RWANDA – Rwanda has designated 8,000 hectares of land for sugarcane cultivation to enhance local sugar production and reduce reliance on imports, according to Minister of Trade and Industry Prudence Sebahizi.
The government aims to attract at least US$50 million in private investment to develop the sector, focusing on improving processing capacity and fostering economic growth.
Sebahizi stated that the initiative will create jobs and bolster self-sufficiency, despite Rwanda’s land constraints limiting large-scale farming.
To address this, the focus is on boosting productivity through high-yield sugarcane varieties, efficient irrigation, and improved farm management.
Sebahizi acknowledged that full self-sufficiency remains challenging due to limited land availability. However, Rwanda employs the East African Community (EAC) Common External Tariff and safeguards to balance local production with imports.
“Rwanda allows strategic sugar imports under managed quotas to maintain affordability while protecting local industries,” he explained.
In 2024, Rwanda surpassed Kenya as Uganda’s top sugar export market within the EAC, importing 39.3 metric tons—35.3% of Uganda’s 111.1 metric tons exported to the region in the first nine months, per Uganda Revenue Authority data.
The government is also promoting investments in sugar refining and value addition to strengthen Rwanda’s role in the regional supply chain.
“We’re focusing on enhancing processing capacity rather than becoming a major raw sugar producer,” Sebahizi noted.
Leveraging trade frameworks like the AfCFTA, COMESA, and EAC, Rwanda plans to process imported raw sugar and re-export refined products, driving industrialization and trade. This strategy ensures competitiveness despite limited domestic output.
Beyond sugar production, the initiative supports related industries such as ethanol and bio-energy, maximizing economic benefits.
Sebahizi highlighted that incentives for private investment and trade facilitation measures aim to position Rwanda as a sugar processing and distribution hub in the region.
“Investing in sugar processing aligns with Rwanda’s industrialization agenda by creating jobs, reducing import dependency, and adding value to raw materials,” he said.
The development of refining and packaging facilities is expected to enhance the agro-processing sector, supporting broader industrial growth.
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