Cressida berthed with 46,900 tonnes of the commodity at GDNL, while Ocean Eagle offloaded 52,600 tonnes at ABTL.
There are huge importations because of plans by the Federal Government to end foreign sugar this year came to naught.
Currently, the country is in deficit of 95.04 per cent or 1.53 million tonnes of the consumer demand.
Government had already said that no sugar would be allowed to come into Nigeria from 2019, but it was gathered that the country could only meet 4.96 per cent or 80,000 tonnes of the projected 1.66 million metric tonnes of sugar production under the Nigerian Sugar Master Plan (NSMP).
Government had already said that no sugar would be allowed to come into Nigeria from 2019, but it was gathered that the country could only meet 4.96 per cent or 80,000 tonnes of the projected 1.66 million metric tonnes of sugar production under the Nigerian Sugar Master Plan (NSMP).
The plan was initiated in 2012 to boost domestic production of sugar in order to attain self-sufficiency by 2020.
But the total sugar production under the plan between 2013 and 2018 stood at 435, 000 metric tons.
Besides, government also planned to slam 20 per cent import duty and 75 per cent levy on refined sugar this year.
It was also learnt that government’s poor protection of the local sugar industry had stifled sugar output despite incentives.
The incentives to boost domestic production of sugar include: a five-year tax for investors in the value chain; 10 per cent import duty and 50 per cent levy on imported raw sugar; 20 per cent duty and 60 per cent levy for imported refined sugar.
However, it was gathered that Dangote Group had been experiencing bottlenecks in acquiring enough land to meet its production target of 1.5 million metric tons.
This year, Nigeria is expected to import 1.7 million tonnes of the commodity to meet local demand, as the product accounts for the largest import bill in sub-Saharan Africa.
Findings from Index Mundi, a global trade portal, revealed that Nigerian importers had booked for 1.8 million tonnes of the commodity for 2019.
In 2018, the Nigerian Sugar Development Council (NSDC) explained that Nigeria would need $1.238 billion to meet 49 per cent of the total sugar demand by 2020. (New Telegraph)
In 2018, the Nigerian Sugar Development Council (NSDC) explained that Nigeria would need $1.238 billion to meet 49 per cent of the total sugar demand by 2020. (New Telegraph)
