www.sugarethanolbioenergy.com - 🇹🇿🍬 Tanzania’s Sugar Producers Target Sweet Export Opportunities in Kenya, DRC & Rwanda 🌍🚛

The country’s sugar industry is now projecting a significant expansion into regional export markets, according to the Tanzania Sugar Producers Association (TSPA). With domestic demand comfortably met, producers are turning their attention to neighbouring countries such as Kenya, the Democratic Republic of the Congo (DRC) and Rwanda. TSPA executive secretary Kennedy Rwehumbiza reported that seven active producers — including Kagera Sugar Limited, Kilombero Sugar Company, Mtibwa Sugar Estate, Manyara Sugar Company, Bagamoyo Sugar Limited, and Mkulazi Holding Company — together provided more than 340,000 tonnes of brown sugar during the period May to September 2025. This is about 147 per cent of the estimated national demand of approximately 230,000 tonnes for that time frame, marking a 54 per cent increase compared to the same period last season. On the export front, Tanzania had exported approximately 85,000 tonnes of sugar by mid-October 2025, yielding over US$72 million in foreign-exchange earnings. 
With strong domestic production and surplus capacity now established, producers are gearing up to scale up exports into Kenya, the DRC and Rwanda. Major expansion projects are underway: Kilombero’s “K4” project will add roughly 144,000 tonnes annually, raising its total output above 270,000 tonnes. Kagera Sugar aims to more than double its current output of 140,000 tonnes by the 2029/30 season. Mtibwa, Bagamoyo and Mkulazi factories are also ramping up. 

Industry observers note that this is not just about meeting local demand — the sector is becoming a strategic export earner aligned with Tanzania’s industrialisation agenda. Rwehumbiza highlighted that value-addition investments (refining sugar, producing ethanol and extra-neutral alcohol) are also on the rise. Nevertheless, challenges remain: seasonal fluctuations in cane quality (especially during rainy seasons), transport and logistics costs for exports, and competition from imports (including illegal cross-border smuggling). For example, one study estimates that transporting sugar from Dar es Salaam to Rwanda adds about US$180 per tonne. In conclusion, Tanzania’s sugar industry appears poised for a shift — from traditional domestic supply focus to active regional exporter — provided it can navigate logistical hurdles and continue scaling production efficiently.