Flour Mills of Nigeria Plc has announced plans to boost its sugar unit’s production by investing at least $300 million in the development of a new plant and 15,000-hectare sugarcane plantation.
The plantation will be delivered before the year’s end, the company announced on the Nigerian Stock Exchange (NGX). The preliminary design and land preparation has already concluded, Premium Times reported.
The gigantic project could lift the company’s output by 150 percent. This would increase the size of its cultivated land from 10,000 hectares to 25,000. It has stated that the expansion would boost Nigeria’s push for self-sufficiency in the sugar industry.
The new plantation and plant will be located in Nasarawa State’s Umaisha Development Area. The new development could also trigger infrastructure development and create employment opportunities for residents. The company employs over 12,000 people in Nigeria.
“Neighbouring communities…will be impacted by numerous community improvement projects that have already been earmarked to begin soon, including access roads, electrification projects, primary healthcare and educational facilities and expanded youth job opportunities,” the company cited as stating.
Flour Mills of Nigeria was founded in 1960 by Greek businessman George Stravos Coumantaros, who died in 2016. His son John became the chairman and CEO in 2014. However, in December 2020, he handed over the CEO role in the NGX-listed company to Omoboye Olusanya.
Coumantarous later teamed up with Dangote Group to condemn their competitor BUA Group for producing sugar for local consumption instead of export at its Port Harcourt plant.