BUA Foods, a leading Nigerian conglomerate, has disclosed a substantial investment of over $200 million in its integrated sugar estate project.
The Managing Director of BUA Foods, Ayodele Abioye, revealed the details during a press briefing in Lagos.
He said the project, situated in Lafiagi, Kwara State, encompasses a sugar refinery, ethanol plant, and supporting infrastructure, aiming to reduce dependence on foreign exchange-impacted raw materials.
Abioye emphasized the company’s commitment to accelerating development in sugarcane agriculture, addressing the current reliance on other countries for raw materials.
”The BUA sugar estate spans approximately 20,000 hectares, featuring a cultural estate, a refinery with a daily capacity of 20,000 metric tonnes, an industrial ethanol plant, and essential supporting infrastructure.
“We have spent more than $200 million so far. We are accelerating that space to see how we can reduce our dependence on forex. It is not going to be everything, but at least it is a good step in the right direction,” stated Ayodele Abioye.
He noted that the investment aligns with BUA Foods’ strategy for sustainable growth, demonstrating its commitment to value delivery and market leadership.
The company’s five business divisions have experienced remarkable growth, with a particular focus on developing the local rice industry through initiatives leveraging locally sourced raw materials.
Abdulrasheed Olayiwola, BUA Foods’ Chief Financial Officer, highlighted the reduction in borrowing and explained that the short-term borrowings were associated with import finance facilities.
He said the company aims to continue its expansion programs, reflecting confidence in its strategic business structure.
Experts say that as Nigeria grapples with economic challenges, BUA Foods’ investment signals a commitment to local production and resilience in the face of external pressures, contributing to the nation’s economic development.
