DODOMA: THE country is steadily strengthening its sugar sector, recording significant gains toward self-sufficiency as expanded factory capacity and rising domestic production reduce reliance on imports.
The Minister for Industry and Trade, Ms Judith Kapinga, told the National Assembly in Dodoma during the presentation of her 2026/27 budget that the sugar industry has continued to grow and remains a key pillar of industrial and economic development in the country.
She said there are a total of seven sugar-producing factories, namely Kilombero Sugar, Tanganyika Planting Company (TPC – Kilimanjaro), Kagera Sugar, Mtibwa Sugar Estates, Mkulazi Holding Company, Manyara Sugar and Bagamoyo Sugar.
“These factories have a combined installed production capacity of up to 800,000 tonnes of sugar per year, exceeding the domestic demand, which is estimated at about 550,000 tonnes annually,” she said.
By April, total sugar production had reached 410,979 tonnes, reflecting steady progress in strengthening domestic supply of this essential commodity.
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Ms Kapinga said the sector also continues to be a major source of employment, generating 28,500 direct jobs and approximately 95,000 indirect jobs, significantly contributing to household incomes and overall economic growth.
“In efforts to further boost local production and reduce sugar imports, the government has continued to oversee the expansion of two major factories: Kilombero Sugar and Mkulazi Holding Company,” she said.
Minister Kapinga said the completion of the expansion at Kilombero Sugar will increase its production capacity from 123,000 tonnes to 226,000 tonnes per year. She noted that production trials have already been completed, and full-scale production is expected to begin this month.
At Mkulazi Holding, the expansion includes the installation of a new industrial sugar production facility, aimed at meeting domestic industrial demand and reducing reliance on imports. Trial production has already been successfully completed, with the factory producing 256 tonnes of industrial sugar.
According to the report, completion of the expansion projects at the two factories is expected to create additional employment, generating 8,500 direct jobs and 25,000 indirect jobs.
“Trial operations of the machinery have already been completed, and the factory has successfully produced 256 tonnes of industrial sugar. The completion of this expansion will enable the two factories to generate 8,500 direct jobs and 25,000 indirect jobs,” Ms Kapinga said.
The government has reiterated its commitment to ensuring that Tanzania achieves sufficient sugar production and ultimately full self-sufficiency in this essential commodity for both household and industrial use.