Nigeria - Bacita Sugar Expansion Project

The Bacita Sugar Expansion Project has a high priority within the Nigerian Federal Government programme. This is a follow-on project to an earlier Bank Group intervention. This intervention had produced very good results and had contributed significantly to the trend towards increased sugar production in the complex noted during the 1970s. Only 5% of demand for white sugar is met by domestic production. Bacita Estate is one of only two existing sugar estates which can be expanded. At full development the project will produce approx. 58000 tons of white sugar per annum, and 22000 tons of molasses. This will reduce the level of imports and thus result in savings in foreign exchange. The project will rehabilitate the irrigation water supply system and the existing 5600 ha estate. The area irrigated will be expanded to 7600 ha by the development of an adjacent area of 2000 ha for sprinkler irrigation. Agronomic practices will be improved and new machinery provided in order to raise yields. The existing factory will be refurbished and expanded to increase its milling capacity from 2500 to 4000 ton of cane per day. The principal components of the project comprises of the following: i) Land Development and Rehabilitation; ii) Factory Rehabilitation and Expansion; iii) Agricultural Machinery, Plant and Vehicles; iv) Buildings and equipment; v) Consultancy Services and Training and vi) Operating Costs. The project will be implemented over a 5 year period.