Nigeria is still far from being self-sufficient in sugar production. The sugar business in Nigeria is quite huge. At the moment, the industry has few local investors, of which the biggest of them all is Dangote sugars. Dangote sugar is very much into bagging granular industrial sugar, leaving alot of room for investors who may be interested in fully refined “table sugar”.
For now, the only known investors in “table-sugar” that can readily come to mind is St. Louis Sugar.
St. Louis sugar are in cube form, and does not sell each pack below N400.
This is where new investors can take advantage
Unfortunately, about 80% of Nigerians consume the industrial granular sugar, which is usually produced for confectionery purposes, not for direct consumption.
Industrial granular sugar is cheap, this is the main reason why many go for it. However, many Nigerians are becoming more health conscious, and are determined to make better choices.
This is where a smart investor can come in. Specialize in sachet granular sugar (fully refined) or sachet cube sugar (refined) that can be bought for N50 or N100, since the other main competitor sells in packs
that are not less than N400.
There’s a big market for those who intend to invest in packaging fully refined sugar in smaller sachets.
Putting it in smaller sachets makes it more attractive, and affordable to all, irrespective of class status.
With proper advertisment, consumers will always prefer smaller sachets of fully refined table sugar to the industrial (not fully refined) type.
The fact is this: irrespective of the section you wish to specialize in, sugar industry in Nigeria is indeed a big investment opportunity.