ABUJA - NIGERIA - On April 12, 2002, the U.S. Trade and Development Agency (TDA) and the state government of Ogun State, Nigeria entered into a grant agreement to partially fund a study on a sugar factory and estate in Ogun State. U.S. Ambassador to Nigeria Howard Jeter signed on behalf of the U.S. government. Governor of Ogun State Chief Olusegun Osoba signed on behalf of Ogun State. Under the agreement, TDA will provide a $288,645 grant to Ogun State to contract with Arkel Sugar of Baton Rouge, LA to conduct a study of the technical, financial, economic, and environmental aspects of building a sugar factory and estate in Ogun State, Nigeria.

This agreement represents a commitment by the two countries to expand investment in Nigeria's critical agricultural commodity economy by assisting in the production of sugar for the domestic market. Nigeria currently imports over ninety percent of its annual sugar consumption. The study will determine the best options for the development of a sugar factory in the Paplanto vicinity, which is situated on the southern bank of the Ogun River. Specifically, the study will assess the market demand for locally produced sugar, regulatory issues, industrial complex requirements and the environmental impact. Since reopening in late 2000, TDA has provided over $2 million in funding to various infrastructure projects in Nigeria. Working together with the U.S. Embassy in Abuja, and strong development partners in Nigeria, TDA is actively seeking to support growth in Nigeria's private sector and crucial industries.

The U.S. Trade and Development Agency promotes American private sector participation by helping U.S. companies pursue business opportunities in developing and middle income countries. Through the funding of feasibility studies, orientation visits, specialized training grants, business workshops, and various forms of technical assistance, TDA helps American businesses compete for infrastructure projects in emerging markets. In addition, the agency promotes capacity building initiatives and supports U.S. government trade, economic policy and development objectives around the world.

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