Tz, Moves Closer to Sugar Self-Sufficiency with Major Expansion

Tanzania is on the verge of a major breakthrough in sugar production, as the country pushes forward with an ambitious factory expansion project aimed at doubling its annual output.

The move is expected to bridge the nation’s sugar deficit and strengthen the agricultural sector, benefiting thousands of local farmers.

The expansion, scheduled for completion by mid-2025, will see sugar production rise from the current 127,000 tonnes to 271,000 tonnes per year. This significant boost is expected to reduce the need for imports and support the government’s goal of achieving sugar self-sufficiency.

During a recent visit to assess progress, members of the Parliamentary Committee on Industry, Trade, Agriculture, and Livestock expressed confidence in the project’s potential impact. Committee Chairperson Deodatus Mwanyika praised the initiative, emphasizing its role in driving economic growth and improving farmers’ livelihoods.

“This expansion is a game changer for the sugar industry and Tanzania’s economy as a whole. It will not only meet domestic demand but also provide a reliable market for sugarcane farmers, ensuring they benefit directly from this investment,” Mwanyika said.

A key component of the project is its direct support for local farmers. The factory’s increased processing capacity will allow it to purchase more sugarcane from growers in the Kilombero Valley, with supply expected to rise from 600,000 to 1.7 million tonnes per year. This will create more opportunities for farmers, enhance incomes, and support rural development.

Ambassador Ami Mpungwe, Board Chairman of the company behind the project, described the expansion as a landmark achievement, calling it the largest single sugar investment in Eastern and Central Africa.

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“This is a historic investment, injecting over $306 million into a single project. It reflects our commitment to helping Tanzania achieve sugar self-sufficiency by 2025,” Mpungwe said.

With construction 95 percent complete, the factory is expected to be fully operational by mid-year. Managing Director Guy Williams highlighted additional benefits, including the creation of new jobs and the production of 10 megawatts of electricity to be supplied to the national grid, further supporting Tanzania’s energy needs.

Government officials, including Morogoro Regional Commissioner Adam Malima, have reiterated their support for strategic investments like this, recognizing their importance in advancing national development goals.

The project is not just about increasing sugar production—it’s about transforming the industry, empowering farmers, and boosting the economy.